Question

1) Select a company that publicly traded on a stock exchange. Do not select the same company as your classmates. 2) Write a brief summary about the company. Include the ticker symbol of the company (one half page at a minimum), Include a link to reference source. The summary must be in your own words, not just copy and pasted from your source. 3) Answer the following questions about the company and its products. For the product questions select a single primary product for the firm. Many firms have numerous produces which each will have unique attributes. For instance, if your company is Samsung, pick a product major product they produce such as cellphones: 3.1) What is the structure of the market your firm is in - Perfect competition, oligopoly, monopoly, or monopolistic competition? Justify your answer. 3.2) Are the products of the firm differentiated or homogenous? Justify your answer. Be detailed - your answer should be multiple sentences, not a few words. 3.3) Name three substitutes and name three complements to your firms products. Be specific! 3.4) How does the firm and its industry conduct itself in regards to pricing behavior (high mark-up on products or low mark-ups? Lerner index is NOT required), advertising (spend a lot or very little?), and research and development (spend a lot or very little?). See chapter 7 for details. Be detailed - your answer should be multiple sentences, not a few words. 3.5) is your firm vertically integrated? Justify your answer. Be detailed - your answer should be multiple sentences, not a few words. 3.6) Name two significant variable costs of the firm and name one significant fixed cost. 3.7) Are the firm's products price elastic or price inelastic? Justify your answer. Be detailed - your answer should be multiple sentences, not a few words.

Answer 1

1. ) AMAZON.com is the company that publicly traded on a stock exchange .

2.) This is a company which was emerges in the year 1998 by jeff Bezos and makes an ONLINE DELIVERY . AMAZON sells many of the things the people is in the need of their day to day life . The people can order their own choice thing from online and with in the given period it will be at your own. This company also have it,s prime membership for the free shipping and with the help of that he/she can take the enjoyment of music or the movies uploaded in it.

3.) This company is basically for type online delivery purpose through which the people can make an of of their product through online with the help of the AMAZON app or website and with in the given period the order will be delivered to your home very safely. This company also have it,s prime membership for the free shipping and with the help of that he/she can take the enjoyment of music or the movies uploaded in it.

3.1) Perfect Competition ;- In this market all firms sells an identical products which is also said to be the homogeneous .

They cannot influence the price of the market of their own products. And also there will be the pure competition.

Oligopoly Competition :- In this type of market two or more no of firms take the part in it. and sells their product at any reasonable price. Differentiated products.

Monopoly Competition :- In this type of market any single person or the specific person  sells there products any the reasonable price . And these kind of the sellers are fixed and unique at that area. Differentiated products

3.2) The products can be both homogeneous as well as differentiated .

Oligopoly Competition  &  Monopoly Competition = Differentiated products .

Perfect Competition    = Homogeneous products

3.3) Substitues of the firm products :- (a.) High competition

(b.) Low quality products

(c.) quality of the products .

Complements products : - (a.) buy one and get one free

(b.) low price of the products

(c.) good quality product .

3.4) content is missing (written to refer page 7)

3.5) It is depends on to the company and its products whether the firm is vertical integration or not. Where the company itself have control to their supplier , or the distribution.

3.6) Two variable cost significant:- (a.) Commissions

(b.) Credit card fees

  Two fixed  cost significant:- (a.) Insurance

. (b.) Rent

3.7) The firm products price can be elastic or in elastic both it also depends on to the company and its products . When the price elasticity of the products is less than 1 then it is to be said as the Inelastic otherwise it is considered as the elastic.