Coffee

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the economic effect on the demand and supply of coffee

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Coffee

  1. 1. Demand & Supply Shifters<br />Coffee<br />
  2. 2. DEMANDSHIFTERS <br /><ul><li>INCREASE IN DEMAND
  3. 3. Changes in tastes and preferences of the consumers
  4. 4. Research reveals definite interest in coffee from younger consumers aged 18-25
  5. 5. Population growth and increase in standard of living due to increase in income of the people
  6. 6. Inelastic nature of product as it is a daily habit for many
  7. 7. DECREASE IN DEMAND
  8. 8. Decrease in prices of substitutes- organic, herbal teas etc
  9. 9. Increasing awareness about health risks from regular consumption</li></li></ul><li> SUPPLY SHIFTERS<br /><ul><li>INCREASE IN SUPPLY
  10. 10. new opportunities to produce </li></ul>better-quality coffees<br /> from different origins and<br />different types of coffee beverages for consumers' palates.<br /><ul><li>Improvement in technology and supply chain distribution channels
  11. 11. DECREASE IN SUPPLY
  12. 12. Natural conditions such as drought and a low harvest cycle
  13. 13. Increase in price of factor inputs- land, labour, capital etc
  14. 14. Reduction in number of coffee producing firms </li></li></ul><li>PRICE TRENDS<br />The supply price is directly proportional to the retail price.<br />Prices all time high between 1996-97<br />Prices all time low in 2001<br />Prices all time low in 2001<br />All time high in 1997<br />
  15. 15. Thank You<br />Ankush Taneja<br />KetakiGondane<br />Preha Sharma<br />Tanaya Mehta<br />

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