Current Market Conditions Competitive Analysis
Purpose of Assignment
The student will contemplate, imagine, and sketch revenue and cost curves on which firm behavior is based. The student will utilize these revenue and cost curves to determine the behavior of their chosen organization in the market served. The student should use the model of supply and demand to explain factors that could affect demand, supply and prices. The student will determine various factors that could affect their organization’s total revenue and total cost. The student will recommend actions the firm could use to maximize their profit and their presence in the market served.
Scenario: You have been given the responsibility of working with your organization’s CEO to do a competitive market analysis of the potential success of one of their existing products.
Research an organization and a product produced by that organization in which an analysis can be conducted.
Write a 1,750-word analysis of the current market conditions facing your product, making sure you address the following topics:
- Define the type of market in which your selected product will compete, along with an analysis of competitors and customers.
- Explain the factors that will affect demand, supply, and prices of that product.
- Examine factors that will affect Total Revenue, including but not limited to price elasticity of demand, product differentiation, mutual interdependence of competing firms, any comparative advantages and international trade opportunities.
- Examine factors that will affect Total Cost, including but not limited to factors that influence productivity, various measures of costs, including opportunity costs that are implicit, and difference between the long run and short run, externalities and government regulatory policy
- Summarize impacts of factors affecting Total Revenue and factors affecting Total Cost on marginal revenue and marginal cost
- Recommend how your organization can maximize their profit-making potential and increase their presence within the market served by the product.
Be prepared to provide a two-minute recital of interesting and important lessons from this assignment.
Cite a minimum of three reliable and authoritative reference sources from the University Library in addition to your textbook or any other data sources. The textbook and data sources should always be cited and included in the reference list.
The student should do research of reliable and authoritative reference sources to generate either recent or historical “real world” examples of concepts, institutions, events, and trends that are relevant to the topics listed above. Hypothetical or simple story-like examples are welcome, but should be supplemented with “real world” examples.
Students should use research articles from peer-reviewed journals, trade periodicals, government reports, research institute reports, reliable blogs, newspapers and magazines with coverage of business and economics, and other worthwhile sources.
Some internet sources are to be avoided as primary reference sources: www.investopedia.com, www.wikipedia.org, and any other dedicated “economics information” website like www.khanacademy.org, www.amosweb.com, www.netmba.com, www.chegg.com, www.quora.com, www.tutor2.net, www.quickonomics.com, www.economicshelp.org, and other online economics and business encyclopedia or dictionaries. These can supplement the textbook only. (Of course, if you use these websites, you must cite them and include them in your reference list.) Penalties will be assessed if these are used instead of the textbook. (As you can see, the instructor is familiar with these and others. Please read the Mankiw textbook (he is in the top 40 worldwide which is the top 10% of all economists; see https://ideas.repec.org/top/top.person.all.html ).)
Format your paper consistent with APA guidelines.