Using a real-world example, discuss how a producer might attempt to create demand for a product

There are several ways a producer might attempt to create demand for a product. One of the most common ways to do so is to make the product so cheap that it is accessible to everyone. As more people buy it, the product will increase in popularity and this will encourage people to buy more of this product in order to fit in.

A real-world example of this was the Model T car created by Henry Ford. Due to technological innovations, Ford was able to sell his cars very cheaply, allowing the common people to be able to purchase one. As everyone had access to cars, everyone wanted one, and this led to a huge rise in demand.

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