Economics @ ITT

Branding Strategy Insider | The Fall of the Purchase Funnel

Posted in class materials by ittecon on September 13, 2013

Take the relationship between supply and demand – its reversed. Today demand is scarce, supply plentiful.

via Branding Strategy Insider | The Fall Of The Purchase Funnel.

I’m not so sure this marketing guy quite understands—for what it’s worth—the concepts supply, demand, and equilibrium. That the relationship has been reversed, would indicate that the orthodox condition would be low supply to high demand (and essentially scorns the role of the market). Of course, from a Marketers position, it is quite understandable that one might want to be in a position absent of competition with the concomitant power to control prices, but this is not the correct state. It is simply a state.

Of course, given the author’s perspective, Says Law has again been undermined. If supply creates its own demand, then a surfeit of  supply should cause a surplus of demand, right?

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