Briefly explain the application to porters five forces model
Course:- Microeconomics
Reference No.:- EM131357509

Assignment Help
Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Microeconomics

Advanced Aviation Economics - Discussion

Part 1

Here's an excerpt from a recently published airline management text:

"One of the most significant developments has been the emergence and rapid expansion of a new type of airline business model that occurred as a consequence of deregulation and liberalization. Freed from the capacity and fare restrictions that had characterized airline operations prior to 1978 in the US and the 1990s and 2000s in Europe and other world markets, a number of airlines and new entrant operators developed a model based on minimizing costs and offering low fares" [Whyte, R. & Lohman, G. (2017). Airline business models. In L. Budd & S. Ison (Eds.), Air Transport Management (p. 109). London & New York, Routledge.

Briefly, explain the application to Porter's Five Forces model.

Part 2

After the class session, consider this problem and post your solution. Suppose your firm is considering whether to purchase CFL or LED light bulbs for office lighting. A CFL bulb is priced at $18, lasts 3 years, and consumes 12 watts per hour or about $3.50 per year in electricity. The LED bulb is priced at $40, lasts 9 years, and consumes 8 watts per hour or about $2.34 per year. Using discounted cash flow analysis, compare the total costs of the two bulbs over 9 years. Use at least two different discount rates to provide a sensitivity analysis. (Hint: The CFL bulb must be replaced at the beginning of years 3 and 6, so add the cost of replacement to the cost of electricity in those years).

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Microeconomics) Materials
Calculate the firm's shortrun total cost function. Calculate the shortrun average cost function. What are the STC, SAC, and SMC for the firm if it produces 25 baseball bats? F
George has been selling 5,000 T-shirts per month for $8.50. When he increased the price to $9.50 he sold only 4,000 T-shirts. What is the demand elasticity? If his marginal
Clearly explain the difference between one-step ahead, filtered, and smoothed regime probabilities. Is it correct to state that we should always use smoothed instead of filt
Now that you have completed the internal and external audits for the company you chose for this project, use the information to create a list of strategic objectives. From t
Identify a major health issue that is of interest to you. The issue could be related to your work and be in any area such as health promotion, public health, health policy,
Draw Besaid Island's production possibility frontier with bicycles on the vertical axis and wheat on the horizontal axis - What is the definition of comparative advantage?
1. In the US, the wage-skills relationship in the labor market before government intervention is wus=100+0.4s, where s is the number of "efficiency units of skill" and w i
What is the present value of your wealth at the beginning of your life, what is the largest constant consumption stream you can afford and what borrowing/lending strategy you