...The Current MBS and CMBS Markets – A Summary of Issues, Causes, and Future Markets With today’s economic difficulties it is no surprise that the markets for MBS and CMBS are down. The financial market crisis has definitely hit our economy and the MBS and CMBS markets are no exception. The credit meltdown has led to a curious pricing disparity in the commercial MBS market: Triple-A paper with a 5-year term is suddenly trading at spreads way above similarly rated 10-year bonds, due primarily to rising concerns about "extension risk." Last Friday, 10-year super-senior CMBS was trading at 1,050 bp over swaps, while the spread on 5-year notes swelled to 1,300 bp. Over the summer, before the credit markets went into a deep tailspin, the difference between the 5- and 10-year spreads generally was only a few basis points. The pricing difference throws bond-market convention on its head. All things being equal, long-term paper normally commands higher spreads to reflect the greater risk associated with holding investments longer. That started to change in the summer of 2007, when the credit crunch caused bond trading to slow. The benchmark classes of 10-year bonds started trading at slightly tighter spreads than 5-year paper because their larger supply offered more liquidity. But more recently, the gap has ballooned, widening to as much as 400 bp. "The trend has really become noticeable over the past month," one investor said. The new concern about 5-year CMBS is that the timely payoff...
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...Current Market Conditions Competitive Analysis: Apple, Inc. ECO/365 February 23, 2015 Current Market Conditions Competitive Analysis: Apple, Inc. Apple, Inc. is a multinational corporation that creates consumer electronics, personal computers, computer software, commercial servers, and they distribute media content. Their leading product is a smartphone called the iPhone, which began selling in the early 2000's. It has made them billions of dollars over time, because their cost to manufacture the phone is less than what they can charge to sell the phone to consumers. This leads to Apple producing larger profits for their shareholders. Besides manufacturing the iPhone, Apple is also responsible for the iPad, iPods, and Mac computers. Apple is known to have expensive products, but their products still have a high consumer demand. The first iPhone was unveiled in the market and sold to consumers on June 29, 2007. The device is unique because it is centered on its touch screen user interface, Wi-Fi, and downloading capabilities. According to Steve Jobs, Apple’s former CEO, “iPhone is a revolutionary and magical product that is literally five years ahead of any other mobile phone…” (Apple Press Info, 2007). The special capabilities of this phone have since led to seven versions of iPhones being produced and released to market. Factors that can affect the supply and demand and hence the equilibrium price of iPhones are varied. When iPhones first came on the...
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...| Has Market Economy approach led the world to the current economic situation? | | | | By:Divya Padmanabhan IES Management College and Research Centre Mumbai, India | Executive summary: “If war is God’s way of teaching geography to the world, recession is His way of teaching everyone a little economics”. The global financial crisis has questioned the efficacy of the existing institutional framework and forced us to rethink on how our financial systems are regulated. It has also posed an important question whether the root cause of this global crisis has been the highly praised ‘Open Market Approach’. The inter linkages in the global economy has ensured that no country remains isolated and unhindered by the crisis. With the economic crisis looming over the people at large, unemployment seems to be at all time high and the whole world having a pessimistic view of the future, capitalism seems to be at loss of reason for this crisis, let alone a find solution for it. There was a time when being a capitalist economy was a matter of pride and people were excited to be part of the “free” economy but somewhere down the line the excitement seemed to have vanished. What was thought to be an epitome of equality, turned out to be the cause of inequality. In an article by Joseph E. Stiglitz “Of the 1%, By the 1%, For the 1%”, 1 percent of the people in USA take nearly a quarter of the nation’s...
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...Running Head: CURRENT MARKET CONDITIONS COMPETITIVE ANALYSIS Current Market Conditions Competitive Analysis ECO/365 May 11, 2015 Competitive Analysis History Stevia is a plant that grows in South America. The Stevia plant has been cultivated for medicinal purposes, and because of its intense sweet flavor, it is often used as a sweetener. The components that comprise to make the Stevia plant sweet are Stevioside and Rebaudioside. The sweetener compound in Stevia is up to 150 times greater than sugar; it is heat-stable, ph-stable and not fermentable. (www.wikipedia.org) Stevioside and Rebaudioside sweeten without raising blood glucose levels; this is encouraging for people that have diabetes. People with diabetes are able to enjoy a soft drink without raising their blood sugar levels. The sweetening agents in Stevia may also be responsible for decreasing blood pressure, and preventing Left Ventricular Hypertrophy, or in other words enlargement of the left ventricle in the heart. Other studies of Stevioside show that its chemical compound is similar to the hormones used to prevent pregnancy. (Gunnars) Stevia has been used in Paraguay and Brazil for hundreds of years to sweeten teas and medicine. The first commercial use of Stevia began in Japan in the early 1970’s. During the 1980’s Stevia was used in natural foods and health food industries for non-caloric sweetener and weight-loss blend, until NutraSweet requested the FDA to perform testing on the herb. It wasn’t...
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...Current Market Conditions Stella Heering ECO 365 June 25, 2012 Tarron Khemraj Current Market Conditions Introduction In a civilization that has seen such a radical slump in the budget, people are penetrating for the best likely snips they can find. People crossways the United States are observing for habits to save cash; thus, penetrating for supplies that will deliver them with everything they need at an inferior cost. Businesses all over the United States are aggressive to stay modest and are looking for ways to rearrange their business and still deliver for customers the best likely prices. Businesses such as Wal-Mart do not have to alter their construction to fit the stresses of customers because it previously proposals its patrons brand name items at inferior prices. Wal-Mart’s basic construction has aided make it an influential retail trade, and a place customer’s love. Market Structure Wal-Mart Stores Inc. unlocked its first reduction store in 1962, Sam Walton had no impression his commercial would be the achievement that it is nowadays. The aim for Wal-Mart’s achievement is their aptitude to create a rudimentary construction for their business. Wal-Mart offers a diversity of famous brands and vends them at about 5-10% economy than other shops. This makes Wal-Mart an influential power in the selling business. Wal-Mart Stores is careful an oligopoly market construction. Colander (2010) describes oligopoly as a market disorder in which vendors are so few that the...
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...The factors that affect the demand for a tablet are things like cost, portability, and the large range of abilities that the tablet offers. Looking at the different types of systems available in the tablet, the Android system is a highly popular system that allows many types of applications that are available at little or no extra cost. As the demand for tablets increase so does the supply. There are many different companies offering the sale of tablets at competitive pricing. This does provide a problem in the supply area of tablets because the demand is so high. Since the beginning of the sales of the tablet the demand has been high. Keeping up in the manufacturing of these devices has proven to be difficult at times. In the case of the tablet the demand for them and projected difficulty of supplying them keeps the cost relatively high. On the other hand it has been some time since the tablet has been introduced to the public, and as more people purchase a tablet and more competition is introduced it becomes difficult to keep one company’s product in more demand than the next. Especially in the area of technology the development of new or improved products is consistent, this causes the price to become more affordable in time. As for tablets there are now more competition in number of companies manufacturing and selling them that the price is becoming more affordable. The tablet has been manufactured by many companies like Apple, Microsoft, and even Polaroid. Apple was...
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...Assessment of the Current Health Insurance Market Health insurance, whether it is private, public or commercial, is a system that distributes the financial burden of medical care among insured members (Austin and Hungerford). To explain how health insurance works, insurance companies first collect premiums from their members and use the funds collected to pay for members’ medical expenses. On one hand, some members may be sick and incur a significant amount of medical expenses. On the other hand, most members will remain relatively healthy and have a small amount of medical expenses. Even though, insurance companies will not know which members will become sick, they are able to calculate the average cost of medical expenses among a large group of members. Insurance companies use the premiums collected from members who are healthy to pay for those who become sick. Before the Patient Protection and Affordable Care Act, having a health insurance was optional for all Americans. It was mainly the risk-averse consumers who bought health insurance, and these individuals wanted to avoid the financial risks of unpredictable health care expenses by paying a known amount of premium. However, since 2014, people have been penalized for not having health insurance and the fee for not having insurance coverage will be higher every year. Resulting from the healthcare law change, individuals who did not have the health insurance will have more incentives to buy insurance since they will be...
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...Current Market Conditions Paper ECO 365 University of Phoenix April 6, 2011 Introduction In a society that has seen such a drastic downturn in the economy, people are searching for the best possible bargains they can find. People across the United States are looking for ways to save money; thus, searching for stores that will provide them with everything they need at a lower cost. Companies all over the United States are fighting to stay competitive and are seeking ways to restructure their company and still provide for consumers the best possible prices. Companies such as Wal-Mart do not have to change their structure to fit the demands of consumers because it already offers its customers brand name items at lower prices. Wal-Mart’s basic structure has helped make it a powerful retail business, and a place consumer’s love. Market Structure Wal-Mart Stores Inc. opened its first discount store in 1962, Sam Walton had no idea his business would be the success that it is today. The reason for Wal-Mart’s success is their ability to create a basic structure for their business. Wal-Mart offers a variety of well-known brands and sells them at about 5-10% cheaper than other retailers. This makes Wal-Mart a powerful force in the retail business. Wal-Mart Stores is considered an oligopoly market structure. Colander (2008) defines oligopoly as a market condition in which sellers are so few that the actions of any one of them will materially affect price...
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...Current Market Conditions Competitive Analysis ECON365 Current Market Conditions Competitive Analysis Companies spend extensive amounts of time, money and resources when exploring the creation of a new product or service. It is imperative that companies thoroughly research the market, the demand, and what consumers want. To best determine the potentials of this new product, it is important also to understand the existing and potential competitive market, explore different opportunities or issues that the company could face, and consider the factors that could affect the cost of producing the product. Company History Samsung was founded by Lee Byung Chul in 1938 in Taegu, Korea as an export trade company selling to nearby countries. During the 1980s, Samsung devoted more focus to its electronic division and began introducing products such as DVD technology, computer technology, and many other electronics as well. (Kovach, 2013) In 1983, Samsung Electronics evolved. It was not until 1999 when Samsung would make their mobile phone division the most profitable part of the company by releasing their first internet ready phone. Over ten years later, they released the first version of their flagship Android phone, the Galaxy S. (Kovach, 2013) Product History Since the original model hit the scene in 2010, many new versions have been released in the Galaxy S Series cell phone made by Samsung. (Kovach, 2013) The Galaxy S series is best known for its sleek design, its complex...
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...BOA’s Current Market Niche analysis Bank of America Corporation (BOA) is one of the world's largest financial institutions. It serves individual consumers, small- and middle-market businesses, institutional investors, large corporations and governments with a full range of banking, investing, asset management and other financial and risk management products and services (Andresen, 2012). The company operates in the Americas, Asia Pacific, Europe, the Middle East, and Africa. It is headquartered in Charlotte, North Carolina, and employs around 282,000 people. The company's market position is supported by a strong distribution network, unmatched by its competitors. The company, therefore, enjoys a dominant market position and leverages its position to gain competitive advantage over its peers. However regulatory changes and slow economic growth compounded by uncertainties could hurt its margins. According to the report from the official Bank of America website, as of December 31, 2011, the company operates in all 50 states, the District of Columbia and more than 40 countries. BOA’s retail banking footprint covers approximately 80% of the US population and in the US, the company serves approximately 57 million consumer and small business relationships with 5,700 banking centers, 17,750 automated teller machine (ATMs), nationwide call centers, and online and mobile banking platforms ( Martelli , 2012). In addition, BOA provides support to approximately four million small business...
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...Current Market Conditions Competitive Analysis Brian C. Cassidy, Jenna Tanner, Carla D’Amato, and Courtney Goddard ECO 365 April 13, 2015 David Copeland Norcross IV Introduction Ben & Jerry’s ice cream is a favorite and beloved American treat throughout the United States and 33 countries around the globe. Since Ben & Jerry’s are focused on providing a delicious and wide variety of flavors, they have recently decided to expand their products and develop and introduce a new product onto the market. In doing so, a strategic planning group has been gathered to conduct a series of analyzed to organize their strategy in the development of the new products. This will involve a comprehensive market analysis, as well as analyzes of supply and demand and variable costs that are involved in the development and marketing processes. This paper will discuss the history of Ben & Jerry’s and analyzes their product that are required to determine the product’s potential success. Background Ben and Jerry’s, (Ben &Jerry’s Homemade Holdings, Inc.) is an American dairy company. Ben Cohen and Jerry Greenfield founded the company in 1978 in Burlington, Vermont. Ben and Jerry met in 7th grade gym class, in 1963. Both men moved together to Vermont. While living in Vermont the young entrepreneurs decided to attend a correspondence course in ice cream making, at the Pennsylvania University Creamery. With a $12,000 investment, Ben and Jerry opened their very first ice cream parlor...
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...climbing all the way to the top as one of the worlds largest and most successful tech companies. They captivated audiences with their different way of thinking and not making their products similar to others already on the market. They attempted to lead the industry in innovation and were very successful at doing so. When Apple first established them in the market, they had emphasis on industrial design software and hardware. The company even ran an ad in 1984 saying that their product was opposite of what corporate “stiffs” would use. This almost created its own market and almost seemed like Apple was a culture instead of a brand. While they still focused on innovation, they weren’t he first ones to create a computer or cellphone, but essentially they mastered it and made their software as attractive as possible to their consumers. I feel as if apple can stay with the innovation attitude, but I feel as if they have established themselves to the point where consumers don’t look at their products in being different anymore because of all the current competition in the tech market. Also consumers feel like owning an apple product is a luxury item, because of the current price points their products sell at. With the always changing, fast paced, tech market I feel like the direction apple should be going towards is cross platform compatibility while continuing to be the standard in the tech world. Meaning that your watch is connected to your phone, which is connected to your tablet...
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...Current Market Conditions Competitive Analysis Paula Collins, Candesse Ediger, Kristi Shimmin, Chadrick J. White ECO 365 September 2, 2013 Krissa Wrigley Current Market Conditions Competitive Analysis Determining the most appropriate product to launch into the market is a difficult process. This market analysis will help determine the specific factors to help Pepsi evaluate how well the product is received by consumers in the marketplace. This analysis is based on our competitor Coca-Cola as a comparison to our product. A brief history is discussed with a look at the demand, supply, and equilibrium prices in the market. Other elements discussed are price elasticity and cost structure, and recommendations made on how to maximize our profits and successfully compete with Coca-Cola. History The original Coca-Cola product is introduced and developed in 1886 by John S. Pemberton (Bhasin, 2013). In the next 15 years Coca-Cola is purchased and incorporated into a business by Asa Candler, and they had their first celebrity endorser musician Hilda Clark (Bhasin, 2013). Coca-Cola began to move into other foreign markets by 1906 and branched out to athletes for their endorsement of Coca-Cola. Coca-Cola was the first to manufacture a contoured glass bottle for their product, and launch production plants in the Philippines and Europe. Between 1906 and 1938 Coca-Cola had entered into numerous foreign markets including Canada, Cuba, Australia, Norway, and South Africa. By 1950...
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...Current Market Conditions Competitive Analysis ECO/365 Bill Gates and Paul Allen made a company called Microsoft in 1975. They were computer fanatics that had a idea for personal computers. Microsoft then established itself into a household name. The marketplace for the personal computer became a actuality with the dream and hard work of Microsoft. Our group has been selected to be a part of a strategic planning team at Microsoft. They are the worldwide front-runner in software, services and solutions that support individuals and companies to realize their full potential ("A History of Windows", 2014). Microsoft is thinking about developing a new TV line. The marketing director directed our team to do a competitive market analysis and figure out the TV’s possible success. Our analysis will include an emphasis on Microsoft’s primary challenger (Sony) in the TV market. This report will look at the company as it relates to the current market settings and as it pertains to Microsoft concerning the marketplace structure, knowledge, price elasticity of demand, and participants. Tec-view vs. Sony HD Television Microsoft has developed a new television that will be an all in one component called Tec-view. This product will take the place of your computer and various digital devices while maintaining the expected functions of a television. Microsoft has brought superior upgrading to the line of visual experience. The competitor Sony HD television, is also working...
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...* How information systems are helping the company To keep its place as one of the leading consumer product goods companies, Procter & Gamble is focused on understanding the current market state and predicting how future market changes affect consumer behavior and global brand strategy. P&G tasked the MIS team with two projects to support these goals. Firstly, the team developed a method of estimating key consumer metrics by country and built an application to facilitate analysis of these metrics and assessment of future opportunities. In addition, the team created a process by which specific brand measures could be compared over time and assessed for positive growth. Secondly, the team has benchmarked and recommended a data visualization solution for global market and economic data to aid decision makers’ focus on salient issues. This recommendation will be supplemented by a selection of customized graphs and dashboards, focusing on important concepts and trends. With these new capabilities, P&G will be better able to identify where current and new market opportunities lie, and how it can successfully implement its brand strategy in those areas. Currently, the team has completed all major deliverables and is preparing for its final presentation. The project has been a valuable learning experience for the team, exposing them to the fast-paced world of marketing strategy and analytics. MIS program allows students to work on real projects that provide real value...
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