Answer all questions
- (a)Define the term 'supply'.[2]
- (b)Briefly explain two non-price factors which could increase the demand for a product or service.[3]
Mark scheme
Marking points from the official mark scheme (May/June 2019). The mark or mark type is shown in brackets.
- [1] The quantity of a product / service that businesses are prepared to supply / produce.
- [1] Raw materials sold to a business / coming out of a business / offer / deliver to the market.
- [1] Quantity available to purchase.
- [1] To supply at a given price / has a positive relationship with price.
- [1] To supply at a given time / place.
- [1] Increase in consumer income.
- [1] There is limited supply.
- [1] Consumer confidence in the product / brand image.
- [1] Changes in population size and structure.
- [1] Changes in consumers' fashion and tastes.
- [1] Degree and type of product marketing / advertising.
- [1] Availability of substitute products.
- [1] Seasonal variations.
- [1] Convenience / accessibility of the place.
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