Perfect competition versus Monopolistic competition

Introduction There are a lot of chicken meat producers in the market. There is a significant increase for chicken meat producers time by time. All the typical chicken meat producers are earning zero economics profit. This scenario happened can interpret with the economics model, perfect competition. In perfect competition, all the typical competitors are earning the normal profit and there are few repeating steps in the process. There are several ways to escape from this. One of the methods is by applying the theories of monopolistic competition model in the market. Under monopolistic competition, non-price competition is the marketing technique which helps those typical producers to escape from perfect competition. Perfect competition In perfect competition, there are 4 main assumptions in the market: Price taker, freedom of entry, identical product and perfect knowledge. There are a lot of firms competing in the chicken meat market. These firms are known as the price takers. Due to the large amount of firms, each firm is producing an insignificant small amount of the chicken meats in the entire market. They cannot control the price of the chicken meats in market. Another aspect would be the freedom of entry and exit, the existing chicken meat producer cannot stop new firms coming in. In addition, all firms selling identical or homogeneous products, in perfect

  • Word count: 1714
  • Level: University Degree
  • Subject: Business and Administrative studies
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Supply Chain Management.

Supply Chain Management Introduction Many researchers have pointed out the importance of Supply Chain ( SC ) and Supply Chain Management ( SCM ) in competitive environment. In this report, we will discuss about ( i ) Toyota Mortor Manufacturing North America ( TMMNA ) which is located in Erlanger, Kentucky, current supply chain position and one of its suppliers, TAC manufacturing, located in Jackson, Michigan, supplies steering wheels and air bags for TMMNA, current supply position by drawing supply chain diagram, ( ii ) the possible operational and supply chain strategies which could be used to enhance TMMNA's future performance to take competitive advantage over other firms and ( iii ) the technical and human resource ( HR ) changes that need to be made to support the implementation of these strategies. The reason why TMMNA is chosen is it is one of the leading automotive manufacturers in the world. Before we discuss it, we need to know what it SC and SCM. Supply Chain " Supply Chain is all the activities involved in delivering a product from raw materials through to the customer including sourcing raw materials and parts, manufacturing and assembly, warehousing and inventory tracking, order entry and order management, distribution across all channels, delivery to the customer and the information systems necessary to monitor all of the activities " ( Lummus and Vokurka,

  • Word count: 3221
  • Level: University Degree
  • Subject: Business and Administrative studies
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pest analysis

Using a LEPESTC analysis, undertake a detailed examination of the current nature of the business environment of a specific firm or industry. Lloyds TSB Group is a leading UK based financial services group, offering a wide range of banking and financial services in UK and in some other overseas locations. The group is headquartered in Graham Street, London and employees 80,000 employees. The group recorded revenue of £19,673 million in the fiscal year ending December 2006, a decrease of 13.4 % over 2005. The net profit was £2,803 million in the fiscal year 2006 an increase of 12.4% over 2005. The origin of Lloyds Bank, stretch back to 1765, when John Taylor and Sampson Lloyd set up a private banking business in Birmingham, England. Later in 1865, the partnership changed to a join stock company, naming itself Lloyds Banking Company Limited. Where as TSB has a long history, in 1810, the reverend Henry Duncan of Ruthwell set up a bank to help his poorest parishioners. It was such a popular scheme that by 1818 there were 465 saving banks in Britain. In 1995, the merger between TSB and Lloyds Bank formed Lloyds TSB Group PLC. They were one of the largest forces in domestic banking. The TSB and Lloyds Bank branches were re branded in Lloyds TSB in June 1999. LEPESTC analysis Legal The legal factor that Lloyds TSB has to undertake is keeping customer detail secure and up to

  • Word count: 1675
  • Level: University Degree
  • Subject: Business and Administrative studies
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Traders, managers and loss aversion in investment banking

This is a critical review of Willman, P., Fenton-O'Creevy, M. P., Nicholson, N. & Soane, E. (2002) "Traders, managers and loss aversion in investment banking: a field study" in Accounting, Organizations and Society, Volume 27, Number 1, pp 85-98. Through thorough analyse of the article, I will look at it from an objective perspective to understand its worth and its limitations. This article was published to highlight the roles in which traders and managers go about their daily task in their working environment. On the surface you would expect a manager to be the leader but in fact it would seem that the traders are usually leading the manager. There is such a degree of autonomy that it is becoming extremely difficult to monitor and regulate the traders. This article presents its findings on how traders and mangers link up in investment banking to avoid losing money and whether this has a detrimental effect on the company pursing profits. The article presents data it collected from 4 leading investment banks with offices in London. The sampled comprised of 118 traders, trader-managers and 10 senior managers. The relevant theory goes back until 1963, what is evident in the findings is there doesn't seem to be a set model that is followed, just lots of ideas. I see the models more as loose boundaries, I don't believe that you can substitute for experience and what was a cause

  • Word count: 1165
  • Level: University Degree
  • Subject: Business and Administrative studies
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