Understanding of Supply and Demands
The managers in the companies need to understand the supply and demand because there can be
the problems if the step is not effectively taken by the manager, as the law of demand shows about the various pricing in which there could be the definite period of time. From the demand, the manager would know that how much customers are willing to buy the product of the company or how much demands is there for the product. However, the law of supply makes the producers able to make a return on the product, when there is the demand. Therefore, there could be efficient understandings about the cost of production if the managers of the company able to understanding of the demand and the supply, through this they manage the function and principles of the organization efficiently; able to manage and motivate the team and there could be the understanding of the profit and return. In the global economy, apple has the innovative products, the company Apple had faced the problems, in the American economy, as the employee’s wages were not effective to motivate them; there were the issues in the supply chain because the demand and supply were not discussed significantly (Economist.com, 2012).
Factors That Will be Affecting The Demand for The Following Products
A Convenience Food (Sold in Food Shops and Supermarkets):
Relating to the convenience foods market it could be said that the busy lifestyles of the people and the aging population prefer the food that seems convenient to them. However, it is expected that demand for the convenience foods will increase in the future because the customers know the nutritional value and the safety. It saves time and energy of the people, there is the use of the technology, as innovative packaging is there (Futuremarketinsights.com, 2017).
Products Purchased on The Internet:
The demand for the products that are purchased on the internet seems to increase in the future because people do not have the time to go in the market, the labor force is increasing and people become lazy because they can order anything of the choice at home.
Fax Machines:
The demand of the fax machine can be decreased because people do not prefer the old ways to sending the papers. Technology and the internet have made the things easy as the people could send the images and papers through other ways, therefore, the demand for fax machine could be decreased.
Digital Cameras:
The demand of the digital cameras can be increased in the future because people prefer images or pictures with the high resolution and clear results people in marriages and other family function are ready to pay any amount to the people with digital cameras or the cameramen.
DVDs Rented From Retail Outlets:
The demand for the DVDs rented from retail outlets can be decreased because people do not prefer to buy and spend money on DVD now, as the people or consumers have the option to watch the videos or movie free, accessing the internet at home. People watch online movies.
Pay-Per-View Television Programming:
The demand for the Pay-per-view television programming can be decreased in the future because people can watch the favorite show by accessing the internet services.
Airline Travel Within The United States; Airline Travel Within Europe:
The demand for the airline travel within the United States; airline travel within Europe seems to increase in the future because people have the short time and they cannot spend much time on busses and other roadways, therefore, they will prefer to go by plane. However, the situation of economy regarding the pricing of airlines also matters.
Gasoline:
The demand for the gasoline will increase in the future because people are buying personal cars; however, the situation of economy regarding the pricing of gasoline.
References:
- Economist.com. (2012, Jan 23). Apple and the American economy. Retrieved March 15, 2017, from https://www.economist.com/blogs/freeexchange/2012/01/supply-chains
- Futuremarketinsights.com. (2017). Convenience Foods Market: Global Industry Analysis and Opportunity Assessment 2014 – 2020. Retrieved March 15, 2017, from https://www.futuremarketinsights.com/reports/global-convenience-foods-market