Assignment: Industry Project
Select a specific product made by a single specific company. Select something you're interested in and something you know about (by choosing something you know will greatly limit any actual research you'll need to do). This project is not designed to have you do research (information on the web or in print). However, sometimes, finding some basics facts is useful.
Explain your answers. Graphs not needed. You may not know some of the answers, but the point is for you to make educational speculations about the answers.
Each question should be answer in no more than 60 words.
1) Why did you select this product / industry?
2) Describe a significant change in demand for this product in the recent or distant past and describe what caused that change. What do you predict will be the next significant change in demand in the future and explain why? Note: the change can be specific to only the product or it can be something that affects the whole industry
3) Describe a significant change in supply for this product in the recent or distant past. What caused the change?
4) Looking at your product only (not the industry), describe how elastic or inelastic you think demand might be and justify your position. Looking at demand for the whole industry, describe how the elasticity compares to the demand for your product and explain any difference.
5) Rate, using a scale of 0 (nothing like) to 10 (exactly like), how closely your industry fits the pure monopoly model? Make sure to explain your answer referring to all assumptions of the pure monopoly model.
6) Provide (thoroughly describe) an example of a creative, unique, or interesting pricing strategy that is used by your produce or industry. Alternatively, suggest a pricing strategy that might be used to increase profits.
7) Rate, using a scale of 0 (nothing like) to 10 (exactly like), how closely your industry fits the perfect competition model? Make to sure to explain your answer.
8) Rate, using a scale of 0 (nothing like) to 10 (exactly like), how closely your industry fits the monopolistic competition model? Explain.
9) How has anyone in your industry differentiated the good? Think of another way to differentiate the good being very specific and include why you believe people would want this change
10) Rate, using a scale of 0 (nothing like) to 10 (exactly like), how closely your industry fits the oligopoly model? Your explanation should include description of any game strategies.