Economics Assignment Essay Example | Topics and Well Written Essays - 2250 words

Economics Assignment - Essay Example Based on the fact that within the market place the root of everything litereally comes down to supply and demand, this is altered by monopolistic practices and therefore society tends to disfavor monopolies as practicing on an unfair basis, and creating barriers of entry to firms wishing to enter the market for profit generation, as well as from the perspective of the consumer, being that the monopoly is unfairly regulating prices, by restricting output and therefore is extracting a price without allowing market forces to determine the correct supply and demand balance of the given commodity. Essentially when dealing with a monopoly consumers are at the mercy of the price determination of that monopoly, which they control via total output restriction and subsequent economic welfare reduction. The monopoly comes about when there is little or no competition, normally the latter. The monopoly will always persist based on the barriers to entry for any rival company or concern attempting to enter the market place. Barriers to entry protect a monopoly and at times can even be state sponsored, via legal framework or even finance. The barriers to entry for rival firms include: Legal Ba... Legal Barriers - these take the form of legal framework where a government will only allow a producer to supply a product, for example if one considers the first class mail deliver in the United States which USPS is the only allowed deliverer. Patents - similar to legal barriers due to the legal framework that will support a holder of a patent, although this issue is debatable around the cost of research and development in the patent creation process. A certain school of thought agreeing with the patent barrier, claims government encouraged innovation incentive, whilst others will claim consumer deprivation due to excessive price fixing. Examples would be the pharmaceutical companies that hold patents on medical drugs, Pfizer who manufactures Viagra - they are the patent holders and are therefore the only company entitled to produce and sell the drug. Control of strategic resources - this would entail a holder of mineral rights or mining rights of a commodity that must be present in order to produce the end product. An example is De Beers controlling 90% of the world's diamond production (Wessels, W.J). Natural Barriers - also called economies of scale. This is related to the mere cost of establishment within a given industry. It is too expensive and capital intensive to enter the market on a profitable basis. An example of this would be the various utility companies in any given economy. One can safely deduce that monopolies will continue to exist, as long as there are governments who sponsor such activity, as well as when companies are in the position to be able to create a barrier to entry, via market power or anti competitive behavior, this in turn can be negated by anti trust regulation or competition law. The Economists vs. The

Integrated Marketing communication Assignment Example | Topics and Well Written Essays - 500 words

Integrated Marketing communication - Assignment Example have to be included to create space or new roles and responsibilities brought in by the new concept brought about by the Girls next-door TV show (Clow & Baack, 2012). The external stakeholders include customers, those who watch the TV show and those who are against it. All these people will be affected by the new events because some customers will like the idea and some may not want to be associated with it. The show lovers could be attracted to the Olive Gardens’ restaurants while those who are against the show may decide to cut their link with the restaurants (Clow & Baack, 2012). For casual observers of media, the Sexiest Girls of Olive Garden will appear to be a sponsorship because of several factors. First, the show will feature the name of the restaurant, which to them will mean that it is sponsored by Olive Gardens. Secondly, Olive Garden had not accepted or denied whether it funds the show or not. Therefore, for casual observers of the media, they would ride on the notion that the show is funded by the restaurant. This event is an instance in which damage-control programs were in order. Olive Garden is understood through a brand and image of family, friends and fun. However, despite the fact that Kendra Wilkinson mentioned Olive Garden as a genuine fan and with sincerity, it came as a promotion strategy. This is the damage that the Sexiest Girls of Olive Garden show seems to control. This show is a follow up event of what had already occurred (James, 2007). I agree with Kendra Wilkinson that Olive Garden could afford to appear a little edgy without detracting from its family friendly brand. Olive Garden is not just about family but also about friends and fun. Therefore, appearing edgy would center on the fun part of its brand. Olive Garden will be able to attract the people who watch The Girls Next Door who are not its customers yet. They could join the Olive Garden fraternity as friends or even family because these groups exist among the watchers.