Consumer Sovereignty

Consumer sovereignty is the idea that consumers' preferences and choices drive the economy. In a market, businesses aim to meet the needs and desires of consumers, who ultimately "vote" for products by purchasing them. This means that the most popular goods and services usually reflect what people want, guiding producers on what to create and sell. When consumers demand certain products, businesses respond, shaping the market and influencing production. Essentially, consumer sovereignty emphasizes that consumers have the power to influence economic decisions through their buying habits.