A monopoly is where you can set prices almost everywhere you want, and there is no other competition. This is referred to as predatory pricing, where companies charge a price lower than production costs. These companies believe their competitors can’t afford the loses. Cable companies don’t worry about competition due to the protection they enjoy from the government. The cable companies get away with this by claiming they do not have competition, cities award them the contract by providing coverage, even though they may not have the lowest price.
Week 6: Individual - Money Train Multimedia Activity Week 6: Individual - Money Train Multimedia Activity XECO 212 March 25, 2012 Scenario 1 In 150 to 200 words, explain your reasoning for the way you are planning on using Reserve Requirements. Be sure to address the following: 1. How Reserve Requirements affect the economy 2. How your action will affect economic growth 3. Why it is important to increase economic growth 4.
Johnson will be personally taxed on all of Smithons income. This has the favor of eliminating the double taxation commonly associated with a C-Corporation. However, it will improver Johnsons current tax liability. there is usually no benefit to an S-corporation for a wealthy singular who is already in the go on tax bracket. S-Corporation income tends to favor start-up businesses and taxpayers with humble income, because the corporation is taxed at the individuals sink personal income tax rate.
2. Why were they successfully at avoiding litigation or government regulation? The major reason is that the tobacco industry can succeed in evading themselves from litigation is the interest network between them and the authorities, who provided the industry an invisible shield. Politician and the government needed the tax and money contributed by the tobacco industry, while the tobacco companies gravitated the legislation toward a position which was favorable to their business growth and shielded
In a highly competitive business world, on a firm’s priority list is the subject of increasing profit and reducing cost. One might than pose the question, has this put them out of business (mom and pop store)? The answer is absolutely not, but rather, they too benefit from cheaper prices as they continue to buy in bulk and continue to operate as the name suggest, convenient
Socially and culturally, California is a marijuana friendly state. By decree of national Government, California has been limited in expressing its natural born rights of freedom and expression. With the legalization of marijuana, California would benefit financially, almost immediately after implementing the initiative. The tax dollars being wasted to house, feed, and clothe the inmates of state and local prisons and jails, on inmates charged on petty and minor marijuana offences, could be used to lessen the deficit of debt. Marijuana could be governmentally taxed, and even the money they would lose to underground growers and buyers, would be more than they are spending to chase, apprehend, hold, feed, and house these ‘criminals’ today.
The following five force analysis reveals the medium to low industry attractiveness. The Threat of Entry – There is no effective entry barrier in this industry, so the threat of new entry will be quite high. There is no technology proprietary and the learning curve as a barrier of entry also has minimal effect. It’s true that firms operate over long time can reduce the cost by increasing efficiency, but efficiency is not the only cost driver in this industry and will not significantly concern the new comers. The Threat of Rivalry – The threat of rivalry is very high.
Free trade is when a government places no restrictions on what goods and products it's citizens import and export beyond their bordering country boundries. The text explains how beneficial unrestricted free trade can be for a country's growth, stability. According to our text a country should export products that are high is resource and low cost to make in abundance while importing goods not readily available or moderately available in it's own country. This theoretically makes for a higher GDP and for corporations to make higher revenues. So, these are the supposed facts but I see things a little differently.
If Datril decides to employ the second option, I do think they may be able to gain some market share from Tylenol’s existing customers, however if the drugs are identical, the only competitive advantage is price. Unfortunately, price is one the easiest advantages for a company to counter attack. Because Tylenol is the market leader of acetaminophen, they can employ the defense strategy and be successful in their counter attack Bristol-Myers. If Tylenol lowers their prices to match Datril’s, there will be no advantage in the market. The other risk with this option is the longevity of any marketing materials created.
* If they launch the product, they should prepared to sell only in Metro Manila and Kay provincial cities like Baguio, Cebu, Bacolod and Davao. Only the Wealthy cigarette smokers will probably be able to afford the product. They should not expect any sales from other provincial areas. The Company might choose whether to launch the product in the red package first, or launch Dunhill menthol in the green package simultaneously. There seems to be a trend toward menthol smoking, but again this will seems to increase their