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Three tests for any source of competitive advantage are align, differentiate, and add value. Discuss whether these tests are difficult to pass. Can compensation really be a source of competitive advantage? Why or why not??
Ki Airlines has determined that the price elasticity of demand for two customer segments (Business Class and Coach) is -1.50 and -1.75. Based on their expectations of profitability, Ki realizes the price of a Coach Seat should be $155 (one way). How ..
A company produces two main products: electronic control devices and specialty microchips. The average total cost of producing a microchip is $300; the firm then sells the chips to other high-tech manufacturers for $550. Should the company produce co..
If the U.S. and Japan trade different versions of cars and the U.S. enact trade barriers against Japanese car imports, what will happen to the level of Japan's horizontal foreign direct investment in the U.S.? Why?
The international debt crisis of the 1970s and 1980s arose primarily from
A struggling company currently has a total value of $700,000. It owes $500,000 from debt financing (assume these are loans from the bank if you wish). The value of the company to the owners is the difference between the total value and the amount owe..
The farmers in country A harvest and sell 150 bushels of wheat at the price of $80 per bushel. Of the total production 30 bushels are exported. If the government bans all exports of wheat, the domestic price of wheat would drop to $60. But the produc..
What happens to the money supply, interest rates, and the economy if the Federal Reserve is a net seller of government bonds? What happens to the money supply
Illustrate what is the probability that this worker is a college graduate. A non-college graduate. Are educational achievement and employment states independent
There are different theories of intelligence—some are based on psychometric principles (or on how intelligence has been measured) while others rely on the cognitive viewpoint. Compare the psychometric and cognitive theories of intelligence. Choose on..
Describe the free trade equilibrium. Then compute and graph the following effects of an import quota that limits imports to 100 bags.
1. Define business cycles. How is national debt affected by business cycles?
Your firm is considering purchasing an old office building with an estimated remaining service life of 25 years. Recently, the tenants signed a long-term lease, which leads you to believe that the current rental income of $300,000 per year will remai..
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