Answer
The consultant is assuming the firm's pricing is in the lower part of the demand curve and that the consumer's demand for the firm's product is inelastic.
Work Step by Step
When demand is inelastic a price increase will increase revenue.
You can help us out by revising, improving and updating this answer.
Update this answerAfter you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.