Which of the following factors increases the demand forecast of a product?

The correct choice identifies increasing consumer trends as a factor that can elevate the demand forecast of a product. When consumer preferences shift positively towards a product—due to changing lifestyles, societal influences, or emerging trends—demand typically rises. Improved awareness or enthusiasm about a product in the market can lead to more purchases, thus enhancing the forecasted demand.

On the contrary, factors such as increased competition and higher production costs generally tend to have a negative impact on demand. Increased competition could result in market saturation, reducing individual product demand as consumers weigh their options against rivals. Higher production costs might lead to increased prices, possibly discouraging consumers who are sensitive to price changes. While strong marketing strategies can help boost demand, they are dependent on overall market trends and consumer behavior. However, the direct influence of evolving consumer preferences is a powerful driver of demand, making it the most significant factor among the options presented.