Are Tesla's prices competitive in the electric car market and do they have a variety of...

Are Tesla's prices competitive in the electric car market and do they have a variety of price points enabling the company to target a variety of market segments?

Expert Solution

Rahul Sunny answered 2 years ago

Explain the role of prices in a perfectly competitive market? Discuss and explain structure of competitive...

Explain the role of prices in a perfectly competitive market? Discuss and explain structure of competitive market.

Tesla's new electric cars are making noise in the media as they are creating in increase...

Tesla's new electric cars are making noise in the media as they are creating in increase in demand for green efficient transportation. Research an article on how the social influence from companies, such as Tesla, are impacting consumer decisions. How should the government react to these changes in consumer demand; changing the laws or letting the competitive markets determine if a company's impact on the supply and ultimately demand for certain products should be allowed.

Suppose a firm in a competitive market face the following costs and prices.

Suppose a firm in a competitive market face the following costs and prices. COSTSREVENUESQuantityProducedTotalCostMarginalCostQuantityDemandedPriceTotalRevenueMarginalRevenue0$0--0$80--1$501$802$1022$803$1573$804$2174$805$2855$806$3656$807$4627$808$5828$80Complete the table.How much will the firm produce to maximize profit?What is the economic profit at the quantity produced to maximize profit?

Why do we, as consumers, prefer the prices found in competitive markets? How are the prices...

Why do we, as consumers, prefer the prices found in competitive markets? How are the prices in perfectly competitive markets determined? Explain, Which of the four market structures that we covered is most profitable for the firm? Is this the best market structure for consumers? Why or why not? Explain. We've made a pretty big deal about the differences between fixed and variable costs. Why does variable cost change as output changes? From your perspective as a manager, why is...

Suppose that Bob produces electric bikes in a competitive market. For simplicity, assume that there are...

Suppose that Bob produces electric bikes in a competitive market. For simplicity, assume that there are no fixed costs to produce e-bikes. Illustrate two graphs side by side. On left- hand side graph, present the firm. On the right-hand side graph, present the corresponding market. For the firm draw a smooth U-shaped average cost curve and a corresponding marginal cost curve. For the market, draw a demand curve and short-run supply curve that provides positive economic profit for the firm....

What is Tesla's relevant product market and relevant geographical product market?

Start with the cobalt (used in electric car batteries) market in equilibrium. Then, there is a large...

Start with the cobalt (used in electric car batteries) market in equilibrium. Then, there is a large increase in the production of electric cars while there is political unrest (leading to less mining) in the Congo which is the major source of cobalt. What happens to the market equilibrium?

You are in the market for a new car. With gasoline prices rising, you are looking...

You are in the market for a new car. With gasoline prices rising, you are looking for a gas efficient car. You have narrowed down the choices to two cars. Prima, a gas efficient car, priced at $25,000, and Malibu, a standard car, which sells for $22,000. You are planning to keep your car for six years. The manufacturer sticker on Prima states that compared to a standard car, Prima will have annual savings of $600. Assuming your opportunity cost of...

Let's look at Tesla's profitability. What do the numbers say? Is Tesla profitable? Does it have...

Let's look at Tesla's profitability. What do the numbers say? Is Tesla profitable? Does it have a competitive advantage? Motivate your responses.

What firms in perfect competitive market and monopolistic competitive market have in common? How they are...

What firms in perfect competitive market and monopolistic competitive market have in common? How they are different in the long run? Explain using appropriate graphs.

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