Factors that affect demand

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  • Factors that affect demand
    • Income
      • Higher income means higher disposable incomes and therefore higher demand.
    • Taste and Fashion
      • Changes in fashion will affect the demand of certain clothes.
    • Price of other goods
      • If the price of substitute goods fall then customers may switch
    • Marketing
      • Endorsements, sponsorship and promotions.
    • Season
      • No demand for hats, gloves and scarves in the summer.
    • Government intervention
      • The may influence the demand through taxes and legislation e.g. the smoking ban lowered the demand for pub alcohol.


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