Iowa farmers can choose from five different manufacturers of farm implement equipment. Two of these manufacturers account for more than 80 percent of all the farm equipment sold in Iowa. These two manufacturers produce very similar equipment. Whenever one manufacturer has a sale, offers rebates, or offers special financing, the other manufacturer quickly follows with a similar program. Competitive Situation: Explanation
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- Iowa farmers can choose from five different manufacturers of farm implement equipment. Two of these manufacturers account for more than 80 percent of all the farm equipment sold in Iowa. These two manufacturers produce very similar equipment. Whenever one manufacturer has a sale, offers rebates, or offers special financing, the other manufacturer quickly follows with a similar program.
Competitive Situation:
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- Identify an article from the Wall Street Journal within the last six weeks that relates to one of the following topics: (1) Factors in an organization's external environment that had an impact on the organization. (2) Factors in an organization's internal environment that had an impact on the organization. (3) An article that provides examples of an organization exploiting the resources of a competitor to strengthen its competitive advantage. First, Summarize the article Next, Discuss what you found interesting, educational, insightful, etc.? Then, Discuss how the article you found relates to the material you read for this week. Summarize your post. You should not type the questions, the discussion post should flow as one document. Think of my directions as writing prompts. Each paragraph needs at least 4-5 sentencesMarket demand is given as Qd = 400 - 2P. Market supply is given as Qs = 3P + 100. In a perfectly competitive equilibrium, what will be price and quantity? Question 18 options: Price will be $100 and quantity will be 200. Price will be $60 and quantity will be 280. Price will be $1 and quantity will be 500. Price will be $30 and quantity will be 140.How would you explain allocative efficiency in a purely competitive market structure? Group of answer choices Firms produce the quantity where the price consumers pay is less than the cost to society to produce it. Firms produce that quantity where the price consumers pay equals the cost to society to produce it. Allocative efficiency is a concept involving only two goods, so it cannot be applied to a perfectly competitive market.. Firms ensure that they produce enough quantity so that everyone who wishes to buy the product can do so.
- Contrast Market concentration and market competition on a spectrum of market structures and recommend an appropriate market model (structure), with reasons.1.Microsoft is one of the leading software companies. Prior to 2000, Microsoft’s share of the market for personal computer operating systems stood above 80 per cent. However, since the twenty-first century Microsoft’s market share has steadily declined to 40 per cent. This is due to the rise in competing software producers such as Apple macOS (10%), Google's Android OS (35%), Linux Operating System (35%), and Apple iOS (5%). The market share of each company is provided in parentheses. Google and Linux have decided that it would be in their best interest to work together to serve the market. This is not common knowledge to the person’s outside of the companies. i. Draw how equilibrium price and quantity are determined in this industry. Hi does this refer to the monopoly market structure diagrams? 2. Allsmart’s demand curve is given by Q=10-P for its dishwashers. The marginal and average cost is $3 per dishwasher produced. Complete the following table. Photo below concerns…What are the key trade offs of imperfect competition? Question 8 options: The monopolistically competitive market structure fails to achieve allocative efficiency, but the firms all face perfectly elastic demand curves. The monopolistically competitive market structure provides powerful incentives for innovation, but the strongest firms in a monopolistically competitive market become oligopolists. The monopolistically competitive market structure allows firms to achieve economic profit in the short run, but the individual firms all face perfectly elastic demand curves. The monopolistically competitive market structure provides powerful incentives for innovation, but they never achieve productive efficiency in the long run.
- Economics: Industrial Economics Question: In a market that operates under quantity competition there are 2 firms (Cournot duopoly). The inverse demand function is P = A - B Q. The cost structure of firm 1 is given by C1(q1) = F1 + c1 q1 and that of firm 2 is given by C2(q2) = F2 + c2 q2. Prior to competing, the two firms can engage in research at levels (x1, x2) respectively in order to lower their marginal costs. As a result, marginal costs are c1 = c - x1 - β2x2 and c2= C - x2 - β1 X1. where β1 = β2 > ½. Finally, the research costs are F1 = a1 (x1)^2 /2 and F2 = a2 (x2)^2 /2, where a1 > 0 and a2> 0. 1. The Nash Equilibrium research levels are Choices: A. Higher than the cooperative research levels for both firms. B. Higher than cooperative research levels for firm 1 but lower for... C. Lower than the cooperative research levels for both firms. D. Higher than cooperative research levels for firm 2 but lower for... 2. An increase in the value of a2 would Choices: A.…When deciding whether to allow two large firms to merge, which of the following conditions has the government imposed most often? A. The new firm must lower prices. B. The new firm must open a new factory. C. The new firm must hire more workers. D. The firm must sell off parts of the businesses so the new firm will not be quite as large.Explain the different types of market structure ( bullet points)
- Economics: Industrial Economics Question Consider the following sequential game between firm 1 and firm 2: First, firm 1 decides to either adopt an aggressive marketing strategy or not. Second, Firm 2 observes firm 1's decision and then also decides between its own aggressive strategy, a passive strategy or whether to leave the market altogether. The profits (in millions of dollars) of the firms are as follows: If both adopt an aggressive strategy, then firm 1's payoff is $14 and firm 2's is $1. If firm 1 adopts an aggressive strategy and firm 2 does not, then the payoff for firm 1 is $21 and for firm 2 is -$5. If firm 1 does nothing and firm 2 adopts an aggressive strategy, firm 1's payoff is $10 and firm 2's is $9. If both do nothing, then firm 1 makes $20 in profits and firm 2 makes $5. Finally, if firm 2 leaves the market altogether, it makes $0 and firm 1 makes $20 with an aggressive strategy and $24 without one. 1. Using the principle of backward induction, the most…All economic market structures earn normal profit and are considered to be in the long run when Question 19 options: a) Price equals marginal cost b) Price equals average total cost c) Price equals marginal revenue d) Price equals average revenueSuppose Grady, Grace, and George own the 3 wrecker services in the small town of Collisionville. Each currently charges $350 for a standard towing job within town. Competition is heating up and each wants to grow their market share. Use this information to answer the following: What does the Law of Demand say that Grace can do to grow her market share? Suppose that the Kinked Demand Curve Theory describes this market well. How would considering this theory impact Grace’s decision on part 1?