Reference no: EM13245846
For this assignment, choose a major publicly traded automotive producer, such as General Motors, Ford, Toyota, or Volkswagen. Then, research this company's production and inventory levels, and operational cost information, along with price and sales data for the most recent quarter available.
Write a seven to nine (7-9) page paper in which you:
1. Create a demand supply analysis based on the data you collected on your chosen company's price and sales, which demonstrates the relationship between price and quantity demanded.
2. Determine the equilibrium price and quantity and explain its meaning to your chosen company. Indicate how your chosen company's management should use this information to make sound strategic decisions.
3. Calculate the elasticity of demand for your chosen company's automobiles (or choose a specific make / model). Interpret what the demand tells your chosen company's management team.
4. Speculate what may happen to your chosen company's specifically if the elasticity of demand calculated above represented a competitor of your choise instead. Provide support for your response.
5. Create a cost analysis and graph. Include total cost, total variable cost, marginal cost, and fixed costs, along with any other costs you believe are valuable to the cost analysis.
6. Create a total revenue schedule, marginal revenue schedule, and a graph representing both. Â Interpret what the graph tells your chosen company's management team.
7. Determine the profit maximizing level of output by assessing the actions yoru chosen company should take if it is to continue to maximize profits.
8. Assume your chosen company wants to expand its operations which involve capital budget decisions. Â Recommend two (2) different and appropriate cost-related tools. Provide support for your recommendation.
9. Now, assume your chosen company wants to expand its operations globally into a new market. Suggest two (2) strategies the firm should consider. Provide support for your suggestions.
10. Use at least THREE (3) HIGH-QUALITY PEER-REVIEWED ACADEMIC RESOURCES in this assignment. Â NOTE: Wikipedia and other websites do not qualify as academic resources.
** 7-9 pages of double spaced, using Times New Roman font (size 12)
The specific course learning outcomes associated with this assignment are:
1. Evaluate the profit-maximizing price and output level for given operating costs for monopolies and firms in competitive industries.
2. Propose how differences in demand and elasticity lead managers to develop various pricing strategies.
3. Apply the concept of how changes in the macro environment affect individual firms and industries through the microeconomic factors of demand, production, cost, and profitability.
4. Use technology and information resources to research issues in managerial economics and globalization.
5. Write clearly and concisely about managerial economics and globalization using proper writing mechanics.