Using Suitable Examples, Briefly Compare and Contrast the Concepts of Needs

question 14

Essay

Using suitable examples, briefly compare and contrast the concepts of needs, wants, and demands. Discuss how these concepts relate to marketing practices.

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Definitions:

Specialization of Labor

The division of labor where individuals or groups focus on specific tasks or jobs, increasing efficiency and productivity.

Diminishing Marginal Returns

Diminishing marginal returns occur when the increase in output from adding an additional unit of input decreases, holding all other inputs constant.

Long-run Average Total Cost

The average cost per unit of output when all inputs, including capital, can be varied, and economies of scale are realized fully.

Unit Costs

The cost incurred by a business to produce, store, and sell one unit of a particular product or service.