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Even before the metals and manufacturing companies described earlier, U.S. railroads in the nineteenth century were M-form organizations based on geography. Why might a large railroad be better organized as M-form than U-form?
The key difference between the U-form and the M-form is that the divisions in an M-form company are organized by brand or geographical region and not by their function as they are in the U-form. Each division actually operated its own set of functionally organized departments, which were overseen by a divisional manager, meaning the divisions themselves often behaved like small U-form companies. Each brand was in control of its own advertising, manufacturing, and accounting procedures, so long as they were able to operate effectively and to the level of production that had been approved by the central office. The M-form keeps decisions at the divisional level that would be sent to headquarters in a U-form firm. Product-specific decisions at the lower level are made by those who are most likely to have the relevant information at hand and know how evaluate it.
What is the equilibrium quantity in this market and what is the equilibrium price in this market and what are the resulting output, revenue, cost, and profit of the typical firm?
Evaluate the impact of the proposal to cut prices on total revenue, totalcost, and total profits - Price and Output Determination:Monopoly and Dominant Firms
The Arena Corporation, which sells engines, has a uniform value of $500, which is charges all its consumers. But, after its competitors begin to cut their rates in the California market to $400, Arena decrease its price to $400.
Since 1997, at least three million vehicles have been recalled due to air bag related troubles. Of these, roughly half were due to troubles of the sort that only time and road experience are likely to reveal.
Discuss short and long run expenses. For the short run discuss the relationship in cost and production theory and the idea of diminishing returns.
Assume the market for natural gas can be explained by, Where P is the price of natural gas per million BTU, Q(D) is the quantity demanded and Q(S) is the quantity supplied of million BTUs of natural gas a day.
Express output per worker (y=Y/L) as a function of capital per worker and the natural rate of unemployment and write an equation that describes the steady state of this economy.
What is total variable cost when 100 units of output are produced and what is average fixed cost when 150 units of output are produced?
How much substitutability do you suppose exists between inputs in winemaking? How might this factor affect efforts to cut costs?
The average total cost of operating a clinic is $800 per patient if the volume is one hundred patients, and $790 each patient if the volume is 110 patients. Find the total cost at each of these two volumes?
What employees are involved, what are their perceived inefficiencies, and how are they compensated and evaluated?
Suppose that the one-period rate is 4% and that the two-period rate is 6%. What sort of expectation for the one-period rate next period makes this situation an equilibrium?
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