Question

Pick any 2 questions and answer it (answer should be half page long per question):

18. Globalization seems to have brought benefits for almost everyone, though one exception is African farmers. Blocked from global food markets by trade restrictions, Africans cannot take part in the prosperity globalization has brought to the rest of the world. Many of the health crises such as AIDS, malnutrition, and even starvation are clearly linked to poverty. Moreover, many of Africa’s nations are politically unstable. If African farmers had better access to global markets, what would the implications be for African societies, nations, and economies?

19. Monday is typically the slowest day in the restaurant industry. So why do most restaurants stay open on Monday?

20. Why do cell phone users get offered free phones if they sign a contract with a service provider? Or why do most cable or satellite television service providers offer free installation, free receivers, and free satellite dishes?

21. In what ways can producers in a monopolistically competitive market increase the demand for their product? Consider grocery stores: they have little latitude on prices as their markup is so small, so to build sales they attract customers in what ways?

22. While there are only be a handful of automobile brands to choose from, each manufacturer makes a number of models. For example, Ford and Toyota each make nearly 20 different models of consumer automobiles – GM makes over 30. And for each model, there are different series’ and features that consumers can choose from. Why so much variety? Also, while you have options, why don’t you get to select every single feature for your automobile? Why do auto manufacturers draw the line somewhere and mass produce a finite amount of combinations of features?

23. OPEC, the Organization of Petroleum Exporting Countries, was formed in Baghdad in 1960. Since its formation, this cartel has suffered from a major problem with respect to the quota (limit) of output it assigns each member nation. What is OPEC’s goal and what sort of quota do you think the cartel assigns? How and why do nations cheat on their quota? What happens when a nation cheats on its quota?

Answer 1

Ans 19# :

Most building keep open on Mon even once knowing that it's the slowest day of the building trade. this can be owing to 2 reasons first with reference with offer with read purpose of restuarant, that if the provision is a smaller amount then they increase the worth on its product and services thus on cowl its losses and second notwithstanding the building incurs economic loss on Mon , they may still will increase the amount of total profits by remaining open. On Mon the demand for building is a smaller amount whereas the provision is larger than demand . thus building primarily incurs losses . however the purpose of gap the restuarant is that as long because it is ready to hide its variable price like price of food server etc it will then possible to pay its {fixed price|fixed charge|fixed costs|charge} if left over by paying variable cost. thus as long as they're ready to fixed costs , the whole profit sill exceed by gap on Mon than total profit closing on Mon.

Ans 22# :

1) In today's competitive world, wherever the planet has become a world village, sellers ar expected to supply styles of product to customers as they need become additional aware.

When we say that the planet has become a world village , it does not continually see sellers connecting with one another in several components of the planet , however it conjointly refers to customers being connected to every different in several components of the planet.

Example- If someone buys a product in Republic of India and his/ her relative stays in London, they each will exchange their expertise of purchase and also the one who are going to be glad with the merchandise will definitely refer the merchandise to the opposite person.

That's why firms nowadays ar that specialize in producing or developing completely different|completely different}|completely different} styles of an equivalent product as they recognize each customer( Their target customer) is different from different and conjointly their demands ar different .

2) though we've got such a large amount of choices, we do not get to pick each single feature for our automobile as a result of the client can not be given the entire freedom of deciding everything for his/ her purchase. The sellers ought to certify that the merchandise will justice with the value that they're giving . till and unless price} and also the value of the merchandise match, the vendor would not offer his cutomers any extra advantage as a result of he is aware of that the client will not purchase the merchandise if he/ she does not notice it value his/ her cash.

3) Manufacture mass turn out a finite range of combos of options as a result of as we all know that the primary step of selling begins with distinguishing or segmenting the target market ( customers) that is followed by analysis or analysis of the various factors liable for the shopping for behaviour of the client. once a corporation will this, it finds out United Nations agency ar their target customers, that client is feeling that feature the foremost etc. Through this analysis they resolve the preferences and dislikes of the shoppers and so, they emphasize on those options that ar largely likable by the consumers.

Also, once the businesses get the total plan a few buyer's selection and preferences, then they develop restricted products( in keeping with the preferences) that conjointly has another advantage for the corporate that it cuts off the assembly value and thus the cost- profit quantitative relation will increase.