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Write a paper on decision making analysis

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Reference no: EM132305983

Write a paper on Decision Making Analysis.

Paper Format

  • Abstract
  • Introduction
  • Theories of the firm
  • Consumer behavior
  • Production and scarcity
  • Income elasticity of demand
  • Cost
  • Decision making under uncertainty
  • Pricing under perfect competition
  • Conclusion
  • References

The assignment is about the case study of the company named Fonterra based in New Zealand. The company deals with the production of milk and related products. The company has experienced losses in the year 2018 and now forecasting its production for 2019. The company foresees a decrease in the price of milk in the coming years and hence, tries to evaluate the impact on the demand and hence, the output of milk to be produced to meet the demand. The assignment uses various economics based concepts to analyze the case

The first is related to the theories' of the firm and what is the objective of the firm vis-à-vis the owners of the company. The second question deals with the consumer behavior and the utility maximization theory of indifference curves and budget lines. The third deals with the production possibilities and the decisions under scarcity. The other questions deals with the income elasticity of demand, the costs, the decisions to be made under scarcity and the numerical problem for calculating the equilibrium price and quantity.

Verified Expert

The requirement is to paraphrase the document sent by the student. It is about consumer behavior and the elasticity existing between demand and supply towards a product/service. References and in-text citations have been changed completely in this document. Except the formulae and calculations, rest of the contents are paraphrased.

Reference no: EM132305983

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