Answer:
Over the last two years, small businesses have taken to the electronic space as a means of expanding their businesses.
This e-commerce trend experienced an upward spike during the C-19 Pandemic. As businesses were forced to operate remotely, necessity which is the mother of invention, started to thinking of ways to restructure their businesses to operate more electronically using a wide array of online tools and technology.
In a recent survey, 10 out of 50 businesses said they were not reverting back to their former model of operations as they had realised that it was completely unnecessary.
Top reasons given are:
- Given the shedding of operation load and streamlining to basic functions whilst retaining the quality of product and or service, they also shed a lot of costs which increased their bottomline;
- emote service deliveries enabled them to get into more territories that they couldn't access prior to the C-19 pandemic. Thus leading to an expansion of clientele/market share.
Explanation:
A pitchbook is confidential document. It is basically a sales document, used by the sales force, which contains main features or attributes of the firm, the potential of the firm and the future aspects of the firm in detail.
So keeping the given question in mind, I would write to my supervisor as follows:
Subject: Assistance Required
Body:
Dear Sir,
By reviewing the whole document finally, which is to be presented to the client tomorrow, I found some mistakes in the results. I came to know that the results are incorrect and are surely needed to be corrected before the presentation.
I recommend you to delay the meeting for 3 hours by the scheduled time, as i need to check and correct the whole figures again and this would take time.
I am looking forwards for your advice.
Best Regards
Answer:
59% - a)increase - b)decrease
Explanation:
First of all, we should say that the real exchange rate is calculated by multiplying the nominal exchange rate for the price index and then divide it by the price index of the other country. In another language, using this case as the example, the first nominal exchange rate is 50, as you need 50 rupees to buy 1 dollar. So to calculate the real exchange rate you need to multiply 50 by 100 (the price index of USA) and then divide it by 100 (the price index of India). Note that both price indexes are 100, just a coincidence for making easier the question. Result: 50.
Then we calculate the next real exchange rate: multiply 60 (the new nominal exchange rate) by 106 (the new US price index) and divide by 80 (the new India price index). This throws a result of 79,5. We see a 29,5 increase, and 29,5 represents 59% of 50 (the initial real exchange rate).
Then both questions is more common sense than the reading of the results we just calculated. For example, nominal exchange rate changed from 50 to 60, so the people in India will now have to collect 10 more rupees to buy the same dollar. Let's suppose a pair of shoes in USA costs 40 dollars. Before, Indians needed 2000 rupees to buy it. Now they will need 2400 rupees... it will be more expensive. Plus, the prices of USA had gone up 6%, which means the pair of shoes will now cost 42,4 dollars... even more expensive! As products in USA are more expensive, we can expect that India's consumption of American goods will decrease (law of demand).
With the American consumption of Indian goods happens the opposite, the goods in India became cheaper (price index has fallen), and for the Americans, the same dollars they had will buy more rupees when the exchange rate changed to 60.
Well it is a toy manfacturing company and the intermediate good would be a toy plane