Lesson 1.2.1

1.2.1 Factors that change demand Quiz: Pearson Edexcel Business, Unit 1

20 questions

Written by Revision Ninja · Last reviewed 11 October 2026

In partnership with Revision Ninja

Lesson 1.2.1, Factors that change demand: 20 multiple choice questions for the Pearson Edexcel Business (9BS0), Unit 1: Marketing and people, written with Revision Ninja.

Host it live on the board and students join with a game code on their own devices, or revise alone with Free Play. The answers are revealed in the game.

Host this setFree Play

The 20 questions

  1. Which factor shifts the demand curve for a normal good to the right?

    • Lower substitute price
    • Higher product price
    • Lower consumer income
    • Higher consumer income

  2. Which pair of goods are substitutes for each other?

    • Butter and margarine
    • Printers and ink
    • Tea and milk
    • Shoes and socks

  3. How does a fall in the price of a complementary good affect demand?

    • Demand stays constant
    • Demand falls
    • Demand increases
    • Supply increases

  4. Which factor causes predictable demand changes at specific times of year?

    • Demographics
    • Seasonality
    • Indirect taxation
    • External shocks

  5. What type of factor is an unexpected pandemic affecting business demand?

    • Economic growth
    • Demographic shift
    • Seasonal change
    • External shock

  6. What happens to demand for an inferior good when incomes rise?

    • Demand stays unchanged
    • Supply falls
    • Demand rises
    • Demand falls

  7. Which factor involves changes in population characteristics like age?

    • Branding
    • Seasonality
    • External shocks
    • Demographics

  8. Consumer income rises by 10% and demand for a good rises by 15%. What is the income elasticity of demand?

    • 150
    • 0.15
    • 0.67
    • 1.5

  9. What relationship exists between goods with a positive cross elasticity of demand?

    • Inferior goods
    • Complements
    • Normal goods
    • Substitutes

  10. How does an increase in product popularity shift the demand curve?

    • Downwards along curve
    • Upwards along curve
    • To the left
    • To the right

  11. What happens to the demand curve for Good A when a complement's price rises?

    • Shifts right
    • Remains unchanged
    • Moves along curve
    • Shifts left

  12. Which curve is directly shifted by a government subsidy to producers?

    • Marginal utility curve
    • Indifference curve
    • Demand curve
    • Supply curve

  13. How does an ageing population affect demand for mobility scooters?

    • Supply decreases
    • Demand stays constant
    • Demand increases
    • Demand decreases

  14. Which factor will shift the demand curve for umbrellas to the right?

    • Cheaper umbrella fabric
    • Higher manufacturing taxes
    • Forecast heavy rain
    • Production subsidies

  15. How should a business manage operational resources for highly seasonal products?

    • Maintain constant stock
    • Plan around peaks
    • Reduce selling prices
    • Stop all advertising

  16. A product has a YED of +2.4 and consumer incomes rise by 5%. What is the predicted change in demand?

    • A rise of 12%
    • A rise of 2.4%
    • A fall of 12%
    • A rise of 0.48%

  17. Why is forecasting demand for fashion products particularly difficult?

    • High government taxes
    • Fixed production costs
    • Stable demographics
    • Fast-changing tastes

  18. Goods X and Y are complementary goods. What happens to demand for X when the price of Y rises?

    • It rises
    • It stays unchanged
    • It becomes elastic
    • It falls

  19. Which factor causes an external shock to permanently alter consumer demand?

    • Seasonal weather changes
    • Short-term shortages
    • Temporary price cuts
    • Changed consumer habits

  20. Income rises by 10% and demand rises by 10%. What type of good is this?

    • Inferior good
    • Complementary good
    • Normal good
    • Substitute good

All Pearson Edexcel Business quizzes