Basic Economics Name University PART 1: PRICES AND MARKETS 1. Scarcity indicates limited or finite or limited sources whereas shortage is related to the amount a supplier is willing to provide at a given price in a given time and its demand exceeds its supply. There can be a growing shortage without growing scarcity as shortage is a short term phenomenon and does not affect scarcity. 2. A decision can be economic even if there is no money involved.
Nestle learned the hard way that an enterprisewide rollout involves much more than simple installying software. Pella wants to create visibility and achieve interplant synchronyzation to create better scheduling higher labour productivity and lower inventories. Pella's manufactuing plants operate very efficiently but as silos. The new technology software will provide visibility improve the speed and quality of information by replacing disparate legacy systems with an integrated platform. The more Pella can reduce manufactuing time the more time they have to distribute the product and be compeitive with local suppliers.
When the government prevents prices from adjusting naturally to supply and demand, efficiency is improved in the economy. ANSWER: F TYPE: T KEY1: D SECTION: 2 OBJECTIVE: 7 RANDOM: Y [cxviii]. A market economy cannot possibly produce a socially desirable outcome because individuals are motivated by their own selfish interests. ANSWER: F TYPE: T KEY1: D SECTION: 2 OBJECTIVE: 7 RANDOM: Y [cxix]. While the invisible hand cannot guarantee efficiency, it is better at guaranteeing equity.
However, the company must be careful because a too big of a ratio can eventually lead to bankruptcy (Investopedia). The inventory turnover ratio for Nestlé is lower than Hershey’s because Nestlé either has lower sales or excess inventory. The total asset turnover for Hershey’s is also higher; this means that it is more efficient in using its assets in generating sales. As a result of a higher total asset turnover, the gross profit margin is lower than Nestlé’s (Investopedia). The return on assets and return on equity ratios are also better for Hershey’s because the company is making more money on less investment then Nestlé.
Abstract In this paper, we address the strengths and weaknesses of W. L. Gore and Associates. We explain how Gore empowers employees to succeed in their positions, while also being creative and inspiring others. Weaknesses are addressed within the organization’s lattice approach including those of place and purpose for employees. Gore is compared with larger organizations and governmental bodies in general to provide examples as to how the current structure of the organization, the lattice approach, would be inefficient for most firms. W. L. Gore and Associates: An Efficient Lattice Structure?
Analytical Essay Overall wellbeing, an extravagant lifestyle, and wealth all come to mind when I ponder the good life but what does the good life actually cost? At first glance, this seems like a loaded question that requires multiple dissertations in order to answer. I even contemplated whether or not the good life had a cost at all. Breaking the good life into separate topics relieves much of the stress when it comes to giving an answer. In terms of consumerism, the good life is damaging to the environment, places too much emphasis on money, and it dwindles the importance of non-market values.
Another advantage to AAB is that it is easily implemented and changed as the cost to produce the product increases; this will benefit AAB as it will take less time to adjust the prices and save time, in the business to make sure all the other products are doing well. A disadvantage of using cost-plus pricing to AAB is that it doesn’t take into account the competitors cost or prices, this is a problem as the costs could be less for the competition meaning their prices may be lower, which would lead to less people shopping in AAB and more people going to their competitors for products of similar quality. Another pricing strategy that AAB could use is promotional pricing; this can be in a variety of forms such as loss leader, an
Wheatley agrees with Stoll’s claims except for his dismissal of the financial costs to maintain a technologically savvy lifestyle. The amount of money that it takes to keep up with all of the different types and forms of technology is overwhelming. Wheatley strongly argues this point as well as the dependency that society has on technology. However, he falls short in supporting his opinion on whether or not depression really affects a person’s mental state. He also supports the counterarguments of the affects of technology on too many occasions.
Case Study Memo #1 From: Discussion: Re: Case Memo #1 Motivation: Engstrom Auto Mirror Plant The main problem is a lack of employee motivation. Key issues include a sluggish pace of productivity, poor product quality, employee distrust, questions of fairness, and potential pilfering. Expectancy Theory, Equity Theory, Maslow’s Need Hierarchy, McClelland’s Need Theory, and Herzberg’s Two-Factor Theory help explain how incorrect motivators and organization factors have led to a lack of employee motivation. Expectancy Theory focuses on links between effort, performance and reward. Before the downturn, strong effort leading to greater performance and higher profits and consistent quality was rewarded with good financial outcomes.
The cost to the government and the taxpayer of keeping the business’ running and making sure they efficiently pursue their desired function can have high opportunity costs.This is especially prominent in a time of recession/economic downturn when the money could be spent in other ways to increase growth the economy,such as macroeconomic policies including fiscal and monetary policy. On the other hand public ownership does have some positives. The main benefit is that of public interest, this includes the fact that the business is not there to operate for profit, it is there to serve the consumers. This point could also be tied in with the fact that any profit made by the business’ if government owned will go back into society. This is obviously beneficial if the business’ are making profit, but it could be argued that a business should not be making profit, but instead charging lower prices to consumers initially.