The demand for one product that results from the demand for another product is called:
A)derived demand.
B)contrived demand.
C)primary demand.
D)secondary deman

Question

Quizplus · Accepted Answer

Derived demand is the demand for one product or service that arises as a result of the demand for another product or service that it complements or helps produce. For example, the demand for steel is derived from the demand for automobiles, as steel is a key input in the production of cars. Derived demand is often seen in B2B markets where one company's demand for a product or service is dependent on the demand for its own products or services.

The Demand for One Product That Results from the Demand