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6 Types of Positional Good

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A positional good is a product or service that has limited supply that consumers typically demand more of as their income rises. Positional goods often have a high price due to their limited supply and strong demand. The following are common types of positional good.

Luxury Goods

Products and services that deliberately constrain supply and set prices high. Luxury goods are widely viewed as a type of social status that demonstrate an individual's wealth. Successful luxury brands may be tempted to lower prices as this can generate significant demand and revenue. However, in the long term this can harm the brand as customer who paid more may feel dissatisfied.

Arts & Crafts

Art works and crafts produced by hand by a skilled craftsperson.

Education & Memberships

Education and memberships to elite institutions. All other things being equal, scarce degrees tend to be worth more than degrees held by a large number of people.

Scarce Resources

Resources that have limited supply such as gold.


Tickets to events such as sporting events.

Club Goods

Club goods such as access to a popular theme park.
Overview: Positional Good
A product or service that has limited supply that consumers typically demand more of as their income rises.
Related Concepts
Next: Luxury Goods


This is the complete list of articles we have written about products.
Brown Goods
Business Goods
Capital Goods
Club Goods
Common Goods
Common Resources
Complementary Goods
Consumer Discretionary
Consumer Durables
Consumer Goods
Consumer Products
Consumer Staples
Digital Goods
Durable Goods
Economic Goods
Experience Goods
Fashion Goods
Final Goods
Finished Goods
Goods & Services
Inferior Good
Information Good
Intangible Goods
Intermediate Goods
Knowledge Product
Luxury Goods
Market Goods
Merit Good
Natural Resources
Necessity Goods
Perfect Substitute
Public Goods
Search Good
Social Goods
Soft Goods
Sporting Goods
Substitute Good
Superior Goods
Unsought Goods
Veblen Goods
Virtual Goods
White Goods
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