Question

4. Can you think of an industry that is dominated by only 2-3 firms? What is...

4. Can you think of an industry that is dominated by only 2-3 firms? What is the nature of the product? Would it be easy to begin offering the product or service? Do you feel that the prices of the products they are offering are fair?

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Though there are many firms in soft drink industry but in markets like India and pakistan only 2 companies Pepsi and coca cola share major part of the market. The product is soft drinks.In this market it is difficult to offer product or service because these firms are well established and have brand loyalty. Besides they are reaping economies of scale. In other words there are strong barriers to entry. We think prices are fair. The reason is stiff competition between them. We can see that by noticing that even drinking water bottles are offered by other firms at Rs 20-25 per litre while Pepsi and coca cola offer more things in their soft drinks apart from water at just about Rs 30 in india

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1. What is an industry that has only one significant supplier? What is the nature of...
1. What is an industry that has only one significant supplier? What is the nature of the product? How easy would it be to start a similar firm or stop offering the product/service? How easy is it to attain information about the industry or product or service? 2. Are there any products that are sold in a market in which the seller is able to charge different prices to different consumers? How are the sellers able to do this? 3....
In which type of industry do you think customers would prefer to buy products, and why?...
In which type of industry do you think customers would prefer to buy products, and why? (Choose one below and explain your reasoning.) Option A: In an industry dominated by a Monopoly. Option B: In an industry characterized by Pure Competition.
The U.S. market for computers is dominated by domestic firms such as Dell, Hewlett-Packard, and Apple....
The U.S. market for computers is dominated by domestic firms such as Dell, Hewlett-Packard, and Apple. The U.S. market for consumer electronics is dominated by Japanese firms and brands such as Sony, JVC, Panasonic, Mitsubishi, and Toshiba. However, the U.S. automobile market includes both domestic firms like Ford and General Motors and formidable Japanese competitors like Toyota and Honda. Please discuss the following two questions: 1. Do some theories work better than others for different industries? Why? 2. What other...
List 3-4 manufacturing companies located in the United States Do you think the manufacturing industry is...
List 3-4 manufacturing companies located in the United States Do you think the manufacturing industry is declining in the US? Please support your opinion (2-3 sentences). Let’s imagine what would happen if the U.S. decides to impose (charge) a 20% border tax on all imports from Mexico. What would be the implications of the border tax?
Can you think of an industry (or product) with near infinite elasticity of supply in the...
Can you think of an industry (or product) with near infinite elasticity of supply in the short term? That is, what is an industry that could increase Qs almost without limit in response to an increase in the price? 2
What are 2-3 vulnerabilities that an upscale restaurant faces in the current high-end retail food industry?...
What are 2-3 vulnerabilities that an upscale restaurant faces in the current high-end retail food industry? What are 2-3 innovative opportunities can you think of that would help succeed in the shift towards take out service for an upscale restaurant?
QUESTION 1 In a constant-cost industry where firms have identical cost, what will happen to the...
QUESTION 1 In a constant-cost industry where firms have identical cost, what will happen to the profit of the firms in the long run? Some firms will make positive economic profit, while some firms will make zero economic profit. All firms will be making zero economic profit. Only firms with positive economic profit will stay in the industry, because firms with negative or zero economic profit will exit the industry. Firms can be making positive, zero, or negative economic profit....
Suppose that three firms, 1, 2, and 3, produce a homogeneous product in a market with...
Suppose that three firms, 1, 2, and 3, produce a homogeneous product in a market with market demand Q = 40 – 2p. Each firm has constant marginal cost c = 2 and has no other costs. (a) If the three firms are Cournot competitors who simultaneously and independently choose outputs, what is the equilibrium industry output? (b) If the firms can collude to jointly choose output to maximize their total profit, what would be the industry output? (c) Now...
Two competing firms make identical products with unlimited capacity. In addition, each firm can choose to...
Two competing firms make identical products with unlimited capacity. In addition, each firm can choose to sell a repair contract that goes along with each product sold. Both firms have the same manufacturing costs: product costs $0.50 per unit to produce, and each repair contract sold costs its seller $0.10. The market consists of 100 buyers each of whom have a reserve price of $3.00 for one product. However, not all buyers value the repair contract in the same way....
Make each awswer as long as you can i would like most infomation you know anout...
Make each awswer as long as you can i would like most infomation you know anout 1-5 thank you Explain the following for each market structure example: 1. Why do you think each firm would be operating in that market structure? Justify your answer. 2. Would the different firms have market power or would they be price takers? 3. How is market structure determined? 4. How much product differentiation would each firm/industry use to market their product? 5. In which...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT