Dynamic nature of monopolistic competition

Assignment Help Business Economics
Reference no: EM132373332

Please explain this to me for the better understanding

Suppliers such as your local water suppliers, railroad, restaurants, coffee shops, hairdressers, artists, gas stations, movie theaters, airlines, universities, and so forth, operate under different market structures. All businesses exist for one purpose, which is to make profits. Profits or losses occur as a result of interaction between cost of production and market price. Higher production could lead to higher revenue; however, higher prices reduce quantity demanded and might lead to higher cost of production. In sum, suppliers and producers will make profit only when average total cost of production is lower than market price.

Provide an example of a firm or a small business from the real world that is surviving the dynamic nature of monopolistic competition, and discuss some approaches they have used (or are currently using) to compete and survive in the market.

Reference no: EM132373332

Questions Cloud

Economic decisions and growth of an organization : How do "Nash equilibrium" and the idea of one "player" impacting another "player" within an organization affect the economic decisions and growth
What records do you need to review before the conference : What records do you need to review before the conference? Be sure to cite standards from the False Claims Act. What are the consequences of this behavior?
Rent control is an ineffective way for local city government : Rent control is an ineffective way for local city governments to provide affordable housing to low-income residents.
Basal metabolic rate : Basal metabolic rate: the estimated number of calories you would burn in a day if you did were inactive
Dynamic nature of monopolistic competition : Provide an example of a firm or a small business from the real world that is surviving the dynamic nature of monopolistic competition
Identical prices offered by several different airlines : Suppose that you are an analyst for the Department of Justice in the USA, trying to determine whether identical prices offered by several different airlines
Improving your aerobic cellular respiration : There are lots of claims on the internet for products that claim to improve your ability to perform aerobic cellular respiration.
Draw the entity-relationship diagram : COIT20248 - Information Systems Analysis and Design - CQuniversity - Develop a prototype of website design and architecture you have developed
Impact on supply and therefore market equilibrium : What are the main determinants of equilibrium of demand and supply? Which is likely to have more of an impact on supply and therefore market equilibrium:

Reviews

Write a Review

Business Economics Questions & Answers

  Imagine you are a manager for the good or service

Aside from maximizing profits, assess the factors that managers must consider when making the decision to outsource or integrate forwards or backwards considering which factor would be most influential for decision-making.

  Short run model of exchange rates determination

The following report appeared in the New York Times on August 7, 1989: “A soft landing would not force the Federal Reserve to push interest rates sharply lower to stimulate growth. Interpret this paragraph using the short run model of exchange rates ..

  Percentage of underweight children number of countries

What is the best estimate for the mean percentage of underweight children? (Round your answer to two decimal places.)

  Used to produce a product is a capital item

Which of the following items used to produce a product is a capital item?

  Slightly ambiguous language contained in the agreement

Discuss a situation in which both parties entering into a contract could benefit from slightly ambiguous language contained in the agreement.

  Influences affecting foreign exchange rates

Describe absolute and comparative advantage. Explain the influences affecting foreign exchange rates.

  Find an expression for the firm total cost

(a) Find an expression for the firm's total cost function in the long run.

  Manipulating and continues to manipulate its currency

There are claims that China has been manipulating and continues to manipulate its currency. Do you think that China is manipulating its currency? If so, what does this mean to the U.S. economy? Should the United States attempt to force China to chang..

  Process of revenue cycle management

What are the key steps in the process of revenue cycle management? Please provide detail explanation.

  What is an indexed quity mutual fund

What is an indexed quity mutual fund? What is a managed equity mutual fund? How will the administrative costs of the two differ?

  Is the concept of a just price a positive or a normative

Is the concept of a just price a positive or a normative concept? Why?

  Linear programming problem to maximise

Formulate the linear programming problem to maximise the profit made by the company.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd