Hugely successful web company has utilized free economics

Assignment Help Microeconomics
Reference no: EM13686155

Suppose a hugely successful web company has utilized free economics, expanded its scale of operations also spread its long-run costs over larger also larger audiences. After years of profits, the company's profits fell continuously. Using production costs theory, describe why this situation might be occurring.

Reference no: EM13686155

Questions Cloud

Explain about cannibalization analysis : Explain about Cannibalization Analysis - Explain the concept and the cannibalization table.
A monopolist is currently hiring : A monopolist is currently hiring 5,000 units of labor. At this level, the marginal revenue of output is $10, the (fixed) wage rate is $300, and the marginal product of labor is 50. In order to maximize profit, the firm must
Decreased the average selling price of its phones : Revenue at a major cellular telephone manufacturer was $2.3 billion for the nine months ending March 2, up 85 percent over revenues for the same period last year. Management attributed the increase in revenues to a 108 percent increase in shipments, ..
Explain abells three-dimensional business-definition model : Explain Abell’s three-dimensional business-definition model and explain where it can be utilized. Then, consider Reader’s Digest Association, publisher of Reader’s Digest, the largest circulation magazine in the world in 1992.
Hugely successful web company has utilized free economics : Suppose a hugely successful web company has utilized free economics, expanded its scale of operations also spread its long-run costs over larger also larger audiences. After years of profits, the company's profits fell continuously. Using production ..
What level of excess reserves does the bank now have : Third National Bank has reserves of $20,000 and checkable deposits of $100,000. The reserve ratio is 20%. Households deposit $10,000 in currency into a checking account at the bank and that currency is added to reserves. What level of excess reserves..
Presume that three risk-neutral bidders are interested : Presume that three risk-neutral bidders are interested in purchasing a Princess Beanie Baby. The bidders (numbered 1 through 3) have valuations of $12, $14, and $16, respectively. The bidders will compete in auctions as described in parts (a) and (b)..
Compute the project-specific discount rate : Compute the project-specific discount rate
Uncertainty principles of the christmas party : How would you think that the uncertainty principles of the Christmas Party Planning Using PERT/CPM video relate to the real world aeronautical program management needs of the current operations manager

Reviews

Write a Review

Microeconomics Questions & Answers

  Explain hypothetical short-run and long-run cost curves

"The thing a lot of people don't understand about e-commerce is the degree to which it is a scale business. While a conventional retailer might have to double its capital spending to double sales, Amazon's costs are largely fixed.

  Gdp and circular flow

GDP and Circular Flow

  Internationalization and globalization of the modern world

Analyze the meaning of the phrase: "Made in USA" from a historical perspective and the importance (or lack of) it bears across the internationalization and globalization of the modern world. Explain and support your answer.

  Organization in concept and practicebullanalyze the

organization in concept and practicebullanalyze the potential downfalls of any team effort e.g. free riders and make at

  Can nonprofit approaches be applied to for-profit organizatn

Two organizations (one Non-profit and one for-profit) are considering different alternative courses of action within their organizations.

  Questionyou have exams in economics and chemistry coming up

questionyou have exams in economics and chemistry coming up and five hours available for studying. the following table

  Income statement for sizzling foods inc is shown

income statement for sizzling foods inc. is shown belownbspnbspnbsp2011nbsprevenuesrevenue from sales of goods and

  Outline and explain major categories of reimbursements and

health care financial management is complex and an effective health care administrator must understand what makes up

  The price elasticity of demand

Suppose the demand for a product is given by P = 40 4Q. Also, the supply is given by P = 10 + Q. What is the price elasticity of demand at the equilibrium price?

  1 fit-to-a-tee a price-taking t-shirt design shop has a

1. fit-to-a-tee a price-taking t-shirt design shop has a schedule of total fixed costs total variable costs total

  Describe what would make this an effective price ceiling

Consider the market for ipods. The government decides to impose a price ceiling on ipods. You are told that this is an effective price ceiling. Describe what would make this an effective price ceiling.

  Calculate the mad

collect data on sales from any retail store of choosing for the last 10 months or 10 years. Predict the sale for the 11th month or 11th yr using a 3-month moving average and a 4-month moving average. Calculate the MAD for the 3-month or 3yr and 4m..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd