Andrews V

Sem 1
MBA

Demand means the effective

desire for a commodity, which is
backed by the ability and willingness
to pay for it..

1)
2)
3)
4)
5)
6)
7)
8)

Demand for consumer goods

Demand for producers goods
Autonomous demand
Derived demand
Individual demand
Market demand
Company demand
Industry demand

9) Short run demand

10)Long run demand
11)Demand for durable goods
12)Demand for perishable goods
13)Joint demand
14)Composite demand

Consumer goods are those goods

that are purchased for final
consumption
Eg:food products, soap, Colgate etc

Producers goods are those goods that

are used for further production. These
are also known as capital goods
eg:
working capital goods[raw
materials]
Fixed capital goods [plant, machinery
etc]

Autonomous demand are independent

demand. These demands are in no way
linked with the demand for other
commodities
Eg: food items, cloths etc

When commodity is demanded as a

result of the demand for another
commodity, it is called derived demand
Eg: capital goods, complementary goods

The quantity of a commodity demanded

by an individual at a particular price
during a given period is known as
individual demand
Eg: quantity of apple demanded by Mr.X
for the last month when the price was
60 rs per kg

Market demand is the estimates of

quantity demanded of the commodity
per time period at various alternate
price by all the individual households in
the market
Eg: quantity demanded for apple for the
month of December at various price by
all the individuals

The term company demand denotes the

demand for a particular product of a
particular firm
Eg: the demand for motor bikes of bajaj
Ltd in the market

When we add demand for a particular

faced by all the companies producing
that product, we get what is called an
industry demand
Industry demand refers to the total
demand for the product of a particular
industry
Eg: demand for bikes in vehicle industry

Short run demand refers to existing

demand with its immediate reaction to
price changes, income fluctuation etc

Long run demand is such type of demand

which will ultimately exist as a result of
the changes in pricing, promotion or
product improvement, after enough
time is allowed to let the market adjust
itself to the new situation...

Durable goods are those goods that are

having a longer life span or that are
purchased for longer use
Eg: television, machinery, equipments
etc

Perishable goods are those goods which

disappear on consumption. These are
also termed as single use goods
Eg: food products, cosmetic items, soap
etc

When two or more goods are demanded

to satisfy the same want, it is called
joint demand
Eg: demand for car and petrol

When a particular product is demanded

to be put to multiple uses, it is called
composite demand
Eg: demand for milk as it is used to make
tea, ice-cream, butter etc