By yangiboy meliboyev What is Private Demand? Brand Loyalty

Private Demand and Market Demand
In this presentation, we'll explore the differences between private and market demand, and the factors that influence each.
by yangiboy meliboyev
What is Private Demand?
Brand Loyalty
The degree of preference customers have for a specific brand or product.
Consumer Income
A person's income and ability to purchase goods or services.
Trending Products
Products that are in high demand due to current market trends.
Product Availability
The quantity of a product available in the market influences its demand.
Factors Influencing Private Demand
Price of the Product
Price is a key factor that impacts demand. An increase in price leads to a decrease in demand, and vice versa.
Consumer Preferences
Preferences for particular products or brands can create demand, especially if it becomes a status symbol.
Market Trends and Fads
The popularity of certain products can generate hype and demand.
Advertising and Marketing
Effective marketing creates demand by promoting the benefits and features of a product or brand.
Shifts in Private Demand Curve
1
Changes in Consumer Income
A rise in income can cause private demand to increase, while a drop in income can cause it to decrease.
2
Seasonal Changes
The demand for certain products may increase or decrease during specific seasons.
3
Product Innovation
An introduction of new and innovative products can sometimes increase the demand for existing products.
What is Market Demand?
Market Competition
The number of companies offering similar goods or services in a given market.
Consumer Expectations
The overall set of expectations that consumers have for products in a particular market.
Price Elasticity
The extent to which price changes influence the quantity demanded.
Market Conditions
The current state of the market, including supply, demand, and economic conditions.
Determinants of Market Demand
1
Consumer Tastes and Preferences
Markets can grow or decline based on consumer preference changes.
2
Price of Related Goods
The price of related goods affects the overall demand for a product or service.
3
Consumer Income
Income can affect the overall demand for most products and services.
4
Size of the Consumer Base
Market size affects the overall demand and potential for growth.
Shifts in Market Demand Curve
Increase in Demand
Decrease in Demand
Consumer Income
Normal good
Inferior good
Price of Related Goods
Substitutes
Complements
Consumer Tastes and Preferences
Positive change
Negative change
Conclusion
Takeaways

• Private and market demand differ in scope and scale

• Price, consumer income and preferences impact demand

• Shifts in external factors can cause demand curves to shift

Implications
Why is demand important? Understanding these concepts can help companies create effective marketing strategies, determine pricing, and make other important business decisions.