Answer:
a. (6 points) Why would you want to differentiate your product?
Because differentiating your product is one of the two basic business strategies, the other one being reducing the price of the product. Differentiating your product allows you to gain competitiveness in a contested market.
b. (8 points) How would you do it? How would your product differ?
An product that can be differentiated is a yogurt. The market for yogurt is very competitive so differentiation is necessary. The yogurt could be flavored in less common ways: like saffron, kiwi or cucumber, and the technique could be adapted from Greek Yogurt to give a healthier style.
a. (5 points) Please explain in detail what this asymmetric information problem, and who is facing it (your firm or your consumers).
The problem of asymmetric information occurs when one party of the transaction has more information than the other party. In a typical business transaction, the managers of the firm have more information than consumers, so consumers would be facing the problem of asymmetric information.
b. (8 points) How do you think the technology that you use, affects the market structure and/or the demand of your product?
Technology can make the market structure more competitive or less, but it usually makes it more competitive. Technology also improves the productiviy and efficiency of the production process, which leads to costs reductions than pass through price. This in turn raises demands for the product.
Debt funding is also known as debt financing. Debt funding is money that is borrow to help fund/run your business. Due to borrowing money from other people to fund your business, the investors typically own a share of the company.
Explanation:
This issue is related to the VRIO model, which is an analytical technique to help a company evaluate its organizational resources and make them effective and competitive in the market. The acronym VRIO stands for Value, Rarity, Imitability and Organization, which together form the necessary points for business improvement.
Analyzing the question, it is possible to see that the company focused on issues related to value, rarity and organization, so the question that should be asked to achieve a sustainable advantage is the question related to imitability, which could be: It is difficult to imitate the product at the cost of the resource or capacity?
Some economists study that higher income rates in massive oligopolies stem from the greater performance bobbing up from economies of scale in these large companies.
Oligopoly traits include high barriers to new entry, fee-setting ability, the interdependence of companies, maximized revenues, product differentiation, and non-charge opposition.
Oligopolies motivate good sized Inefficiencies – to the Detriment of purchasers. part of the cause a few economists are hesitant to simply accept the market electricity explanation is the scarcity of facts that lets in them gauge the intensity of competition among corporations.
A competitive situation in which there are only some dealers (of products that may be differentiated but no longer to any great volume); each vendor has a high percentage of the market and can not afford to ignore the actions of the others.
Learn more about oligopolies stem here: brainly.com/question/3005866
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