A product that people really need or want, and where they won't change their buying habits much even if the price goes up, is called having inelastic demand. This can help companies make money, but there are some big challenges they face.

1. Limited Choices for Consumers: When demand is inelastic, it means people don’t mind paying higher prices. This can be a problem because if prices go up, companies might not make enough extra money to cover their increasing costs.

2. Rising Production Costs: Products that have inelastic demand are often things people need or special items. These can cost a lot to make or run. If these costs go up, the company might lose a lot of money.

3. Full Markets: Sometimes the market is filled with similar products. This can lead to fewer sales for even the most needed products, making it tough for companies to keep making a profit over time.

Possible Solutions:

• Managing Costs: Companies can find ways to lower what it costs to make their products. They might buy supplies in bulk or use resources more efficiently.
• Improving Products: By making their products better or adding new features, companies can make their items seem more valuable. This lets them charge higher prices without losing customers.

In short, having inelastic demand might sound stable, but it comes with its own set of problems. Companies need to plan carefully to keep making money.