Reference no: EM133302414

Make a Data Analysis based on this framework and apply the economic theory: Data Presentation and Analysis Short summary of business case in order to present the data and analyze the applied theory Data presentation and analysis of the first alternative Data presentation and analysis of the second alternative Data presentation and analysis of the third alternative (recommended solution) Framework The business case is filled with evidence of supply and demand at every turn. The availability of a product and the level of demand for it from consumers are two key factors that influence its price, in accordance with the supply and demand theory. This theory is built upon two fundamental tenets: the law of demand as well as the law of supply. The real market price and the actual volume of products are both determined by the interaction of the two laws. On the other hand, maintaining a high price may give customers a negative impression of the item, which could affect sales. If a customer does not think the product is worth the high price, they are more likely to go with a product that is significantly cheaper. If the price is increased, there is a possibility that fewer people will want to buy the product, which could then lead to fewer available goods. The example of Carmen's Best demonstrates this point perfectly. The demand for their goods is significantly lower than anticipated, which can be attributed to the fact that customers believe their prices to be excessively high. The business case for Carmen's Best provides yet another opportunity to analyze market structures. In the field of economics, the term "market structure" refers to the method by which various industries are categorized and differentiated from one another based on the level of rivalry for goods and services that they face. It is predicated on the factors that influence the actions and results of businesses operating in a particular market. The structures of the market illustrate the relationships that exist between sellers and other sellers, sellers and buyers, and more. The four most common forms of market structures are known as monopolistic competition, perfect competition, oligopoly markets, and monopoly markets. The market structure known as monopolistic competition can be found in the ice cream industry. A market that is considered to be monopolistic competition is one that is imperfectly competitive and exhibits characteristics of both monopoly and competition. The sellers compete against one another and can differentiate their wares in terms of quality and branding to appear distinct from one another. In this form of competition, sellers focus on the prices offered by their rivals while ignoring the effect their own prices have on the industry as a whole. In an industry that is monopolistically competitive, the barriers to entry are low, and the decisions made by any individual company do not have an immediate impact on the other companies in the industry. The competing businesses differentiate themselves from one another through the use of different pricing structures and marketing strategies. Because of the intense level of competition in the sector in which Carmen's Best operates, the company must always be thinking of new ways to expand its market share within the sector. Their pricing strategy becomes an important consideration at this point. In addition, there is a high degree of elasticity in the demand in this market structure because customers will switch from one brand name to another depending on the preferences they are currently experiencing at any given time.