market dynamics

Definition

Changes among interdependent market factors, such as supply, demand, and pricing. Market dynamics determine how consumers will react to price increases, or how suppliers will react to changes in demand, and how changes to one supply-and-demand relationship may affect other product or consumer groups.

Use market dynamics in a sentence

You should try and follow all of the market dynamics and figure out the best time to make your big buy.

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Based on the market dynamics, they thought that the consumer's would still hold the demand for the product even with a price increase.

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Consumers complaining that a company won't give them what they want might not be considering all of the market dynamics involved when they argue that the company should follow that path.

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market driven market economist