Answer:
Supply and Demand is typically one of the major factors in determining the pricing of a product or service.
For example, let us take a brand of car for example, Toyota. If Toyota trucks are in high demand, by having a limited amount of trucks, the price per truck would greatly increase. In turn, if Toyota trucks are not selling (low demand), Toyota may choose to replace it, or as the system suggests, lower the price. A lower price may draw prospectors into buying the truck for a "better price".
Typically, the larger the supply, given the quality isn't the worst, and isn't the best, the lower the price, as the demand is fulfilled. The smaller the supply, the greater the price, as there are limited amounts to give too everybody who demands for it. Only those who are able to pay the higher price receives the benefits.
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