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Suppose an auto manufacturer sells cars at $10,000 per car. Marginal costs are $5,000 per car. The vice president in charge of sales and marketing says that one month sales with discounts of 10% typically increase sales by roughly 80% during the sale, suggesting a demand elasticity of -8. You advise her to lower her prices on a permanent basis. She responds that her cars are durables and she is worried that she is "stealing" customers and shifting demand from the future. Does she have a point?
When the SEC approves a stock issue it does not provide an opinion about the value of the stock Do you think the SEC should give an opinion to investors on the appropriate value of the stock being issued? Explain
Discuss how these companies may have been using game theory in their pricing decisions. What types of games were they engaged in? How did competitors react?
Organizations have three choices for distribution intensity- intensive distribution, selective distribution, or exclusive distribution.
Provide a historical overview of the evolution of how health care has been reimbursed. Differentiate between fee for service versus managed care models.
She applies for a 3 year loan with 12% interest rate and monthly payments. Whats the maximum price Jill can pay for a car?
Which of the following errors would cause the trial balance to be out of balance? Which of the following groups of accounts have a normal credit balance? Which of the following entries would record the payment of a utility bill?
Estimate the value of leased assets. If you misestimate the average life to be 10 years, how large will the valuation error be?
Include risks and threats of company data. What policies/procedures should be implemented for the handling of data ensure data protection and business continuity?
Sears, JCPenney, and Walmart tried hard in recent years to upgrade their images and appeal to higher-class consumers.
Boundaryless structure between the design division and marketing division of the company.
What are the five characteristics of effective goals, and why are they important for implementing action plans?
Why are Team Skills and Teamwork important to a company success. How does it make a different in team dynamics?
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