A Market Economy is the most efficient way of organizing economic activities. Millions of suppliers (firm) and consumers (buyers) make the markets. The suppliers and consumers sell and purchase goods that satisfy the wants of consumers and suppliers. Suppliers and consumers make rational decisions, respond to incentives and make tradeoffs. Over all trade makes everyone better off. (Mankiw) If one firm does not meet the wants of the consumer then they will lose their place in the market. Sales for most major retailers have risen this quarter, while others have fallen. The over all sales gain equals 7.9%. (Chandler) Sales rose because consumers are not bothered by threats of war. Also, they feel confident in current and future stability of the economy. The reason some retailers lost and most gained could be a number of possibilities: Prices might be too high for the consumer s taste. Marketing strategies appealed to consumer s tastes. Consumer s expectation of future prices and economic stability. Consumer purchasing goods from some firms dropped. This could have been because of price increase of goods sold by retailers. Prices of goods rose because of cost increase due to the rise in Average Total Cost. Average Total Cost is Total Cost (everything that is given up to pay for good) divided by Quantity (how many goods the firm produces). This will be driven up by the Variable Cost (costs that vary with the quantity of output produced) because of inflation; wage increase and cost of goods needed to produce the final good. With some firms rising having their Average Total Cost going up and not increasing price, they will lose profit. Profit is attained by [Total Revenue (the amount a firm receives for sales of it s output) divided by Quantity minus Total Cost divided by Quantity] multiplied by Quantity. Or, Profit will equal (Price minus Average Total Cost) multiplied by Quantity. If the Average Total Cost is larger than the price than the firm will face either raising price or with a short-term profit loss-shutdown. If profit loss is in effect with the firms long-run Average Total Cost then the firm will have to cut their losses and exit the market. (Mankiw) One reason why most firms did better than others is because of their Average Total Cost being lower than the price. They will be able to make the profit that is needed for the firm to survive. Another reason is because the firm has a strong marketing strategy. Marketing involves the gathering of useful data: what the consumer wants. When the data gathered and studied the information provided will let the firm know what goods to produce or what type of advertising to use. Advertisers will make it seem that the firm s product is better that similar products. Consumers will be led to believe that the goods advertised are better. Consumers will purchase the goods that have a higher price, as long as the price is rational. Firms that have maximized marketing and advertising will be the ones that make profit. Some retailers such as Sears, whose sales dropped 0.9%(Domestic) due to disappointing sales in apparel (Chandler) Comparing with Eddie Bauer whose sales rose 5% since 1998. The reason why Sears s sales dropped and Eddie Bauer sales rose is because of a strong advertisement strategy. Sears never mentioned advertisement and Eddie Bauer has a strong advertisement strategy letting consumers purchase their goods over the Internet.
This Is Not Good Essay Research Paper
Poseidon Essay, Research Paper The greatest god ever? This is a very good question but an obvious one to. Of course its Poseidon ?me? which I tell everyone. My name is Poseidon god of the seas and creator of the trident and the horse. I?m the borther of Zeus, Ares, Hera, Demeter, Hestia and son of Cronos and Rheia.
Lolo Essay, Research Paper In today s society the pressure is on for students to get good grades. Every one stress s how important it is to get a degree in something. Without a piece of paper saying that you are qualified in a certain field, then don t bother looking for a job that will set you straight for the rest of your life.
Advice Essay, Research Paper A piece of advice that I often receive is “as long as you do your best.” This refers to success in everything from school to careers. I believe that this is good advice because
Business Knowledge Essay, Research Paper Using Your Business Knowledge 1. Babysitting-I make very good money and it?s a very good learning experience on how to deal and take care of children which is something that everyone needs to eventually learn in life.
Jem Essay, Research Paper Personally, I do not find Jem very bad or very good but I do find him kind of powerful. I placed Jem in the Neutral Square for good or weak because he is not a perfect child. In the story he tries to contact Boo Radley by sneaking in through the back window. He then gets Arthur (Boo?s brother) upset and Arthur almost shoots Jem.
The Good Earth Essay, Research Paper Good evening, we the graduating class of blessed sacrament school would like to welcome you to our 8th grade graduation. On behalf of the graduating class I especially would like to welcome Fr. McCarthy and Fr. Hand, Dr. Rouke, Teachers, Parents, relatives, and friends to our graduating ceremony.
Good Paper Essay, Research Paper Theseus and Heracles were very similar characters in mythology. In this paper I plan to point out these similarities, and also tell what is different between them. First of all, Theseus and Heracles were both well know for their strength and hero-like attitudes. They were well known for helping people, or places, out from certain evils such as Theseus killing the Minotaur so that the tributes to it would cease.
Good Citizen Essay, Research Paper The good man and the good citizen are not one and the same. What can be said about one cannot be necessarily said about the other. It is essential for the
Good Or Evil Essay, Research Paper Is Man Inherently Good, Bad, Both? Psychologists often struggle with the question does man have inherently good characteristics, or do they lead to the negative. What makes a man act the way he does? Is it nature, hormone imbalances, or the way he is raised? Man s intrinsic characteristics can be good bad or both.
Reflective Paper Essay, Research Paper Reflective Paper I think that as a group our project turned out great. We made the time limit our script was good. I liked this project, I had fun making it and so did the rest of the guys in my group. I think that the class liked our movie and I know we all had fun making it.
Aristotle On Ethics Essay, Research Paper 1) Explain fully Aristotle?s approach to Ethics. What is the goal of the ethical life? What type of soul is capable of realizing the good life? How do we
Kant Essay, Research Paper KANT Kant begins to claim that there is nothing in the world that can be regarded as good without qualification except good will. He says that qualities of temperment such as
Relief Pitching Essay, Research Paper -Set up your relief men with the best reliever for the end and the others as middle men if the starter fails early. -Relief men with good arms can pitch an inning or two for two or three days in a row.
Euthanasia Essay, Research Paper Euthanasia Euthanasia is just another word for ?mercy killing? as some people put it but it also means good death. I look at it as more of a good death if it is performed with the right procedures and if a person has a legitimate reason to be put to death but many people would not agree with me that it should be legal.
Drivers Essay, Research Paper Drivers Drivers can be divided into three major categories-the good, the bad and the ugly. The purpose most drivers have is to get from point A to point B.
Pet 79 Essay, Research Paper Tuesday November 28,1995 Marketing Mix Product: -Pet 79 is a Consumer good, its a preference good -new product -Detyzo frozen dog dessert
Geography Wildlife Essay, Research Paper I have came to the conclusion that the changes that have occurred in the areas have been good and bad because although wildlife and
Stopwatch Circuit Essay, Research Paper An alternate option to using a stopwatch with my circuit is to create a timing unit and display into my circuit. This would require the
’s “Simplicity” Essay, Research Paper An Example Of Good Writing: Zinsser’s “Simplicity” Zinsser’s essay on Simplicity is an example of good writing for many
Bad Or Good Essay, Research Paper Bad or Good We live in a world in which our primary food is the information. We perceive the outside world through images, and each image has an echo in our
Luke Essay, Research Paper Baldwins s Vow Luke Baldwin’s Vow is a story written by Morley Callaghan. It is a story about the vow Luke makes. In this essay I will tell you about the good and bad things that Luke goes through.
Happiness Essay, Research Paper Happiness The standard definition of happiness is that it is a condition of supreme well-being and good spirits. There can be many definitions of the word
Miller Spring Essay Essay, Research Paper Miller Springs Essay My science class and I went to Miller Springs to learn about sediments and nature a few days ago. The good and bad sides of the trip I will explain below.
Good Vs Evil Essay, Research Paper Good vs. evil is an important concept. It is a life long struggle inside of you. In life, you are in a constant limbo between good and evil. One day, you might be in a good mood and the other day you might be in an evil, or bad mood. Before history and even in history, good vs. evil has always been a historic struggle.
Book Of Job Essay, Research Paper The Book of Job, including the epilogue, argues justice is retributive in its nature. Retributive justices states that a just distribution of fairness exists. Throughout the book, Job portrays the idea that good things happen to those who are good, while bad things happen to those who are bad.
Aristotle Essay, Research Paper Aristotle analyzes the goods and the virtues that lead to human beings toward happiness in book one of Nicomachean Ethics. According to Aristotle, every activity has an end (or goal); another way of saying this is that the aim of every activity is some kind of good. Concerning this, human existence itself must have some ultimate good.
Ode To Boys Essay, Research Paper We like them But do they like us The ones we do never fuss They don’t stop in And we wonder why We stress, we bitch We sometimes cry
Tips For Life Essay, Research Paper Ryan Franzman Period 1 Nov. 3 Ann Landers gives several tips for leading a good life in her newspaper column but are these tips for everyone? Most of the points in the article are actually quite good, most people live by these tips and they don?t even realize it. The article ?Tips for Life? should be read by everyone although it should be made clear that they have the right to rephrase several of the tips to better suit themselves.
Demian And Desires Essay, Research Paper In the story, Demian, desires play an important role. When Sinclaire follows his desires something good almost always comes out of it. When Sinclaire does not
D|inquent Essay, Research Paper When things go wrong, When things don’t go the way you wanted, You know it’s the right time To call it quits. He or she wouldn’t know what you have in mind,
Truth And Belief Essay, Research Paper Truth and Belief James is a believer in the pragmatic theory of truth. He draws a relationship between the good and the true. The true is not an separate entity from good, but is one of the species of good.
Dare Essay Essay, Research Paper What D.A.R.E Means To Me Dare has prepared me to say no to drugs in eight different ways. If anyone asks me to do drugs I will know what to do, such as- just ignoring the person or just
Human Nature Essay, Research Paper Human Nature There is no perfect person in the world, but the celestial and most sacred person has their faults. But my belief is that everyone was born free of sin, because of course, when you’re a baby, you don’t do anything wrong. But I believe that humans aren’t essentially good or bad, but rather, both.
Enrance Essay Essay, Research Paper In building a society of freedom, trust and unity there must be communication between people of the society. To make the ultimate stable community they must share the same aspects towards the agreements of their shared lifestyles. This shared aspect is called Good Citizenship .
Creon Vs. Antigone Essay, Research Paper Creon and Antigone have several strengths and weaknesses. Both of them would be quite interesting as president!