Which term describes the willingness of customers to purchase a product or service?

Demand refers to the willingness and ability of customers to purchase a product or service at various price points. It is a fundamental concept in economics and retail that reflects how much consumers are ready to buy compared to how much is available in the market. When demand increases, it indicates that more customers are interested in purchasing a product, often leading to higher sales for businesses.

Understanding demand is critical for retailers because it helps them determine inventory levels, set prices, and create marketing strategies. Demand can be influenced by factors such as consumer preferences, trends, economic conditions, and the availability of substitutes. Knowing how demand fluctuates enables businesses to make more informed decisions about production and sales strategies.

The other options represent different aspects of the retail and economic environment but do not directly capture the essence of customer willingness to purchase.