Preview

imperfect information

Satisfactory Essays
Open Document
Open Document
747 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
imperfect information
Micro Questions 1 Is there a divorce of ownership from control? If so, what are the implications for the business and its customers? 2 How can the Structure-Conduct-Performance model be used to assess the company’s competitive environment? 3 How may various barriers to entry dissuade potential entrants? 4 How do information asymmetries (adverse selection and moral hazard) affect consumers/producers? 5 What is likely to be the price and income elasticity of demand for its main products? 6 If the firm is operating in an imperfect market, and it’s very likely to be, which type is it and why, and what are the implications for the consumer?
7 What are the characteristics of the firm’s labour markets in both economies and how have these affected its business?
Macro Questions
8 Which of the major trading blocs does the company operate in and how does this impact on its current performance? 9 How has recent fiscal and monetary policy affected the company’s performance in both countries?
10 How has the sovereign debt crises in Europe affected your company?
11 How have the recent increases in unemployment in the UK affected your company? Is there a similarity between the UK and the other country in which the firm operates?
12 What have been the effects of the recent increases in inflation in some countries?
13 What have been the effects of recent variations in exchange rates and what would be the effect of future variations?
14 What are the possible impacts of growing awareness of the potential effects of climate change?

Micro Questions 1 Is there a divorce of ownership from control? If so, what are the implications for the business and its customers? 2 How can the Structure-Conduct-Performance model be used to assess the company’s competitive environment? 3 How may various barriers to entry dissuade potential entrants? 4 How do information asymmetries (adverse selection and moral hazard)

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Unit 1 P5

    • 960 Words
    • 3 Pages

    P5. Describe the influence of two contrasting economic environments on business activities within a selected organisation.…

    • 960 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    LONGEVITY/CONTINUITY: The business dies with the owner unless there is a Last Will & Testament leaving it to another person. The assets may also be sold to a third party.…

    • 1025 Words
    • 4 Pages
    Satisfactory Essays
  • Powerful Essays

    LIT1 Task 310

    • 3249 Words
    • 10 Pages

    Longevity or continuity of the organization: Should the owner of the business die or decide to discontinue the business, it will simply no longer exist. The only thing the owner can do is leave the assets of the company to someone. Should the owner decide to discontinue the business…

    • 3249 Words
    • 10 Pages
    Powerful Essays
  • Better Essays

    Lewis External Factors

    • 1563 Words
    • 7 Pages

    For a business it is mandatory to consider what is happening to the supply of labor on a local, national and international market. For John Lewis this would be the national market so in the UK. Changing's of popularity in education and labor markets can change the supply of skilled people who are needed for the business. E.g nowadays in some regions there has been a change from mostly primary and manufacturing jobs to new industries such as biotechnology as well as the growth in service industries such as retailing and tourism. Meaning that this could be beneficial for John Lewis because people are more interested to work in the retail industry which could mean new employees for John…

    • 1563 Words
    • 7 Pages
    Better Essays
  • Better Essays

    Lit 121.56

    • 1420 Words
    • 6 Pages

    • Profit retention: [What portion of the profits does the owner have to give up because they have to be shared with others? How does this affect return on investment?]…

    • 1420 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Describe the influence of two contrasting economic environments on business activities within a selected organisation. (P5)…

    • 1915 Words
    • 12 Pages
    Powerful Essays
  • Good Essays

    P5 - Describe how John Lewis would be influenced by economic factors in a time of economic recession and economic growth in the UK economy…

    • 1603 Words
    • 7 Pages
    Good Essays
  • Good Essays

    Course Project

    • 724 Words
    • 3 Pages

    review the internal and external pressures that have affected these companies. As we know when a…

    • 724 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    • International (competitors' behaviour, economy, economic trends, tax, interest rates, exchange rates and trade issues)…

    • 1383 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Paper

    • 832 Words
    • 4 Pages

    2. What effects on company strategy have you observed as a result of the global economic downturn which began in 2008?…

    • 832 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Divorce of Ownership

    • 637 Words
    • 3 Pages

    There is a divorce of ownership is the difference between people who own the firm who are the shareholders, and the people who control the firm the managers. The shareholders are investors into the firm and want the firm to make a profit so they receive dividends which is a share of the profit, they want to maximise their dividends/profits. Managers work on behalf of the shareholders and are responsible for the running of the firm and they receive a wage/salary for doing this.…

    • 637 Words
    • 3 Pages
    Good Essays
  • Better Essays

    The external environment in which businesses operate can have a significant effect on their success. To what extent do you think that the external environment in the UK is favourable for businesses at the moment? Justify your answer with reference to external factors and/or businesses that you know. (40 marks) You must include a plan. 3 ½ pages handwritten.…

    • 1481 Words
    • 43 Pages
    Better Essays
  • Satisfactory Essays

    Tax and Share Holders

    • 1469 Words
    • 6 Pages

    •PROFIT RETENTION-All income is the owner 's who may do with it as he pleases.…

    • 1469 Words
    • 6 Pages
    Satisfactory Essays
  • Powerful Essays

    Company Law

    • 2246 Words
    • 7 Pages

    The purpose of this report is to advise Karl and Theo in which direction they should expand their business next. Karl and Theo are seeking advice on the different types of companies available and the legal responsibilities involved within the different entities.…

    • 2246 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Marketing Plan for Hotel

    • 12283 Words
    • 50 Pages

    Marketing Plan for the April 2010 Executive Summary Contents: Executive Summary 2 1.0 Corporate objectives and strategy 5 2.0 Marketing audit 5 2.1 External Analysis – PESTLIED 5 2.2 Industrial and Market Analysis 7 2.3 Competitive Analysis 9 2.3.1 Direct competition 9 2.3.2 Indirect Competition 9 2.3.3 Critical Success Factors 9 2.4 Customer Analysis 10 2.4.1 Grey Market Customers 10 2.4.2 The business related travel. 11 2.4.3 The youth market (16-25).…

    • 12283 Words
    • 50 Pages
    Powerful Essays