Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those...
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Transcript of Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those...
![Page 1: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/1.jpg)
Factors affecting Demand?
![Page 2: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/2.jpg)
1. State some of the main factors that effect demand
2. Suggest how those factors can cause demand to rise or fall
3. Apply the factors to a range of different products
Objectives
![Page 3: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/3.jpg)
Recap on price mechanism and the free market
• Student sells kidney for Ipad
![Page 4: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/4.jpg)
Think of a product or service that you have started buying more of or less of recently
(Legal bits only!)
![Page 5: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/5.jpg)
Now select one
• Write all the reasons why
• You should consider…
• Prices
• Incomes
• Tastes & fashions
• The level of advertising
• The price of substitute products
• The price of complementary products (e.g. coffee and cake)
• Social & demographic trends
• Expectations
• Seasonal
• Government action e.g. taxes
![Page 6: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/6.jpg)
Factors that affect demand? Write some down under a heading of “Examples of factors in action”
Spanish villaWhat would make
consumers buy
MORE of these
goods?
![Page 7: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/7.jpg)
What might have caused the following changes in demand?
• ASDA sold significantly fewer pegs in June – August 2012 than during the same period in 2011.
• WHY?
![Page 8: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/8.jpg)
What might have caused the following changes in demand?
• From January 2006 10m pints of Tyskie (Polish Beer) were sold in 6 months! It was not available in 2005.
• WHY?
![Page 9: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/9.jpg)
What might have caused the following changes in demand?
• An increase in the need for childcare, nannies and Au pairs.
• Why?
![Page 10: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/10.jpg)
• http://news.bbc.co.uk/1/hi/business/7605805.stm
![Page 11: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/11.jpg)
How has the Olympics affected Demand?
Olympic success gets Brits on their bikes
(British Cycling 1/10/2012)
http://www.britishcycling.org.uk/media_centre/article/gbr20121001--Olympic-success-gets-Brits-on-their-bikes-0
![Page 12: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/12.jpg)
What’s the link between an economic downturn and…
• Comfort eating
![Page 13: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/13.jpg)
In pairs or groups
• Complete grid for the impact on the demand for petrol.
• Try the extension question once you’ve finished
![Page 14: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/14.jpg)
1. State some of the main factors that effect demand
2. Suggest how those factors can cause demand to rise or fall
3. Apply the factors to a range of different products
Objectives
![Page 15: Factors affecting Demand?. 1. State some of the main factors that effect demand 2. Suggest how those factors can cause demand to rise or fall 3. Apply.](https://reader033.fdocuments.us/reader033/viewer/2022061614/56649e5d5503460f94b5632a/html5/thumbnails/15.jpg)
Learning Check
• Pack bags apart from pen and sheet of paper. Put name on top of sheet.
Q1 – State as many factors affecting demand that you can remember
Q2 – Briefly explain how two of the factors (except price!) can cause demand to rise and fall for products of your choice
Q3 – Can you suggest any factors (other than demand rising) that might cause a firm to supply more of a product?