Factors of production Essay Examples

production. The firm had tried a different approach to cater for the rising costs by increasing the price of the product which did not go well with the customers leaving them no other option that to cut the costs of production. The Productivity Plans has proved pivotal for PepsiCo as the 2012 plan has enhanced the firm cost-competitiveness and has also provided funds for the future creation of brands and innovation initiatives. Work Cited PepsiCo, Inc. “PepsiCo, Inc. 2016 annual report”. PepsiCo, Inc. Website, 2016. Web. 13th Feb. 2018....

production associated with its products. Being the market leader in this particular industry, the company has been able to set the prices of the sunglasses as high as possible (CBSNewsOnline, n.pag). Based on Adam Smith’s arguments, free trade is the best suitable form of an economic system in any particular economy. Smith didn’t view monopoly as a dangerous aspect which is attributed to free but rather as a way of promoting competition in the production of goods and services. On a different perspective, Karl Marx criticized the concept of free trade and monopoly arguing that monopoly destroys competition and consumer power. Though both arguments are sensible one way or the other, Karl Marx...

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production 1,568,125 783,000 Net Revenue 1,085,625 667,000 Total Revenue due to Scenario #2 2,267,750 Cost of production 1,568,125 Net Revenue 699,625 Current Average working figure 931,225 There are always numerous risks that are accompanied by changing a business product. In this case, the modification of the type of corn can affect the total revenue in multiple ways. In replacing the crop type, it must be presumed that the demand will remain the same and therefore the farm can sell all the produced bushels. In fact, the firm must put in more resources to marketing and logistics since it has to sell 192,500 additional bushels. It must be anticipated that the additional costs will not exceed the...

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