A decrease in demand and constant supply is a concept commonly used in business and economics. It describes the scenario in which demand for a good or service falls while its availability remains constant. In such a situation, prices tend to fall as sellers compete to attract buyers. This demonstrates the idea of elasticity—that demand will vary in proportion to changing prices. Understanding this phenomenon is key to making decisions around pricing and other determinants of sales. Knowing when and how much to adjust prices can give businesses an upper hand in responding quickly to changes in the market.