...Close Friendship As the new century came, we had some new tools, including telephone, email, and social networking sites, to get contact with the others. For instance, Facebook is one of the most popular social networking sites at present, where we can show ourselves and make some new friends. Telephone is another important tool to help us keep in touch with friends or relatives who we can not talk face to face. Thanks to technology, such as cell phones, message, and social networking sites, we can keep in touch with our friends or relatives who live too far to talk face to face or too hard to talk at the same time and remember their appearances. We can keep in contact with friends or relatives who live in cities in the distance so that we can send our concern and blessings to each other to be close. I make a call with my maternal grandma who live in China every week. Our talking usually just last ten minutes with some same centence. “How was your sleeping these days?” I would ask every week because of her insomnia. “I am fine. Do not worry about me,” she normally in this way in a soft voice. She also tell me what has happened in the passed week, “ You know, cucumber is six yuan each pound. It is so expensive.” By talking with her, I always feel we are as close as before when we live together. I can talk with my friends who live in Germany, too. “Yesterday, I almost missed my test because I went to a wrong city,” she told...
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...Being raised in the small town of Ripley, Mississippi, I was not exposed to happenings throughout the world for quite some time. I never imagined that anything could upset my perfect utopian world I thought to be true. However, my world turned upside down when I saw the world beneath the facade. Televised news reports of devastation, diseases, poverty, and war made my unworldly, simple-minded character begin to question the state of humanity. Even though the world was not as pleasant as I had dreamt it to be, I am able to find the silver linings in all the imperfect aspects. Hurricane Katrina, the pandemic Ebola outbreak, and the Paris terrorist attack have taught me more about solicitude and aid to others than awareness of catastrophic events....
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...The desire to create a perfect society has been alive for centuries. The effort to make a utopia can be seen throughout history. In the novel Brave New World, Aldous Huxley writes about the idea of a flawless community. During Huxley’s time, the Nazis were in pursuit to establish their pure nation forcibly by using violence to organize a world of only fit Germans. Attempts to design a ideal society can still be seen today such as in America and North Korea. The paths of building a faultless society can happen in many ways. In the 1930-40s, there was a well known movement to form the perfect society. A group in Germany, called the Nazi’s, had a certain idea of a unblemished race and tried methods of constructing a society with only the “perfect”...
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...where one single supplier dominates an industry and sets price. We start our analysis of market structures by looking at perfect competition. Firms operate within their market, which consists of: Supply side: all of the firms producing similar products Demand side: all buyers willing to purchase the products Markets differ; the auto market is far different from the tomato market, for example. Thus economists separate markets into 4 categories: perfect competition, monopolistic competition, oligopoly, and monopoly. Perfect competition: There are many, many small sellers (technically, there must be an infinite number of sellers), each of whom produces an identical product. It is very easy for new sellers to enter this market, and it is easy for existing sellers to leave the market. Examples: There are no real world examples of perfectly competitive markets. The stock market comes close. 2.0 Analysis 2.1 Perfect competition Perfect competition describes a market structure whose assumptions are extremely strong and highly unlikely to exist in most real-time and real-world markets. The reality is that most markets are imperfectly competitive. Nonetheless, there is some value in understanding how price, output and equilibrium is established in both the short and the long run in a market that holds true to the tough assumptions of a world of perfect competition. Economists have become more interested in pure competition partly because of the rapid growth of e-commerce in...
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... December 7, 2015 J. Carl Bowman Differentiating Between Market Structures 2 The Kroger Company has started in 1883, by the founder Barney Kroger, he had taken all of his life savings to open the first Kroger grocery store in Cincinnati, Ohio. “Over the next 130 years as the supermarket business evolved into a variety of formats aimed at satisfying the ever-changing needs of the shoppers” (thekrogercompany.com). There are more than 2,600 stores within 34 states and more than a dozen banners and their annual sales is in the billions. Kroger is one of the biggest grocery stores in the world. There are two departments that Kroger supermarkets, the bakeries and meat and seafood. History of Kroger “In the 1900s grocery stores bought their bread from an independent individual, but Barney Kroger has, come up with the idea to put the all of the main ingredients together to be able to make a profit” (thekrogerco.com). He decided that if he was to bake his own bread he would be able to decrease the price, so that the consumers would be able to afford and still make a profit. In the year of 1901 Kroger was the first grocery store to have their own bakery, and also was the first to be able to sell meat and groceries all in the same building. He even cook his own can goods. “Kroger...
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...ECONOMICS INDIVIDUAL ASSIGNMENT QUESTION Explain why you, as manager of a firm in a perfectly competitive firm, would have no discretion in setting prices of your product ANSWER Perfect competition demands very strict assumptions that are unlikely to be found in many if any markets in the real world. Markets that most closely equate to perfectly competitive ones are those in which there are very large numbers of buyers and suppliers, reasonably free entry and exit from the market and well informed consumers. It is in such markets that the purchase decision is driven by price. A perfect competitive (price taker) market exists when the following conditions occur: • Low entry and exit barriers - there are no restraints on firms entering or exiting the market • Homogeneity of products - buyers can purchase the good from any seller and receive the same good • Perfect knowledge about product quality, price, and cost • No single buyer or seller is large enough to influence the market price Managers must take the existing market price; if they set a price above the market price, no one will buy their product because potential buyers simply will go to other suppliers. Setting a price below the market price does not make any sense because the firm can sell as much as it wants to at the market price; selling below the market price will just reduce profits. Because Managers must take the current market price a purely competitive market...
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...video of Steven Jobs (the CEO of Apple) showing Jobs stating, “The only problem with Microsoft is that they have no taste—Absolutely no taste.” The goal of Microsoft showing the video to Microsoft workers was to infuriate the Microsoft workers sufficiently so that they would show that not only do they have taste, but that they can bury Apple and its iPod. It was to make the competition with Apple personal. It didn’t work, and Apple went public with its “no taste” view of Microsoft in a series of TV ads that portrayed the Apple computer as the tasteful computer compared to a rather stodgy PC. In earlier chapters we’ve seen some nice, neat models, but as we discussed in a previous chapter, often these models don’t fit reality directly. Real-world markets aren’t perfectly monopolistic; they aren’t perfectly competitive either. They’re somewhere between the two. The monopolistic competition and oligopoly models in previous chapters come...
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...which a firm faces no competition because it is the only firm in its industry. At the other extreme lies what economists call perfect competition, a situation in which a firm competes against many other firms in an industry in which they all produce an identical good. Between the extremes lie two situations: oligopoly, where there are two or more firms in an industry; and imperfect (monopolistic) competition, in which there are many competitors, but each produces a slightly unique good. Market Simulation Market structure is not a concept that is stable. In fact, it is not uncommon for a firm to have more than one market structure over time. It is interesting to examine how the dynamics of market structure evolve by adding competition. The market simulation showed a great example of market structure evolution. In the simulation Quasar entered the computer market with cutting edge technology making it a monopoly. Team B then recognized that investing in advertising was profitable for Quasar only if it reduced the price of its computers. In this market there are no changes in the suppliers and we saw an increase in consumers after investing in advertising. The dynamics of the market changed when Orion technologies entered the market, making it an Oligopoly taking over 50% of the market. As a result of the entering competition Quasar had to find a perfect price to offset the competition from Orion technologies....
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...investment. In short, it is the opposite of a competitive market in terms of the number of sellers and degree of competition, as it opposes to perfect competition. While there are only a few monopolies in the United States because the government limits them, here in Brazil it is the opposite there are many public and private monopoles and they serve well the government for financing their political campaign in detriment of the people. The main conditions for a monopoly A legal monopoly arises when a company receives a patent giving it exclusive use of an invented product or process. Patents are issued for a limited time, generally twenty years. During this period, other companies can’t use the invented product or process without permission from the patent holder. Patents allow companies a certain period to recover the heavy costs of researching and developing products and technologies. A classic example of a company that enjoyed a patent-based legal monopoly is Polaroid, which for years held exclusive ownership of instant-film technology. Polaroid priced the product high enough to recoup, over time, the high cost of bringing it to market. Without competition, in other words, it enjoyed a monopolistic position in regard to pricing. Nevertheless, technology and trademarks are also responsible for monopoles around the world. Unlike in perfect competition, the monopolistically competitive firm does not produce at the lowest attainable average total cost. Instead, the firm produces...
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...Freedom By JEFFREY KATZ Wall Street Journal, June 7, 2012 http://online.wsj.com/article/SB10001424052702303830204577448792246251470.html Never is the issue concerning monopoly and perfect competitive market failing to attract our eyes. And this is also a hot topic we discussed in our economics course. According to the article, Google, the most popular search engine in the world, controls nearly 82% of the global search market and 98% of the mobile search market. Its annual revenue is larger than the economies of the world's 28 poorest countries combined. And its closest competitor, Bing, is so far behind in both market share and revenue that Google has become, effectively, a monopoly. A monopoly refers to a situation wherein there is a single seller of a product or service for which there are no close substitutes. A single company dominates its area; squeezes out all its competitors thus gaining control over the entire market and inevitably can dictate the price of the product or service. While in the perfect competition market, many firms produce identical products, and competition forces them all to sell at the market price. Firms face perfectly elastic demand curves at the price determined in the market because no firm is large enough to affect the market price. Compared with perfect competition, monopoly is inefficient. First of all, monopoly will create the deadweight loss for the market. A deadweight loss is a loss of economic efficiency that can occur when equilibrium...
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...business world will run their company in one of the four business structures. I am going to show the different examples of the different market structures of perfect competition, pure monopoly, monopolistic competition and oligopoly. Perfect competition is a big number of firms all making a familiar product that not one producer can affect the change in price. “If changes in nominal aggregate demand do not affect real output and employment, a financial crisis cannot be very important. However, the neutrality result does not really apply in the real world, either in the short or long runs.”(Ng, Y. 2009) An example of pure competition would be farms that produce common vegetables that we buy at the grocery store. There are so many farmers that produce fruits and vegetables that if one of them were to try to affect the market by lowering or raising prices, it would not really affect the prices of the rest of the market. But if a large portion of farmers where to work together about raising or lowering prices, we would see it affect the market more. “In reality, perfect competition is more theory than actual fact. While there are rare situations in which a marketplace functions with pure competition for a short period of time, the situation normally shifts as various factors change the stalemate created by a multiplicity of sellers and buyers. This is often due to the somewhat stringent set of factors that must be present in order for the competition to be considered perfect or pure...
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...classified in the following market structures: perfectly competitive markets, monopolistically competitive markets, monopolies, and oligopolies (Colander, 2010). A perfectly competitive market exists when every contributor is considered a “price taker”, and none of the contributors influences the price of the product it sells or purchases. Two examples of a perfectly competitive market would be milk and gas. There could be many suppliers of both products, and if one supplier wants to raise their price higher than the price the market determines, consumers will go elsewhere to purchase the item in need. Other characteristics could include: zero entry and exit barriers, zero transaction costs, profit maximization, homogeneous products, and perfect factor mobility (Colander, 2010). In a competitive market price is determined the quantity of product, marginal revenue, and the marginal cost. If the marginal revenue is higher than the marginal cost then the firm can set the price based on those numbers. If the marginal cost outweighs the marginal revenue, then the firm begins to lose money. The firm is looking for the right number that will maximize profits by having a higher revenue...
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...Luxottica I pick Luxottica for my Market structures writing assignment paper. I have never heard this company before but they are the biggest manufacture of company in the world. Luxottica is the Monopoly company because they bought the small company to become the biggest company like I have learned in the class. Adrian Chirila stated that this company was started founded in 1961 and by the 80’s they started to buy any eyewear company in the world if they can afford it. For Monopoly market structure, there is no competition in any small firms. Monopoly market has power for making price. For example, when I plan to go to get my eyeglasses at the “America’s Best”, I should think about my finance all the time because it kinds of expensive....
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...for its day to day operations, marketing and promotional efforts, and competing with the industry rivals (Loudon, Stevens, & Wrenn 2004). The key factors of the business environment that affect the business operations of a company include political, economic, technological, environmental, cultural, and demographical factors. This essay will explain various markets structures which are monopoly, oligopoly, perfect competition and monopolistic competition. The purpose of this paper is to discuss the impacts of different environmental factors on the business operations of Barclays. The discussion has been made in the light of international accepted microeconomics concepts and practices. Market structures Monopoly is a market structure, where only a single seller producing a product having no close substitutes. This single seller may be in the form of an individual owner or a single partnership or a Joint Stock Company. Such a single firm in market is called monopolist. Monopolist is price maker and has a control over the market supply of goods. On the other hand, Perfect competition a market structure characterized by a large number of firms so small relative to the overall size of the market, such that no single firm can affect the market price or quantity exchanged. Perfectly competitive firms are price takers. Moving on, in an oligopoly, there are only a few firms that make up an industry. This select group of firms has control over the price and, like a monopoly, an oligopoly...
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...Course: - Edexcel HND in Business Module: - Business Environment Assignment Prepared by: Lecturer: Mr Term: Sepember-December2012 Course Start date: September2012 (Birmingham Central Campus) Introduction: This Assignment is about Business Environment and I have to complete the flowing tasks for the purpose of the assignment: Task 1 1. Types of Business Organisations, their purposes: There are three main types of Organisation in UK A) Private sector organisations. B) Public sector organisations. C) Voluntary sector organisations. The main types of Business organisation in the Private Sector is: The Sole trader: A sole trader is a business that is owned by one person. It may have one or more employees. It is the most common form of ownership in the UK. (e.g. Window cleaning, and Plumbing, etc.). Nowadays lots of people are setting up their own businesses by creating small web-based companies working from home. The Partnership: In a partnership, partners are personally liable for the debts of the business, although partners in a limited partnership (not to be confused with a limited liability partnership) who play no part in the management of the business, may have a limit on their liability set out in the Partnership Deed.. Companies: are owned by shareholders that each contributes a stock of money into a central pool. This pool of...
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