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Production capital-intensive or labor-intensive

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  • Select two companies whose product(s) you use in your daily life. You may choose any firms you wish, as long as their information is publicly available (as to their products and financial information) and they are known to the average person.
  • Describe, in detail, each company's product line in terms of:

Product description and usage

Factors that determine the demand for the products

Factors that determine the supply of the products

Available substitutes for the product

Available complements for the product

Is demand for the product elastic or inelastic in the short run? In the long run?

Is the firm's production capital-intensive or labor-intensive? How important is technology in the producing the product? Why?

  • In which of the four market structures does each firm operate? Describe the attributes of the firm's market that show why that is the relevant market structure.
  • What do you think are the long term prospects for the product? Why?

Reference no: EM131069996

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