Topic

Effect Of Advertisement On What The Consumers Will Buy

Submitted to Anil Surendra School of Commerce

NMIMS University, Mumbai
For
Bachelor of Business Administration
Mukul Arolkar
I026
Neerav Jain
I027
Parth Sabharwal
I028
Priyasha Gupta
I029
Dhruv Chawla
I057

Under the Guidance of

Ms. Swarita De
Assistant Professor
Anil Surendra School of Commerce
NMIMS University, Mumbai
 ACKNOWLEDGEMENT

We would like to express our special thanks of

gratitude to our teacher Ms. Swarita De who gave us the golden

opportunity to do this wonderful project on the

topic Effect of Advertisement on What the Consumers will Buy, which also
helped

us in doing a lot of research and we came to know about so many new things

We are really thankful to them.

Secondly we would also like to thank our parents and friends who helped us a
lot

in finishing this project within the limited time.

We are making this project not only for marks but to also increase our
knowledge.

THANKS TO ALL WHO HELPED US

INDEX

CONTENTS
1. Introduction --------------------------------------------- 01.
2. Situations ------------------------------------------------ 02.
3. Case Study ----------------------------------------------
4. Conclusion ----------------------------------------------
INTRODUCTION

The project is about how advertisement effects what the

consumers will buy.
Different situations have been taken into considerations and
how these situations effect the demand and supply for a
commodity .
With the help of graphs, changes in market equilibrium has
been depicted. Also changes in equilibrium price and quantity
has been shown.
A case study has also been taken to show the effect in real life.
SITUATIONS

1. Repetitive Advertisements

Organizations show repetitive advertisements on

television, newspapers and banners on roads which act as
constant reminder to the consumer about the commodity.
This makes the commodity more attractive to the
consumer which provokes him/her to buy the project . this
also spreads the audience for the commodity. The more
the advertisement the larger the market becomes.
Spreading awareness about the commodity increases the
market size for the organization.
This increases the demand for the commodity which shifts
the demand curve to right. This changes the market
equilibrium. The equilibrium quantity increases from Q to
Q1 and the equilibrium price increases from P to P1.

These advertisements cost a lot to the organizations

increasing their cost of product because of which
producers reduce the supply of the commodity which
changes the market equilibrium. The equilibrium quantity
decreases from Q1 to Q2 and equilibrium price increases
from P1 to P2.
When both the changes are taken into consideration, we
observe that the quantity demanded remains the same and
the price increases.