Discuss the role of demand Essay Example for Free

Discuss the role of demand Essay In this paper we discuss the role of demand and supply in determining equilibrium price and quantity in the market, in a free market the demand and supply determine the equilibrium price and demand, in this case we consider 2,500 apartments which are to be leased out at a rate of 1,100 per month. If we assume that this is the equilibrium price and quantity in the market we can derive our demand and supply curve to determine the various factors that will affect the equilibrium price and quantity. From the above diagram the intersection of the demand curve and supply curve give us the equilibrium quantity and the equilibrium price, if the price was to rise then the demand for the apartments would decline, if the price was to decline then demand would be high for these apartments. The adjustment of the free market is automatic because when the supply rises then prices decrease, when prices decrease then the demand increases forcing the prices to rise, therefore in the long run the free market is at equilibrium, the factors that affect this equilibrium therefore include demand, supply, prices and charges by other competitors. Change in demand: When demand increases there will be an increase in the level of prices, this is caused by the fact that as the demand increase then the demand curve shifts to the right as shown below, when the demand increases then the prices increase, when prices increase then more apartment builders will be encouraged to increase supply of apartments resulting into increased supply, increased supply will shift the supply curve to the left leading to a decline in prices, therefore in the long run the curves will adjust into a new equilibrium, this is shown in the diagram below: When the demand for houses increase then the demand curve shifts from demand curve 1 to demand curve 2, this increases the prices, as the price increase investors are encouraged to invest more and provide more apartments, this results into increasing supply, when supply increases due to the increased prices the supply curve shifts downwards from supply curve 1 to supply curve 2, the new equilibrium now is where demand curve 2 intersects with supply curve two. Our new equilibrium is at a lower price yet a higher quantity. This clearly shows how the market shifts as a result of change in the demand for apartments. Changes in supply and demand: Changes in the supply is caused by the price, when the price rise then the supply level increases, when the price declines then the supply level declines. On the other hand the demand is also affected by prices, when prices decline then the higher the demand and when the price rise then the lower is the demand. Shifts in the demand and supply curve will affect decision making, this is because as economists we will aim at producing at the most optimal position, the optimal point will be determined by the maount of revenue derived from the apartments, the higher the price the higher the revenue per aprtmetn yet the lower the revenue the lower the revenue per apartment, however total revene will be calculated by multiplying the demand with price. Four points emphasized: When demand increases prices will rise, When the prices rise then the higher the supply, The higher the supply the lower the price and The lower the price the higher the demand Application: This concept of demand and supply can be used to determine the result of an increase in the price of product or even a reduction in the price, however our above analysis is that of a normal good, therefore in the workplace we can determine what wll happen to the demand and revenue after an increase or decline in prices. Elasticity of demand: Price elasticity of demand is the responsiveness of demand to a change in prices, the hgher the price elasticity then the hgiehr the demand wil respoind to a change in prices, however the lower the price elasticity then the lower is the responsiveness to a change in price. Results: From the above discussion we have summarized the law odf demand and supply for a normal good, it is evident that for a normal good when demand increases prices will rise, when the prices rise then the higher the supply, the higher the supply the lower the price and finally the lower the price the higher the demand. References: Brian Snow (1997) Macroeconomics: Introduction to Macroeconomics, Rout ledge publishers, London Philip Hardwick (2004) Introduction to Modern Economics, Pearson Press, New York Stratton (1999) Economics: A New Introduction, McGraw Hill Publishers, New York

Changes in Class and the Labor Force within Society :: History Marx Communism Essays

Changes in Class and the Labor Force within Society Introduction: Though the Industrial Revolution changed the course of modern history, the consequences that accompanied it divided society. The radical change in the division of class and labor within society because of industrialization disgusted many who witnessed it, including Karl Marx. Their contempt for the new composition of class and labor led to intellectuals proposing improvements and reversing changes, through their writings to the masses, introduced by the Industrial Revolution. The Communist Manifesto and writings by Karl Marx and Frederick Engels are specific in their views on the class and labor structure in Europe and abroad. Class Structure Marx saw three classes emerge from Capitalist industrial society: labor power, ones who possessed the means of production, and those who owned the land. Their incomes consisting of wages, profit from industry, and rent collected from their land. Industry created by the Bourgeois revitalized society into two separate classes, the bourgeois and the proletariat. Communism offered the opposite, no division of labor or class. Marx believed that by eliminating personal gain from society, the class structure of Capitalism would be broken. Marx proposed the individual would receive from the greater society an equal amount of the shared commodities in comparison to his production of work benefiting the whole. There is an exchange of equal values. Each person receives equal share in the possessions of the whole for equal work. The bourgeois dissolves as personal profit is eliminated. Thus, granting rule over society to the proletariat. Class disappears because everyone is the sam e. Everyone is a worker. Free economic markets separates the means of production and the labor force. The result is the formation of an economically ruling class. The ruling class finds that labor equals only the means of production. Thus, the bourgeois pays the workers only the amount needed to sustain life. The proletariat is reduced to a life whose sole purpose is to find work. They only find work if their labor increases capital. Communism's Answer to Class Structure Communism offered the opposite, no division of labor or class. Marx believed that by eliminating personal gain from society, the class structure of Capitalism would be broken. Marx proposed the individual would receive from the greater society an equal amount of the shared commodities in comparison to his production of work benefiting the whole.

Assignment one Organisations and environment Essay

Discuss how an organisation’s competitive advantage can be enhanced with the introduction of new technology. In this day and age with almost all markets being highly competitive it is at top of businesses agendas to ensure they have a firm competitive advantage. 1 .The term competitive advantage is the ability gained through attributes and resources to perform at a higher level than others in the same industry or market. If a business can ensure that they have a competitive advantage it enables them to be one step ahead of their competition, this is curtail for a business’s success especial given the economic climate as it stands. One of the main examples of competitive advantage is pricing/cost. We see these most frequently in supermarkets, as most firms compete for the lowest prices this is because their consumers all want to find the best price for the product they want to buy. We also see this in other markets as consumers always look for a better offer therefore th e firm with the lowest prices generally has the higher demand. Another example is quality. When consumers look for witch product or serves to purchase quality is key element witch influence their diction. We see this on the high street time and time again as consumers consistently go to big brand names such as apple because they know that quality will be ensured in their purchase. As a result of this apple or able to boost prices and in turn create a higher profit margin for products. From these simple examples we can see how important competitive advantage is because of the additional finical gain it can bring to a business. These examples are basic as a competitive advantage can come in many forms as long as it befits a business and their competitors do not have it. A competitive advantage can prove extremely important to a business, for this reason it is just as important to maintain the advantage and enhance it if possible. One way to do this is by the introduction of new technology. If a firm is willing to invest in new technology it can be seen as a competitive advan tage in itself. This is because the technology is brand new and competitors do not have it yet. This gives the firm a unique advantage and will in turn attract customers. The introduction of new technology can also be used to enhance a firm’s competitive advantage. If we take the manufacturing industry as an example the firm’s competitive advantage may be there product and the way that it functions and the price that it is made for. If the firm then  introduces some new technology to its production line (machinery) their competitive advantage may be enhanced as the quality of the product is now better due to the new technology. This will make customer chose that firm over its competitors. The introduction of the new machinery may mean that less staff is now needed in that area of the production line. This in turn will enhance the firm’s competitive advantage as unit costs for the product will become lower due to the reduction of staff. This means that firm can charge less than their competitor’s causing a higher demand for their product. Another example of how firm can use new technology to enhance their competitive advan tage is in the researching of consumer information. A firm can only be successful in the long run and have a competitive advantage if it knows their consumers’ needs and wants. From this information the firm can devolve a product portfolio and brand that matches the consumer’s needs and wants, in turn giving them a massive competitive advantage. An example of this could be Tesco. Tesco are using new technology in order to help them understand their consumers more and in turn enhance their competitive advantage. They have done this by introducing their club card scheme. This is a reward scheme for customers as an incentive to make them more loyal to their supermarket; however this also offers Tesco’s the opportunity to see exactly what their customers are buying how often and at what times. This is very useful as it enables them to develop sales strategies and obtain the correct products to complement their consumers’ needs and wants. This will then improve customer loyalty and in the long run make more money. This is another example of how a firm can you new technology (in this case a database and swipe card) in order to enhance the firm overall success and competitor advantage. 2. To gain competitive advantage a business strategy of a firm manipulates the various resources over which it has direct control and these resources have the ability to generate competitive advantage. This quote reinforces the idea that firms are able. This quote again highlights the fact that in order for a firm to enhance their competitive advantage they need to look at the resources in their direct control and look at how to manipulate or enhance them in order to give them a better competitive advantage. One of the most popular and most successful ways of doing this is by the introduction of new technology to a business. A common example of this found in the retail industry is stock control. A resource under the  direct control of all retailers in on the high street is their own inventory/stock. Over the last ten year there has been a massive change in the way businesses handle the problem of stock control. Instead of the now old fashioned way of stock ordits and counts, most retailer now have a database system which shows all their stock including how much they have on the shop floor as well as in back-up storage. They also know when they have sold any given product and can be told by a computer alert that stock needs to be replenished on the shop floor, or that stock should be order as they have ran out. This system combined with the JIT (just in time strategy of stock control) has lead retailer to be more efficient saving money and time and overall improving their competitive advantage. Other ways that businesses can use new technology to enhance their competitive advantage is via their websites. Many firms underestimate the value of using their websites to gain significant competitive advantage in their given markets. With firm simply using their websites as a means to explain what their business is and show off their product portfolio. However if businesses invest in new web design technology they may be able to enhance your distribution networks. This may include using the web portal to enhance logistics, create new marketing channels (for example affiliate channels) or provide better or faster product access for customers. It is imperative that businesses use new technology in order to change and grow as a business as well as improving its competitive advantage. If this does not happen the business may be felt behind as the market progress and grows with new technology along with their customers. A great example of this could be Woolworth with left the high stre et in 2009 leaving 27,000 people unemployed. Woolworth downfall lied in its inability to change and grow with consumer demands. 3. Professor Alan Wilson, from the city’s Strathclyde Business School, said one reason Woolworths did not survive was because it didn’t offer the quality of some other stores. â€Å"And it couldn’t offer the prices that the discount stores such as Primark, Lidl and others could actually offer,† This ultimately shows the impact of what can happened to businesses that do not change or put enthuses into new technology in order to enhance their competitor advantage. Although I have mentioned many examples of how new technology can be used to enhance a firm’s competitive advantage there is some disadvantages when it comes to the introduction of  new technology. Firstly any firm that is considering the introduction of new technology will first have think about the initial investment. New technology is never cheap and can be quite expensive and time consuming to install. T herefore businesses most think carefully about if the investment is worth it and will it pay for itself in the long run. Also the introduction of new technology can bring de-motivation into the workforce. For example in the case that I mention early about manufacturing firms where staff could be laid off because of the introduction of new technology, this would a prime example of staff being de-motivated as they are worried about their job and think they could be the next one to go. However even though there are some small drawbacks new technology is still a very important factor when it comes to the enhancement of a firm’s competitive advantage and should be looked into carefully by all firms that want to be successful and grow. References; 1. Christensen and Fahey 1984, Kay 1994, Porter 1980 cited by Chacarbaghi and Lynch 1999, p. 45 2. Reed and Fillippi 1990 cited by Rijamampianina 2003, p. 362 3. Professor Alan Wilson thoughts on Woolworths- http://news.bbc.co.uk/1/hi/business/7811187.stm

5 Ways to Make Your Diversity Workshop a Success

Organizing diversity workshops is a challenging undertaking. Whether the event takes place among coworkers, classmates, or community members, the likelihood that tension will arise is high. The point of such a workshop is to help participants understand diversity’s significance and how to relate to each other more respectfully as a result. To achieve this, sensitive subject matter will be shared, and issues will be raised that not everyone sees eye-to-eye on. Fortunately, you can take several steps to prevent your diversity workshop from flopping. They include setting ground rules, fostering team-building and consulting diversity experts. Let’s begin with the most basic element of presenting a diversity workshop. Where will it be held? In-House or Off-Site? Where you hold your diversity workshop depends on how comprehensive it will be. Will the program last a couple of hours, all day or longer? The length depends on how much information needs to be given out. Is this the most recent in a series of diversity workshops you’ve held? Then, perhaps a shorter program is more appropriate. On the other hand, if you’re presenting the first diversity workshop at your organization, consider planning for the event to take place all day someplace off-site, such as a nearby hotel or lodge in the woods. Holding the workshop in another location will keep people’s minds off their daily routines and on the task at-hand—diversity. Taking a trip together also creates opportunities for your team to bond, an experience that will be of use when it’s time to open up and share during the workshop. If finances are an issue or a day-trip just isn’t feasible for your organization, try holding the workshop somewhere on site that’s comfortable, quiet and can accommodate the necessary number of participants. Is this a place where lunch can be served  and attendees can make quick trips to the bathroom? Lastly, if the workshop isn’t a school-wide or company-wide event, make sure to post signs letting those who aren’t participating know not to interrupt the sessions. Set Ground Rules Before you begin the workshop, establish ground rules to make the environment one in which everyone feels comfortable sharing. Ground rules don’t have to be complicated and should be limited to about five or six to make them easy to remember. Post the ground rules in a central location so that everyone can see them. To help workshop attendees feel invested in the sessions, include their input when creating ground rules. Below is a list of guidelines to consider during a diversity session. Personal information shared during the workshop remains confidential.No talking over others.Disagree respectfully rather than with put-downs or judgmental criticism.Don’t give feedback to others unless you are asked specifically to do so.Refrain from making generalizations or invoking stereotypes about groups. Use Ice Breakers to Build Bridges Discussing race, class, and gender isn’t easy. Many people don’t discuss these issues among family members, let alone with coworkers or classmates. Help your team ease into these subjects with an ice breaker. The activity can be simple. For example, when introducing themselves, everyone can share a foreign country they’ve traveled to or would like to and why. Content Is Crucial Not sure what material to cover during the workshop? Turn to a diversity consultant for advice. Tell the consultant about your organization, the major diversity issues it faces and what you hope to achieve from the workshop. A consultant can came to your organization and facilitate the workshop or coach you on how to lead a diversity session. If your organization’s budget is tight, more cost-effective measures include speaking with a consultant by telephone or taking webinars about diversity workshops. Make sure to do your research before hiring a consultant. Find out the consultant’s areas of expertise. Obtain references and get a client list, if possible. What kind of rapport do the two of you have? Does the consultant have a personality and background that will suit your organization? How to Wrap  Up End the workshop by allowing attendees to share what they’ve learned. They can do this verbally with the group and individually on paper. Have them complete an evaluation, so you can gauge what worked best about the workshop and what improvements need to be made. Tell the participants how you plan to instill what they’ve learned in the organization, be it a workplace, classroom or community center. Following through on the topics raised will influence attendees to invest in future workshops. In contrast, if the information presented is never touched on again, the sessions may be considered a waste of time. Given this, be sure to engage the ideas brought forth during the workshop as soon as possible.