The implications of the major determinants of demand and supply to Essay

The implications of the major determinants of take away and supply to municipal manse building industry - Essay ExampleThis paper starts with understanding this market. Here we will discuss round Porters Five Forces Model and try to understand the kind of customers marketers drive home in the domestic trapping sector. This section would be followed by the discussion on determinants of demand and supply in the housing industry. Once we have understood the market structure and supply-demands we will be discussing various factors like economic, social, legal and environmental which affect the industry. This will be followed by the analysis and conclusion.The industry is made up of some 192,404 construction firms, 164,000 of which have less that 24 employees. Just 56 firms have to a greater extent than 1,200 employees. (Source Construction Statistics one-year 2002/CITB). 2There are around 192,404 small and big firms. 56 firms have employed more than 1200 employees while 28,348 f irms have employed 25 or more than 25 people and rest 164,000 firms have employed less than 24 people in their organization. Around 500 firms work for overseas contracts also.4 The fragment contender and exit barriers are high.As it is almost mature industry in Britain, the number of providers and rivalry among them is high. This gives an added advantage to the constructor to negotiate for the quality and the price of goods supplied by them. The switching cost from one supplier to another is usually high.Buyers power in the case of houses is limited. There are several reasons for this i.e. increasing demand of house, lesser number of buyers, buyers not connected to each other, lack of information and others.The threat of substitutes is less and inside the category. Housing requirements of an individual or family can be very specific leaving no agency for many or instant substitutes. It depends upon the quality, price and availability of the house.The consumer behaviour can be div ided on the basis of the type of consumers. They can be divided on the basis of