Supply and Demand in Economics

Supply and demand is basically determined by various factors such as, cost, quality, and quantity among others. Even though supply and demand influences wages, it does not fully determine input and output. To begin with, in order to improve on supply and demand, a couple of tasks should be implemented so as to increase competiveness. As a result, this increases productivity and wage. In this case, productivity refers to the cost of factor inputs and the value of the resultant output. It measures the input in the production process and the output. In a broad sense, it refers to the extent to which the productive resources of a country are utilized. The factors of production are land, capital, manpower and entrepreneurship.

In other words, this is the only way to win new clients and maintain the current customers. Additionally it desires to embrace dynamisms surrounding technological evolution and innovativeness. This is a strategy with big prospects. The viability of this approach has been assured by the achievements attained in the recent past. Majority in the secondary market target do not actually make the purchase though they influence the purchasing through relationship of the buyer or/ and the decision maker and therefore the pricing factor remain constant as that of the primary market target. A high price should initially be set as earlier shown, as is appropriate to the new technology in the introductory phase and competitively proportionate to the currently limited competition.

Having a positive attitude is one of the strategies use by employer when choosing the right employees. It is easier to work with someone who attitude towards his work is positive other than having someone whose attitude is inherent and cannot be changed. Attitude involves a blend of humor, energy, team work and self confidence.


It is clearly evident that if productivity is increased consistently, the cost of production per unit reduces. This increases the overall welfare of the consumers since the price of goods also reduces. Companies also benefit since they are able to boost their earnings without increasing the inputs. The productivity of an economy depends on many factors. Education, technology, research and development are some of the key factors that dictate the level of productivity.

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