what determine the demand for a product?


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David Johnson Profile
David Johnson answered

I want to highlight 4 most important factors which determine the demand for a product: 

1. Price : Price of the product greatly influences the demand for the product.
2. Prices of the substitute goods :
Ex: If price of coffee increases then consumers shift to tea.
3. Income of the consumer: In case of luxury goods if std. Of living increases their demand also increases
4. Fashions in the society : If the product is apt to the fashions in the society it will have greater demand.

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