Week 4 Eco 365

In: Business and Management

Submitted By dicerules
Words 1293
Pages 6
Eco-365 Differentiating between Market Structures Simulation

Name:

Date:

Instructor:

Characteristic | Perfect Competition | Monopoly | Monopolistic Competition | Oligopoly | Example | Dairy firms, Grocery Store | SKF | Nike | Wyeth | Product/service | Vegetables, milk etc | Bearings | Shoes, sports stuff | Pharmaceuticals, medicines | Entry Barriers | None-Low | High | Medium-High | High | Number of players | Many (over 1000) | Single | Few-Many | Few | Elasticity | >1 | <1 | <1 | Kinked demand therefore above price >1 and below price <1 | Economic Profit | NO | YES | YES | YES | Share of market | 0-1% | 80-100% | 15-20% | 40-60% | Firm Interdependency | None | None | Low | High | Price Discrimination | NO | Yes | Yes | Yes | Type of Product/service | Same | Unique | Differentiated | Homogenous/Differentiated | Collusion | Yes | No | No | Yes |

Question11: There are numerous advantages of the supply and demand forces on the market and the way it operates. The most important is their market regulating utility, i.e. they help firms set a market clearing price, at which pay-off for both the seller and buyer can me maximized. They also help encourage competition as firms with better products can charge higher and thus make more profits. Although, this trend differs in different market structures but generally consumers are willing to pay more for better products. The biggest limitations of supple demand forces might be socially undesirable outcomes as seen in the case of a market structure characterized by monopoly, where one firm control all production resources and thus possesses exploitative capabilities in terms of pricing and promotion etc. Example can be of utility companies (water, gas, electricity etc) that have a virtual monopoly over production resources of a certain geographical area and charge…...

Similar Documents

Week One Eco/365

...Article Analysis of Food Consumption ECO/365 Food consumption and the prices of consumptions have affected the American population in many ways. Prices have changed and accounted toward the increased prices in food consumption for the American population. Many factors have affected the price increases and types of food that are consumed. Simplicity and availability have also played a huge role in the elasticity of food consumption.   The utility derived from food consumption is the preference and satisfaction of the food itself, means of obtaining the food as well as the cost of food. In the case of food consumption, restaurants have grown in significant numbers. One example of this is McDonalds, starting in 1940 with only one restaurant where as today there are more than 31,000 restaurants, serving more than 68,000 people every day (About McDonalds, 2012). In over 60 years the consumption in just this one example has surpassed expectations with leaps and bounds and has lead to the cost of consumption along with supply and demand. More people equal more consumption in all things food. Food consumption is a necessity and with today’s busy lifestyle food sources have become readily available. The market for food has increased as has the desire to make food consumption easier. Simplicity has taken over the busy lives of Americans and the food industry has run with this concept. In grocery stores simplicity is everywhere, from individualized servings to family...

Words: 1037 - Pages: 5

Eco 365 Week 1

...(2013, April 30). In Wikipedia, The Free Encyclopedia. Retrieved 03:39, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Macroeconomics&oldid=552943019 Elasticity (economics). (2013, April 9). In Wikipedia, The Free Encyclopedia. Retrieved 03:39, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Elasticity_(economics)&oldid=549502583 Law of supply. (2013, March 15). In Wikipedia, The Free Encyclopedia. Retrieved 03:40, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Law_of_supply&oldid=544309158 Law of demand. (2013, May 4). In Wikipedia, The Free Encyclopedia. Retrieved 03:40, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Law_of_demand&oldid=553491684 Giffen good. (2013, April 20). In Wikipedia, The Free Encyclopedia. Retrieved 03:41, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Giffen_good&oldid=551255178 Veblen good. (2013, March 4). In Wikipedia, The Free Encyclopedia. Retrieved 03:41, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Veblen_good&oldid=542092355 Economic model. (2013, April 28). In Wikipedia, The Free Encyclopedia. Retrieved 03:41, May 7, 2013, from http://en.wikipedia.org/w/index.php?title=Economic_model&oldid=552509062...

Words: 2157 - Pages: 9

Eco 365 Week 4 Individual Assignment

...Running Head: Market Structures Differentiating between Market Structures Simulation University of Phoenix ECO 365 08/19/2013 There are many advantages of the supply and demand forces on the market and the way it operates. An important advantage is their market regulating utility. They help encourage competition and charge more and therefore make bigger overall profits. Consumers are willing to pay more for better products even though this trend differs in other market structures. One of the major limitations of supple demand forces is a socially undesirable outcome as in the case of a market structure that is characterized by monopoly. This is where one single firm will control all production resources and therefore has exploitative capabilities in the terms of pricing and promoting. One example can be that of an electric company that has a virtual monopoly over production resources of a specific region and charge whatever prices they want. Coca Cola Co. is ran in a beverage industry that is highly concentrated oligopolistic. They compete directly with another major company, Pepsi Co. These two companies hold over 98% of the beverage market in all of the United States. Both Coca Cola Co. and Pepsi Co. compete globally don’t have much competition knocking on either of their doors. Cadbury-Schwepps owns the remaining 2% of the US market share but it’s a struggle for them to try and expand share as well as getting more attention. Oligopolistic market...

Words: 1001 - Pages: 5

Eco 365 Week 1

...Running head: ARTICLE ANALYSIS PAPER Article Analysis Paper ECO 365 University of Phoenix Introduction Childhood food consumption patterns have been changing over the last three decades with the result that that most children are faced with obesity than ever before. The shift from food from home lunches to restaurant foods and fast food lunches, or junk food, is a major contributory factor. For most parents it is easier for them to give their children money to buy food than to prepare lunches at home. The two-parent working family means that there is little time for the parents to prepare for work and organize packed lunches for their offspring. Fast foods and restaurant meals tend to contain high levels of saturated fats, cholesterol and additives that exceed the recommended averages for a healthy life (St-Onge et al., 2003). In addition, the children prefer sodas and other beverages that contain lot of sugar and ultimately increase the level of energy intake per day. Inadequate exercise and buildup of fatty deposits in the body lead to the obesity and in later on in life, such people become prone to diabetics. The study of changing consumption patterns falls under the ambit of a branch of economics called microeconomics. Economics is the social science that deals with the allocation of scarce resources by examining how the forces of demand and supply determine who gets what and at what price. In a free market situation, the forces of demand and supply......

Words: 1305 - Pages: 6

Eco/365 Week 4 Kudler

...Differentiating Between Market Structures in Kudler ECO/365 Principles of Microeconomics Kudler Fine Foods operates three local upscale specialty food stores in the San Diego area. Kudler vision is to be the premiere gourmet grocery store for the clever shoppers searching for the best meats, produce, cheeses, and wine (Apollo, 2011, Strategic Plan, p. 3). Kudler has three stores in southern California and considers itself without direct competition (Apollo, 2011, Strategic Plan). Below is an evaluation of Kudler strengths and weaknesses, market structures, competitive strategies, and recommendations. Strengths and Weaknesses * The 2011 market survey for Kudler, indicated that the customer shopping atmosphere is the stores biggest strengths with over 80% of those responding agreeing that the “store hours are convenient” and the “atmosphere and décor are appealing” (Apollo, 2011, Market Surveys). Comparing the shopping encounter is a weakness. Only 40.3% of the 2011 survey responders agreed that the value of the products was good for the money, and only 62.5% agreed that customer service representatives were courteous (Apollo, 2011, Market Surveys). Highlighting the importance of the survey results, those who had responded that agree with the statement in the surveys decreased for every question from 2010 to 2011 (Apollo, 2011, Market Surveys). Kudler is just one of the few stores in Southern California in a niche gourmet food market, a weakness in price and......

Words: 1189 - Pages: 5

Eco 365 Week 4 Individual Assignment

...ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment-2/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment-2/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment-2/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment-2/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.c...

Words: 448 - Pages: 2

Eco 365 Week 4 Individual Assignment

...ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual Assignment http://homeworktimes.com/downloads/eco-365-week-4-individual-assignment/ click above Link to get this A Graded Assignment For More information visit our website : http://homeworktimes.com/ Let us know if we can assist you with any thing else today Hit us Email at : Onlineeducationalservice@gmail.com Thank you ECO 365 week 4 Individual......

Words: 495 - Pages: 2

Eco 365 Week 4 Lt Market Trends Paper

...This work includes ECO 365 Week 4 Learning Team Market Trends Paper Introduction When one dreams of beginning a flourishing business, they desire to make one that is fruitful, still impartial in the market in which they contend.All businessperson wishes his or her company to be the finest and wishes to make an empire that exceeds every anticipations. Unluckily, they annihilate all contenders looking for their own success.One such company is the mega-retailer, Wal-Mart. Business - General Business Imagine you are a team of outside investors who have been approached by Matt Grant to invest the $100,000 in financing he seeks for developing eight additional regional publications over the next five years, as explained in his Executive Summary. Resource: Case 1 about Matt Grant on pp. 474–481 in Entrepreneurship: Successfully Launching New Ventures Write a 1,400- to 1,750- word paper discussing the following: ·  Evaluate Matt’s business model. What assumptions has Matt made that appear to be valid? Which assumptions might not be valid? ·  What changes in the external and competitive environments could affect Matt’s business model? How likely is it that those changes might occur, and why? ·  What risks and rewards might Matt experience if he moved forward with his business plan?   ·  Evaluate Matt’s decision about forming a corporation. What benefits or challenges would incorporation provide to Matt? Would a sole......

Words: 357 - Pages: 2

Eco 365 Week 4 Knowledge Check

...www.StudentWhiz.com Questions to ECO 365 Week 4 Knowledge Check are as follow: 1. What do economists mean when they say there is "market failure"? • Business has introduced a product that consumers did not want. • Free markets have led to excessive profits. • Markets have surpluses or shortages so that government rationing is necessary. • Free markets yield results that economists do not consider socially optimal. 2.If a market has no externalities, marginal private costs • exceed marginal social costs • equal marginal social costs • are below marginal social costs • intersect marginal social costs 3.Economists generally call the effect of an agreement on others that is not taken into account by the parties making the agreement • an externality • welfare loss • Pareto optimality • excess burden Click here to download ECO 365 Week 2 Learning Team Reflection Production and Cost Analysis 4.The size performance improvements sought by those pursuing horizontal mergers is • economies of scale • increased market share • to coordinate activities more efficiently to spur growth • to decrease competition 5.A company buys another company in the same supply chain, but either in front of it or behind it in the supply chain. This is called • a horizontal acquisition • a vertical acquisition • a conglomerate • a joint venture 6.Sony and Toshiba become partners in a microprocessor manufacturing company. This is called • a horizontal acquisition • a vertical......

Words: 681 - Pages: 3

Eco 365 Week 4 Knowledge Check

...www.StudentWhiz.com ECO 365 Week 4 Knowledge Check Questions to ECO 365 Week 4 Knowledge Check are as follow: 1. What do economists mean when they say there is "market failure"? • Business has introduced a product that consumers did not want. • Free markets have led to excessive profits. • Markets have surpluses or shortages so that government rationing is necessary. • Free markets yield results that economists do not consider socially optimal. 2.If a market has no externalities, marginal private costs • exceed marginal social costs • equal marginal social costs • are below marginal social costs • intersect marginal social costs 3.Economists generally call the effect of an agreement on others that is not taken into account by the parties making the agreement • an externality • welfare loss • Pareto optimality • excess burden Click here to download ECO 365 Week 2 Learning Team Reflection Production and Cost Analysis 4.The size performance improvements sought by those pursuing horizontal mergers is • economies of scale • increased market share • to coordinate activities more efficiently to spur growth • to decrease competition 5.A company buys another company in the same supply chain, but either in front of it or behind it in the supply chain. This is called • a horizontal acquisition • a vertical acquisition • a conglomerate • a joint venture 6.Sony and Toshiba become partners in a microprocessor manufacturing company. This is called • a......

Words: 687 - Pages: 3

Eco 365 Week 4

...Differentiating Between Market Structures Jeffrey Henkel ECO/365 December 8, 2014 Hubertus Puaha Off-roading has become a favorite past time lately and one company that speaks volumes for the industry is Four Wheel Parts. They have cornered the market not only here in the United States but in the World. In order to minimize cost and maximize profit they have outsourced one of their sister companies to china to create competition with their rival companies by reducing labor cost. By doing so there were able to increase revenue by having reduced market prices. Many of the techniques they use are similar to companies in different markets and are the leading reason to why they have become the giants in the off road industry. Although there are several stores out there that cater to the off road needs of the greater United States Four Wheel Parts has singularly set themselves apart from all the rest and formed an oligopoly in the market structure of the off road industry. Even though there are several other companies out there that compete with Four Wheel Parts they have had the competitive edge that has set them apart ("4wd Parts", 2014). I choose Four Wheel Parts because they have taken over the market for off road supplies and have opened numerous retail stores all over the nation to cater to the American public. Not only do they offer aftermarket accessories but a number of mechanical upgrades as well. They can upgrade all the OEM stock parts to a......

Words: 1560 - Pages: 7

Eco 365 Week 2 Individual

...Supply and Demand Simulation ECO/365 Supply and Demand Simulation The supply and demand simulation included both microeconomics and macroeconomics concepts. The simulation focused on a property management firm, GoodLife Management, and its ability to adjust the levels of supply and demand of two-bedroom apartments in the Atlantis community. GoodLife Management was challenged with changes in population, tastes, income, and a price ceiling. As a result of these factors the firm had to strategize about shifts in the changes in supply and demand and determine the equilibrium price and quantity. The microeconomic principles from the simulation include the supply and demand of two-bedroom apartments and the affects of price. The simulation provided exercises on how to determine the number of apartments supplied, the population that demanded the apartments, and the appropriate price per unit at a given time considering market conditions. Microeconomics looks at the smaller picture and focuses on how individuals and firms make decisions based on economic forces. GoodLife Management had to consider how many apartments to supply and the price levels to charge for them to maximize profit (University of Phoenix, 2011, Week Two Simulation). Macroeconomics views the aggregate economy in terms of unemployment, growth, business cycles, and inflation. In the simulation, two macroeconomic concepts considered are the population growth in Atlantis and business cycles. GoodLife...

Words: 1057 - Pages: 5

Eco 365 Week 4 Knowledge Check

...1. What do economists mean when they say there is "market failure"? Correct answer: Free Markets yield results that economists do not consider socially optimal 2. If a market has no externalities, marginal private costsBottom of Form Correct Answer: equal marginal social costs 3. Economists generally call the effect of an agreement on others that is not taken into account by the parties making the agreement Correct Answer: an externality 4. The size performance improvements sought by those pursuing horizontal mergers is Correct Answer: to coordinate activities more efficiently to spur growth 5. A company buys another company in the same supply chain, but either in front of it or behind it in the supply chain. This is called Correct Answer: a vertical acquisition 6. Sony and Toshiba become partners in a microprocessor manufacturing company.  This is called Correct Answer: a joint venture 7. If two companies share ownership in a venture and agree on a formal management structure including members of both companies, this is called a Correct Answer: joint venture 8. Two companies come together to take on a project that has an explicit time cycle and ending point. The most efficient form of acquisition of this project is Correct Answer: a joint venture 9. The more elastic the supply and the demand curves are, the Correct Answer: greater the shortage a price ceiling will create 10. Assuming a binding price floor, the......

Words: 254 - Pages: 2

Eco 365 Week 4 Individual Differentiating Between Market Structures New

...ECO 365 Week 4 Individual Differentiating Between Market Structures NEW To Buy This material Click below link http://www.uoptutors.com/uop-eco-365-new/eco-365-week-4-individual-differentiating-between-market-structures-new You will apply important microeconomics concepts toward the competitive strategies of an organization that operates in an industry of your choice. You will evaluate the differences between market structures and identify a group of competitive strategies consistent with the market structure that best aligns with the market in which the organization competes. You will assess how the market structure positively and negatively affects the firm and evaluate the efficacy of the structure’s competitive strategies. Select an industry. Identify an organization in that industry. You may use the company you used for the Week 3 Learning Team assignment or you may select a new organization. Your selected organization must be submitted for instructor approval. Identify the market structure in which this organization competes. Clearly indicate why the market structure was decided upon, and how this market structure differentiates from the other alternatives. •    How might the company you selected find itself working with organizations in the same industry that are an oligopoly, perfect competition, monopoly, or monopolistic market structure. Examine the different sectors with an industry and how market structure may vary within those sectors. Identify three or......

Words: 298 - Pages: 2

Eco 365 Week 4 Knowledge Check New

...ECO 365 Week 4 Knowledge Check NEW To Buy This material Click below link http://www.uoptutors.com/uop-eco-365-new/eco-365-week-4-knowledge-check-new 1. What do economists mean when they say there is “market failure”? A. Business has introduced a product that consumers did not want. B. Free markets have led to excessive profits. C. Markets have surpluses or shortages so that government rationing is necessary. D. Free markets yield results that economists do not consider socially optimal. 2. If a market has no externalities, marginal private costs A. exceed marginal social costs B. equal marginal social costs C. are below marginal social costs D. intersect marginal social costs 3. Economists generally call the effect of an agreement on others that is not taken into account by the parties making the agreement A. an externality B. welfare loss C. Pareto optimality D. excess burden 4. The size performance improvements sought by those pursuing horizontal mergers is A. economies of scale B. increased market share C. to coordinate activities more efficiently to spur growth D. to decrease competition 5. A company buys another company in the same supply chain, but either in front of it or behind it in the supply chain. This is called A. a horizontal acquisition B. a vertical acquisition C. a conglomerate D. a joint venture 6. Sony and Toshiba become partners in a microprocessor manufacturing company.  This is called A. a horizontal acquisition B....

Words: 442 - Pages: 2