Add the following components to the attached proposal in mininum of 600 words:

· Recommend...

Question

Add the following components to the attached proposal in mininum of 600 words:

· Recommend appropriate pricing and nonpricing strategies for your new or 
existing good or service based on the projected economy’s stage in the business 
cycle and the prevailing projected economic conditions for one or more 
macroeconomic factors. Explain the evidence that supports these recommendations.

· Describe planning or operating decisions for your new or existing good or 
service based on the economy’s stage in the business cycle and other economic 
conditions.

· Recommend an appropriate course for your new or existing good or service 
based on the projected credit markets.

· Describe how current credit market conditions affect your planning or 
operating decision for your good or service.

· Recommend business decisions based on estimates of evolving international 
economic conditions. Be sure to relate decisions to international trade and 
comparative advantage.

· Describe how the international economy affects your planning or operating 
decisions for the good or service.

· Make any additional recommendations you think are important based on 
evolving economic conditions.

Robert · Accepted Answer

AUTOMOBILE INDUSTRY
One of the most difficult as well as critical decision for any existing or new firm is that  of 
correct price charging because the main aim of nay enterprenuer is profit maximization. Profit is 
maximized when the distance between TR and TC, is maximized. Pricing strategy depends on 
what kind of product the firm sells. If there are too many firms in a industry, we should keep the 
prices low and try to increase the quantity sold and reduce the marginal cost. On the other hand, 
if the product is a luxury good with not large number of firms in the economy, one can charge a 
higher price to increase revenue. 
PRICING AND NON-PRICING STRATEGY IN AUTOMOBILE INDUSTRY 
Let us consider a automobile firm here. An automobile manufacturer is  an  oligopolistic firm. 
The number of competitors are few. Therefore, the price strategy  that should be followed by 
automobile industry is same as that of an oligopolist. For an oligopolist, price cut by one firm is 
followed by price cut by others but the price increase by a firm is not followed by price increases 
by others. This strategy is followed to increase one’s own market share.

Add the following components to the attached proposal in mininum of 600 words: · Recommend appropriate pricing and nonpricing strategies for your new or existing good or service based on the projected...

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