When the economy is sluggish,final consumers have less money to buy their favorite computer gadgets; and this leads to touchscreen manufacturers selling less product to computer makers like Apple.This illustrates the concept of
A)"Product" as potential customer satisfaction.
B)derived demand.
C)brand nonrecognition.
D)brand rejection.
E)unsought products.

Question

Quizplus · Accepted Answer

The touchscreen component maker is unable to sell products due to derived demand-the concept that demand for business products derives from the demand for final consumer products.Since customers are not buying as many mobile devices in a sluggish economy,mobile device brands aren't willing to buy as many components from component parts suppliers.

When the Economy Is Sluggish,final Consumers Have Less Money to Buy