What market structure do the given firms operate in

Assignment Help Microeconomics
Reference no: EM131266902

Read the article (link provided) and answer in 300 words or more.

New Straits Times. (1997). Microsoft-Apple partnership stuns computing industry. Retrieved from https://news.google.com/newspapers?id=rZxOAAAAIBAJ&sjid=HBUEAAAAIBAJ&pg=6732,188074&dq=apple+partnership+with+microsoft&hl=en

An interesting example of strategic behavior comes from a 1997 article about Microsoft's investment in Apple (New Straits Times, 1997). The article is included in the Required Readings list. Facing tough anti-trust scrutiny from government agencies, Microsoft provided financial support to Apple in order to ensure Apple's survival and, therefore, to ensure that competitiveness in the industry remains. Moreover, the partnership with Apple provided an additional market for Microsoft's products - the MS Office and the IE products were to be bundled with the MAC OS as one of the conditions for this financing. Discuss this case in the context of market structure and strategic behavior. What market structure do these firms operate in? Why did Microsoft need to preserve competitiveness in the industry? What was Microsoft afraid of in the event that Apple did not survive?

Reference no: EM131266902

Questions Cloud

How can you package your renewed sandwich cookie : How can you package your renewed sandwich cookie to make it more attractive on the shelf than Oreo? What about package size?
Discuss importance and benefits of using critical thinking : Provide an example from your personal experience of critical thinking applied to a business decision. Discuss the importance and benefits of using critical thinking
Find its efficiency as an autotransformer : A 400/100 V, 10 kVA, 2-winding transformer is to be employed as an autotransformer to supply a 400 V circuit from a 500 V source. When tested as a 2-winding transformer at rated load, 0.85 pf lagging, its efficiency is 0.97%.
Excess reserves in the table : Suppose that Second Republic Bank currently has $150,000 in checkable deposits and $97,500 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%. Using these values, fill in the empty cells for reserves, required reserve..
What market structure do the given firms operate in : What market structure do these firms operate in? Why did Microsoft need to preserve competitiveness in the industry? What was Microsoft afraid of in the event that Apple did not survive?
Firm price exceeds its marginal revenue : 1)If, at the current level of ourput, a firm's price exceeds its marginal revenue, and its marginal revenue exceeds its marginal cost, then to maximize profits, it should:
Uniform computer information transactions act : What is the need for a Uniform Computer Information Transactions Act? Brooksold Corporation contracts to have Zealent Construction Company build a factory for $4,000,000. Days before the start of construction, Zealent withdraws from the contract. Dis..
Explain what are the pros of raising the prices at bulls eye : The manager is unsure of this strategy as recent data points to increasing numbers of individuals shopping more and more. What are the pros and cons of raising the prices at Bulls Eye and would that strategy be profitable?
Provide an example business for each form : Provide a 100- to200-word summary in which you provide an example business for each form. Discuss at least one of the advantages and one of the disadvantages of that form and potential legal forms that might be required

Reviews

Write a Review

 

Microeconomics Questions & Answers

  How much of two products should be produced by the firm

Consider a supplier of agricultural equipment who is deciding how much of two products should be produced by his firm. You determine what the two products are.

  Market for tires in terms of equilibrium quantity and price

Presume that the price of rubber, an input in production of tires, goes up. How will this affect the market for tires in terms of equilibrium quantity and price?

  What is the relationship between inflation and interest rate

What is the relationship between inflation and interest rates? How time lag affect spending and saving decisions. Use an example of your choice to analyse the above statement.

  Produces a line of lightweight hiking boots

he Safari Company is currently the only company in the area that produces a line of lightweight hiking boots. Safari's advisors estimate that the demand for their boots is given by: Q = 42 -0.4 P  Where P is the average price of a boot and Q is the q..

  Estimate the cash flow to be included in the horizon year

Estimate the cash flow to be included in the horizon year and what will be the horizon value if there is no profit growth?

  Historic confrontation between capitalism and socialism

Do you think there are lessons for American capitalism in Europe’s experience? Is it the other way around? Might both have things to learn? Do you think that the general acceptance of the market framework by Europe’s socialist parties signals an end ..

  Calculate marginal pdf''s of both variables

Calculate marginal pdf's of both variables and calculate the probability that Bobo has fun if Bobo studies economics.

  Output the marginal revenue product of labor

if a firm has monopoly power in the market for its output the marginal revenue product of labor a. is no different than for a competitive firm b. is less for each unit of labor than for a competitive firm c. continuously slopes upward instead of turn..

  Explain the economic interpretation of the dual problem

A farmer has 5,000 acres of land, 1,000 hours of labor, and 2,000 hours of tractor time to grow two crops: corn and wheat. He expects that he can earn $250 per acre for corn and $200 per acre for wheat.

  Use the given data to compute a labor force participation

use the following data to calculate a the labor force participation rate b the unemployment rate and c the

  Describe what would be the likely outcomes in the economy

Describe what would be the likely outcomes in the economy.  Use the appropriate tools of analysis, such as aggregate demand and aggregate supply where appropriate, to justify and explain your answer.

  Aassumptions behind the theory of supply-side economics

President Bush’s approach to economics was very similar to that of President Reagan’s. explain the assumptions behind the theory of supply-side economics.

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