Business Demand and Supply is the process of matching buyers and sellers in order to facilitate an efficient market. In other words, it’s the foundation upon which businesses can operate in a competitive marketplace. Put simply, business demand is the number and type of products that people are willing to purchase while business supply is the amount of those same products available in the market. When these two forces meet at an equitable price, a transaction takes place and goods are exchanged. Balancing demand and supply is integral to running a successful business, as it plays a key role in pricing strategies and helps businesses to find the right balance between revenue and costs.