Get 20% Off + $20 Signup Bonus ! Limited Time, Hurry !
Get 20% Off + $20 Signup Bonus ! Limited Time, Hurry !
Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!
loader
Add File

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

Stuck on Your Question?

Get 24x7 live help from our Top Tutors. All subjects covered.

loader
250 words

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

Students Who Viewed This Also Studied

2 Pages
Market Structures

Question 1 (15 marks)In any market structure, an appropriate once-off expenditure on product differentiation will guarantee the firm’s ability to maximise economic profit into the future. Discus ...

Type

Home Work

Subject

Economics

0 Page
Alcohol Consumption

...

Course

FBLU032

Subject

Economics

University

Coventry University

Season

Spring

8 Pages
Management

The recession that began in 2008 was one of the most important economic events for the G7 countries of the last 70 years, Canada’s performance during the recession was one of the best in the dev ...

Type

Course Work

Subject

Economics

44 Pages
7902AFE Economics for a Sustainable Future

Question: Each question will be marked against the following criteria: Demonstrated understanding of key economic concepts (40%) Demonstrated ability to apply key economic concepts to the scenari ...

Course

7902AFE

Type

Home Work

Subject

Economics

University

Griffith University

16072 Industry Economics

Question

Answered

Question 1

Either

1.1 Select an industry and explain the relationship between economies of scale and scope, market structure and long-run equilibrium in that industry. Industries you may be familiar with include airlines, automobiles, entertainment, food delivery, AREITs, supermarkets, property developers, textbook publishers, professional software and social media.

Or

1.2 There are three basic strategies. Using a well-known company as a current example, discuss the strategy that company is following in the context of the relevant industry and market.

Question 2

Either

2.1 A decision on market entry with a new product has to be made.

Sales Level Market A Market B Market C

Probability Units Probability Units Probability Units

Good 0.3 1,200,000 0.3 1,000,000 0.7 700,000

Poor 0.3 600,000 0.5 320,000 0.2 400,000

Fail 0.4 0 0.2 0 0.1 0

The entrant can only enter one of these three markets. Show how to determine which one to enter based on expected unit sales.

The cost of entering is $250,000. If the product sells for $10 and has unit costs of $5, what is the expected profit?

The entrant is uncertain about the price after entry, because profitability will depend on the reaction of the incumbent firm. If there is a 40% probability of the incumbent pricing low and a 60% chance of earning $5, what are the expected earnings from entry?

Draw the matrix form of this game and use the Prisoners’ Dilemma to show why the incumbent will decide to price low and earn $0 rather than price high and earn $5.

Or

2.2 An auction has two bidders, each with a value of either $30 or $80, with both values equally probable. What reserve price should the auctioneer set, and what is the expected revenue from auctioning the item with and without a reserve price? Clearly show how this outcome is reached.

If each bidder has a value of either $60 or $80, what reserve price should the auctioneer set, and what is the expected revenue from auctioning the item with and without a reserve price?

Compare the outcome of an auction with 2 bidders with the same auction with three bidders. Each bidder has a value of either $16 or $20 for the item, and you attach probabilities to each value of 50%. What is the expected price? If two of the three bidders collude, what is the price?

Question 3

Either

3.1 Explain how the difference in outcomes between simultaneous and sequential games comes about. What effect does moving first have in a sequential game? Why?

Or

3.2 What are hidden actions and hidden information? Why are they important and what might be some solutions? Give examples.

Question 4

Either

4.1 Incentive conflicts are found in many situations. Give two examples and explain how the conflicts can be managed.

Or

4.2 Explain how cost and extent decisions affect the allocation of assets to higher value uses.

16072 Industry Economics

Answer in Detail

Solved by qualified expert

Get Access to This Answer

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Hac habitasse platea dictumst vestibulum rhoncus est pellentesque. Amet dictum sit amet justo donec enim diam vulputate ut. Neque convallis a cras semper auctor neque vitae. Elit at imperdiet dui accumsan. Nisl condimentum id venenatis a condimentum vitae sapien pellentesque. Imperdiet massa tincidunt nunc pulvinar sapien et ligula. Malesuada fames ac turpis egestas maecenas pharetra convallis posuere. Et ultrices neque ornare aenean euismod. Suscipit tellus mauris a diam maecenas sed enim. Potenti nullam ac tortor vitae purus faucibus ornare. Morbi tristique senectus et netus et malesuada. Morbi tristique senectus et netus et malesuada. Tellus pellentesque eu tincidunt tortor aliquam. Sit amet purus gravida quis blandit. Nec feugiat in fermentum posuere urna. Vel orci porta non pulvinar neque laoreet suspendisse interdum. Ultricies tristique nulla aliquet enim tortor at auctor urna. Orci sagittis eu volutpat odio facilisis mauris sit amet.

Tellus molestie nunc non blandit massa enim nec dui. Tellus molestie nunc non blandit massa enim nec dui. Ac tortor vitae purus faucibus ornare suspendisse sed nisi. Pharetra et ultrices neque ornare aenean euismod. Pretium viverra suspendisse potenti nullam ac tortor vitae. Morbi quis commodo odio aenean sed. At consectetur lorem donec massa sapien faucibus et. Nisi quis eleifend quam adipiscing vitae proin sagittis nisl rhoncus. Duis at tellus at urna condimentum mattis pellentesque. Vivamus at augue eget arcu dictum varius duis at. Justo donec enim diam vulputate ut. Blandit libero volutpat sed cras ornare arcu. Ac felis donec et odio pellentesque diam volutpat commodo. Convallis a cras semper auctor neque. Tempus iaculis urna id volutpat lacus. Tortor consequat id porta nibh.

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Hac habitasse platea dictumst vestibulum rhoncus est pellentesque. Amet dictum sit amet justo donec enim diam vulputate ut. Neque convallis a cras semper auctor neque vitae. Elit at imperdiet dui accumsan. Nisl condimentum id venenatis a condimentum vitae sapien pellentesque. Imperdiet massa tincidunt nunc pulvinar sapien et ligula. Malesuada fames ac turpis egestas maecenas pharetra convallis posuere. Et ultrices neque ornare aenean euismod. Suscipit tellus mauris a diam maecenas sed enim. Potenti nullam ac tortor vitae purus faucibus ornare. Morbi tristique senectus et netus et malesuada. Morbi tristique senectus et netus et malesuada. Tellus pellentesque eu tincidunt tortor aliquam. Sit amet purus gravida quis blandit. Nec feugiat in fermentum posuere urna. Vel orci porta non pulvinar neque laoreet suspendisse interdum. Ultricies tristique nulla aliquet enim tortor at auctor urna. Orci sagittis eu volutpat odio facilisis mauris sit amet.

Tellus molestie nunc non blandit massa enim nec dui. Tellus molestie nunc non blandit massa enim nec dui. Ac tortor vitae purus faucibus ornare suspendisse sed nisi. Pharetra et ultrices neque ornare aenean euismod. Pretium viverra suspendisse potenti nullam ac tortor vitae. Morbi quis commodo odio aenean sed. At consectetur lorem donec massa sapien faucibus et. Nisi quis eleifend quam adipiscing vitae proin sagittis nisl rhoncus. Duis at tellus at urna condimentum mattis pellentesque. Vivamus at augue eget arcu dictum varius duis at. Justo donec enim diam vulputate ut. Blandit libero volutpat sed cras ornare arcu. Ac felis donec et odio pellentesque diam volutpat commodo. Convallis a cras semper auctor neque. Tempus iaculis urna id volutpat lacus. Tortor consequat id porta nibh.

Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Hac habitasse platea dictumst vestibulum rhoncus est pellentesque. Amet dictum sit amet justo donec enim diam vulputate ut. Neque convallis a cras semper auctor neque vitae. Elit at imperdiet dui accumsan. Nisl condimentum id venenatis a condimentum vitae sapien pellentesque. Imperdiet massa tincidunt nunc pulvinar sapien et ligula. Malesuada fames ac turpis egestas maecenas pharetra convallis posuere. Et ultrices neque ornare aenean euismod. Suscipit tellus mauris a diam maecenas sed enim. Potenti nullam ac tortor vitae purus faucibus ornare. Morbi tristique senectus et netus et malesuada. Morbi tristique senectus et netus et malesuada. Tellus pellentesque eu tincidunt tortor aliquam. Sit amet purus gravida quis blandit. Nec feugiat in fermentum posuere urna. Vel orci porta non pulvinar neque laoreet suspendisse interdum. Ultricies tristique nulla aliquet enim tortor at auctor urna. Orci sagittis eu volutpat odio facilisis mauris sit amet.

Tellus molestie nunc non blandit massa enim nec dui. Tellus molestie nunc non blandit massa enim nec dui. Ac tortor vitae purus faucibus ornare suspendisse sed nisi. Pharetra et ultrices neque ornare aenean euismod. Pretium viverra suspendisse potenti nullam ac tortor vitae. Morbi quis commodo odio aenean sed. At consectetur lorem donec massa sapien faucibus et. Nisi quis eleifend quam adipiscing vitae proin sagittis nisl rhoncus. Duis at tellus at urna condimentum mattis pellentesque. Vivamus at augue eget arcu dictum varius duis at. Justo donec enim diam vulputate ut. Blandit libero volutpat sed cras ornare arcu. Ac felis donec et odio pellentesque diam volutpat commodo. Convallis a cras semper auctor neque. Tempus iaculis urna id volutpat lacus. Tortor consequat id porta nibh.

15 More Pages to Come in This Document. Get access to the complete answer.

MyAssignmenthelp.com is highly acknowledged for providing best quality online dissertation help. With a talented team of dissertation experts, we are capable of providing top-notch quality inclusive dissertation help services. Each cheap dissertation writers of our team has acquired PhD degree in his or her respective field of study. Thus, students, who often wonder, can someone write my dissertation for me or can expert write my dissertation at cheap price, find our experts as the helping hand in writing dissertations.

More 16072 16072 Industry Economics: Questions & Answers

Q

Market Structures

Question 1 (15 marks)In any market structure, an appropriate once-off expenditure on product differentiation will guarantee the firm’s ability to maximise economic profit into the future. Discuss.Question 2 (15 marks)Economics has difficulty in explaining why wage rates for individuals vary ac ...

View Answer
Q
icon

We aren't endorsed by this University

Alcohol Consumption

...

View Answer
Q

Management

The recession that began in 2008 was one of the most important economic events for the G7 countries of the last 70 years, Canada’s performance during the recession was one of the best in the developed world.  Use the data in the table below to calculate the percentage decline in real GDP ...

View Answer
Q
icon

We aren't endorsed by this University

7902AFE Economics for a Sustainable Future

Question: Each question will be marked against the following criteria: Demonstrated understanding of key economic concepts (40%) Demonstrated ability to apply key economic concepts to the scenario/question (40%) Clarity of exposition (20%). Question 1 (8 marks, word limit 600) As explained i ...

View Answer

Content Removal Request

If you are the original writer of this content and no longer wish to have your work published on Myassignmenthelp.com then please raise the content removal request.

Choose Our Best Expert to Help You

5% Cashback

On APP - grab it while it lasts!

Download app now (or) Scan the QR code

*Offer eligible for first 3 orders ordered through app!

screener
ribbon
callback request mobile
Have any Query?