Monday, February 24, 2020

The various forms of market structure Research Paper

The various forms of market structure - Research Paper Example In many cases, there can be the entry of an alike product but the title of the product and the packaging styles would have set the original product a way long higher than the reach of new comers. Ammunition suppliers and nuclear dealers are examples of monopoly in every country. ‘Microsoft’ is the largest name in monopoly of computer science and services. Italian and Indian governments have their monopoly in tobacco products. Mostly all the narcotic drug deals are associated with certain government monopolies. Railways of India and Russia and many high-end road tracks are now monopolies of concerned governments. In all these cases, one perfect seller is found to have the authority to occupy and decide on the sales of the product. Thus it seals the possibility of any competitive entry. Oligopoly is an inter-related marketing system maintained by a group of sellers of the same product or service (ibid: 178). Oligopoly frames a formal agreement among the members of the group in order to regulate the decisions regarding production and supply of product under trade in such way that each member is equally benefited from the market share. This system facilitates clear awareness of each member about what is going around with other members. The strategies and decisions are commonly taken for profit maximization conditions. The oligopoly is formed by high end sellers of the same product; therefore their union restricts the entry of infant sellers in the market. Interdependence, product differentiation and perfect knowledge are added advantages of an oligopoly. Almost all the large enterprises operating for product sales and consumer services are associates of oligopolies. Petroleum products, airlines and telecommunication services are examples of oligopolies. Verizon, AT&T Sprint Nextel, and T-Mobile are cellular giants of American oligopoly. While OPEC is the largest holder of petroleum products,

Saturday, February 8, 2020

Financial Analysis BMW Essay Example | Topics and Well Written Essays - 1250 words

Financial Analysis BMW - Essay Example For example the 2011 and 2012 financial reports shows that the company had a toatl of â‚ ¬27,038 million and â‚ ¬30,295 million respectively for the equity attributed to shareholders of BMW. In the year 2011, 28.9% of the shareholders equity contributede to the company toatal capiatl while in the year 2012 , 30.4% of the shareholders equity contributed to the company total capital contribution. The debt of the company is managed through a fixed debt ratio of capital . Therefore, the company debt ratios for the year 2011 and 2012 are maintaind at a fixed rate of a bout 70% or 0.70 The BMW debt ratios are effective since they are bellow 100% which is the maximum limit the ratio , the company debt ratio further fall bellow 80% that is set by many companies hence this is a positive figure for the BMW company. the debt ratio is relative lower compared to TVS motors company that has debt –equity ratios of 0.79 for the year 2011. This is shows that the BMW company ismore competive in the market and cannot under go recervership or liquadation. BMW company uses both operating and financial lease.the lease arrangement policy enables the customers of the company to iether have an option of buying the vehicle or lease it for a fixed pertiod of time as stated in the company leasing policy. Customers are given the oportunities under lease programe to drive a BMW vehicle of his or her choice for a fixed period of time in return for a pre-determined lease rental where the customers have the oportunities to iether retain the vehicle at a pre-determine price or return it to the BMW company. Under finance lease; the customer has a flexible chance of choosing a new BMW that best suits their driving interest and lifestyle needs. The contract tenure can range from 12 months to 48 months with an option to buy at the end of the lease or return thec vehicle. During the finance leasing period, the payment can be