Current Market Condition
Current Market Conditions Competitive
The purpose of this analysis is for the strategic planning group to consider developing a new proposed product. Our sponsor, the marketing director, has asked our strategic planning team to perform a competitive market analysis to determine the product’s potential success. The analysis will focus on our primary competitor in the product’s market.
The reason for this current market conditions competitive analysis is to assist Levi Strauss & Co. in their consideration of developing a new proposed product. Levi Strauss & Co. marketing director has recommended our strategic planning team to execute a competitive market analysis to verify the products potential success.
Factors affecting variable costs, including productivity and others that change the supply of and demand for labor.
In most organizations short run and long runs are divided into production process which has an effect on variable cost. The short run some inputs are fixed therefore the firm is constrained to what production decisions it can make. In the long run process all inputs are fixed therefore a firm can choose from several other production processes. There is no time period for a short run or a long run but since labor cost is a variable the firm has limited flexibility when changing the level of output. Variable cost has a U-shape in the short run the output will increase by increasing variable input. Other affecting factors are the higher the wage, the lower the quantity of labor demanded. With the fixed input the more variable inputs you add such labor the more likely the input is going to fall. * Average variable costs (AVC) equals variable cost divided by quantity produced, AVC = VC/Q.
* “As more and more of a variable input is added (i.e., labor) to an existing fixed input, eventually the additional output one gets from that additional input is going to fall.” * If marginal productivity is rising, marginal costs are
The purpose of this analysis is for the strategic planning group to consider developing a new proposed product. Our sponsor, the marketing director, has asked our strategic planning team to perform a competitive market analysis to determine the product’s potential success. The analysis will focus on our primary competitor in the product’s market.
The reason for this current market conditions competitive analysis is to assist Levi Strauss & Co. in their consideration of developing a new proposed product. Levi Strauss & Co. marketing director has recommended our strategic planning team to execute a competitive market analysis to verify the products potential success.
Factors affecting variable costs, including productivity and others that change the supply of and demand for labor.
In most organizations short run and long runs are divided into production process which has an effect on variable cost. The short run some inputs are fixed therefore the firm is constrained to what production decisions it can make. In the long run process all inputs are fixed therefore a firm can choose from several other production processes. There is no time period for a short run or a long run but since labor cost is a variable the firm has limited flexibility when changing the level of output. Variable cost has a U-shape in the short run the output will increase by increasing variable input. Other affecting factors are the higher the wage, the lower the quantity of labor demanded. With the fixed input the more variable inputs you add such labor the more likely the input is going to fall. * Average variable costs (AVC) equals variable cost divided by quantity produced, AVC = VC/Q.
* “As more and more of a variable input is added (i.e., labor) to an existing fixed input, eventually the additional output one gets from that additional input is going to fall.” * If marginal productivity is rising, marginal costs are