Reference no: EM1377595
Bumper crop means cheap mangoes
NATHAN DYER, The West Australian November 1, 2011
Perth consumers are set for a mango boom with a bumper Ord Valley crop driving down prices for the tropical fruit.
Kununurra packing shed operator Quentin Parker said a favourable growing season meant Kimberley mango farms were flush with fruit.
"I've got one customer who did 4000 trays last year and he'll do 27,000 this year," he said.
Mr Parker said his packing shed was sending about two semi- trailers of mangoes to Perth each day and had packed 80,000 trays with about 40,000 more to go.
He estimated the Ord Valley would produce more than 200,000 trays this year.
Tony Tonich, fruit sales manager for Perth market agent AllStates, said the bumper Ord crop and strong supplies from the Northern Territory were good news for consumers.
"At the moment there's a huge volume of mangoes on the market," Mr Tonich said.
"So the consumer in the shop should be getting a reasonable price. They're advertising this week at around two for $5, which is a very good price."
Mr Tonich said mangoes were trading between $18 a tray for second-grade fruit and up to $35 a tray for top quality fruit.
But he said prices were unlikely to go much lower because farmers would stop making money.
"If they're not getting $18 a tray and over, they'll just stop picking."
He said people should enjoy the fruit while the price was low.
Ord Valley picking finishes in about three weeks. The harvest in Carnarvon begins next month.
Please answer the following questions using appropriate diagrams. Be sure to explain your answers thoroughly:
1. Assuming that mangoes operate in a perfectly competitive market, use a well-labeled demand and supply model to explain how market equilibrium price and output of mangoes is being determined. Then using the same model, explain and illustrate what factors has caused the price of mangoes to fall in price.
2a. Do you think the demand for mangoes is price elastic or price inelastic? Explain your answer based on the determinants of price elasticity of demand.
2b. Based on the elasticity established in your answer above, discuss the likely impact of a price fall on mangoes producers' total revenue.
3. Assume the government is concerned about prices falling too low for farmers and decides to introduce a price support scheme. With the aid of appropriate diagram show the effect of a price support scheme on demand and output in the mango market. In your answer discuss the potential problems associated with such a scheme.
|
Effect of the employment at will principle
: Discuss the effect of the employment at will principle on the approach of what considerations managers and workers should be aware of while in progressive discipline and positive discipline process?
|
|
Critical thinking questions
: MedMobile is a medical supply business located in LA, California, employing 62 full-time and eleven part-time employees. The firm specializes in equipment designed to improve patient mobility
|
|
Discussion on critical thinking styles
: Request specific data. You get any necessary data from team members or subordinates, then decide on the solution to the problem yourself.
|
|
Different processes and divisions in the organization
: Proposed technology will have a broad impact on the different processes and divisions in the organization and not restricted to a particular process or division
|
|
Determinants of price elasticity of demand
: Do you think the demand for mangoes is price elastic or price inelastic? Explain your answer based on the determinants of price elasticity of demand.
|
|
Powers of administrative agency
: Determine the powers of this administrative agency, and whom does this agency report to if any? Also, where do the legislative and judicial branches of government come into play with investigation and enforcement of this agency?
|
|
Fairness between auditors and companies
: Practicing professionals should place the public interest above the interests of clients, particularly when participating in a procedure created to develop standards expected to obtain fair presentation.
|
|
Discussion of critical thinking styles
: Think that the most favorable aspects of each style discussed to explain a process by which a problem can be identified and explained to stakeholders in a manner that is sensitive to their perspectives.
|
|
Moving his senior managers to new positions-case study
: Do you feel that it was the right thing to do letting all of the tenured senior management go and Why?
|