What does the phrase, "consumer sovereignty," mean?
A) consumers can be swayed by advertisers to buy things they do not want.
B) businesses make goods in response to the desires of consumers.
C) consumers buy goods in response to the advertisements of businesses.
D) consumers buy goods in response to their sovereign master, utility.

Question

Quizplus · Accepted Answer

Consumer sovereignty is the principle that businesses should produce the goods that consumers want to buy. It means that consumers have the power to determine what is produced in the market through their purchasing decisions. This principle is based on the idea that in a free market economy, businesses need to compete for consumer dollars by offering products and services that meet their needs and desires. Therefore, businesses that fail to meet consumer demand are likely to fail, while those that succeed are likely to prosper.

What Does the Phrase, "Consumer Sovereignty," Mean