Monopoly and Quasar

Acer has a degree of control over its prices and a considerable amount of non-price competitions exists, which ultimately leads to price discrimination (University of Phoenix, 2011). As such, Acer should focus on attaining and retaining loyal customers. Their non-pricing strategy should be focused on the development of products that are unique

The Mickey Mouse Monopoly documentary reveals the obscure social messages behind the animated films created by the Disney Company. Although we are conditioned to believe that these movies are pure forms of entertainment, further examination has proved that there are hidden messages concerning gender, race and class that Disney is instilling in the minds of children. The speakers in the documentary argue that Disney is extremely political and hides its ideas behind innocence, magic and fun. When masked by features that are appealing to a younger audience, it is difficult to realize these ideas without taking a closer look.

Due to the nature of its business, the company looks for technological risks generated by one or more of the following factors:

On the 1st of June, 2015, Intel announced that they acquired Altera, another chip maker in the high technology industry who is particularly professional in producing programmable chips, by $16.7 billion as well as about $54 per share for Altera shareholders, which was the largest acquisition that Intel ever made (Nusca, 2015). The price is quite close to which was proposed by Intel, but in fact, just two months before Intel approved the acquisition, Altera rejected the price that Intel proposed. In the last few years, Intel suffered from the declining sales of personal computers, of which has been the main profitability source, and has been dominated by Intel for a long time, as consumers switch their preference from laptops and personal computers to tablets and other mobile devices (Huddleston, 2015). As a result, away from PCs, Intel has to work harder to get

Microsoft is the software giant responsible for bringing Windows operating system to the PC (personal computer). Microsoft is also a known and well respected company in the global market. The tech giant has dominated the computer industry since 1981. Due to the nature of such a huge company, Microsoft has its hands in multiple markets. Microsoft currently competes in file hosting, software, operating systems, and gaming consoles. Unfortunately, each of the afore-mentioned markets differ from one another. For the purpose of this paper, the market that

• The consumer electronics market is highly competitive with rapid changes in consumer demand patterns.

In order to better, understand the process of accounting in a service business, for two consecutive days the class was divided into pairs and played Monopoly against each other. While playing we had to keep track of our transactions. However, due to the nature of the game, each team had to take into account the choices they make, their opponents make and, various “chance” factors before making transactions. Representing as a single company Melissa and I played Monopoly against two other teams. Both Melissa and I were unfamiliar with the game and decided that our strategy was to buy many properties and hope to gain more rent revenue and cash as the game proceeds. After two days, when the game was finished, our results were not extraordinary

The large capital requirements to enter the computer industry combined with established brand identities of the current incumbents make barriers to entry high, not to mention the economies of scale and distribution channels that incumbents enjoy which make entry barriers even higher. The current PC incumbents enjoy demand-side benefit of scale in the business sector where PC buyers prefer to buy products from large trusted companies, raising the level of entry barriers.

IBM needs to grow revenue and stay competitive in the dynamically changing computer marketplace of the 1990’s by maintaining technological leadership and accepting the organizational transformation which needs to be undertaken for them to excel. IBM needs to recapture their previously held powerful position in the personal computer and microprocessor markets and regain value in the company which will increase its stock value and competitive advantage in the marketplace.

The company's evolution was achieved by taking away share from business frontrunners and “co-modifying” the product. Rather than being the market leader in other consumer electronic products (such as HDTV, digital cameras, etc.) when the prices for new products are high and consumers are doing research prior to the purchase Dell's home might be to jump into the market as consumer electronic products begin to changeover into merchandises. The company can be prepared to capture the second wave or level of consumers who have not taken on new technologies and products until the prices lower and technology becomes accepted.

Quasar can also control the quantity supplied and its price due to absence of competitors and substitutes. In order to increase the awareness about the product among large corporations, $600 million was spent on advertising with appropriate pricing policy. It optimized profit for Quasar by increasing demand and sales of the products. A price of $2,450 set for the computers produced total profit of $2.74 billion in the year 2004. The quantity demanded increased to 7.7 million from 5.3 million. In the following year 2005, in order to maximize the profit, the decision to upgrade the production process was taken. This increased the sales revenue and reduced the total cost for the business (Tata Interactive Systems, n.d.). The price was also decreased to $2,200 from $2,450 per unit, yielding a profit of $2.21 billion due to optimization of production processes. All these decisions taken in three years, when the company enjoyed a monopolistic situation due its patent rights, maximized the bottom line.

True to nearly any commoditized product, pricing and availability became the only two significant differentiators quickly as Intel increased

Selling utilizing a lower price leverage: Quado may utilize pricing as leverage against Synectics as them being a large company charge brand name premiums when Quado does not. This enables Quado to price their service below their competitor. The pros of this approach are that pricing is most of the time a very important factor in business and a lower price may seem as a great differentiator. The cons are that being Quado a small company, they stated they do not have the resources to fully develop a quota for the entire project so the pricing is an estimated projection of costs which are highly subject to change and at the end may result in Quato either having to charge a higher price, or absorb the difference and generate a loss in revenue.

PC industry is characterized by fast declining ASP year over year. Together with the increasing component costs from 2009, both Dell and HP are facing squeezing profit margins (HP 2010; Dell 2010). In the first quarter of 2011, HP’s gross margin for its Personal System Group (PSG) is as low as 6.4% (Epstein 2011). Similarly, Dell’s gross margin of PCs is often 3 to 5% (Wang 2010). This indicates that if both

Investing in research and development to create new product line or enhance current products adds considerable expenses. Development costs will need to be re-cooped. This will keep competitors in check, but will be challenging to keep pricing competitive.