Title: Analyze the concept of supply and demand.
Course: Fashion Marketing (12153-I) > Section: Understanding Economic and Marketing Concepts

Analysis should include definitions of supply and demand and an explanation of why knowledge of the interrelationship between supply and demand is critical to understanding the free enterprise system and the fashion industry.

Analysis should also include the effects of the following factors on supply and demand:

- Inflation
- Deflation
- Resources
- Natural and economic events
- Government intervention
- Technology
- Education
- Elastic and inelastic demand

Process/Skill Questions:

- How can supply and demand affect fashion marketing?
- How do supply and demand affect price in the fashion industry?
- What effects has the Internet had on supply and demand in the fashion industry?
- How do fashion retailers and producers create demand?