In the hairdressing industry there are salon services and retail products that constitute production. Since services generate the majority of the salon's business, this is what I will consider the bottom line. Possible services include haircuts, hair dye, perms, etc. There are many things that could affect the supply and demand of these services. People's income is a huge factor. When the economy is down and people earn less or don't have jobs, "extras" like highlights and hairstyles will be less in demand. Customer tastes and preferences are another thing that affects the demand for services (supply and demand). Perms are no longer as popular as they were in the 1980s because over the years people's tastes change with the change in style. Service quality is also a factor (supply and demand). If the customer believes something has great value, there will be greater demand. Furthermore, service availability plays an important role (supply and demand). If the service is offered when the customer needs it, the demand will be higher. Elements that can influence the offering of salon services are factors such as production costs (which include wages and material costs) and the number of other businesses providing the same services (supply and demand). The supply of products necessary to perform the services may decrease due to an increase in production costs for the manufacturer of the product. I would say that the demand for hairdressing services is elastic because there is no shortage of hairdressing salons. there is a lot of competition out there. Customers have the luxury of being selective in choosing the salon they choose to go to. With nearly 500,000 stores in the United States... at the heart of the paper... marketing strategies." Small Businesses - Chron.com. Network. 04 September 2011. .Muender, Melissa. "Online Lessons." Online Division of Art Institute of Pittsburgh. September 04, 2011."Cost of Supply and Demand, Factors Affecting Supply and Demand, Elasticity of Demand and Supply." Reference for Business Encyclopedia of Small Business Biographies, Plans Corporate and Encyclopedia of American Industries. August 28, 2011. "Minnesota Rule 2105." Minnesota Legislature - Office of the Auditor of Statutes. September 10, 2011. "What is a Non-Competition Agreement?" WiseGEEK: Clear Answers to Common Questions. September 10. 2011. .