ECONOMIC PRINCIPLES Assignment Example | Topics and Well Written Essays - 1000 words

ECONOMIC PRINCIPLES - Assignment Example For good which are substitutes (eg. Tea and coffee), the increase in price of one product leads to an increase in demand for others and this therefore gives a positive figure for cross elasticity of demands. For complementary goods like DVD player and DVDs, the cross elasticity of demand is a negative figure since when the demand for one product goes up, the quantity demanded of the complement also falls. The most major determinant of demand in such cases is price of the substitute / complement good. Income elasticity of demand is an economic concept which measures the responsiveness in the quantity demanded of a product to a change in the the income level of a person. It can simply be measured by the formula : percentage change in quantity demanded / percentage change in income level. There are two types of goods, normal goods and inferior goods. The demand for normal goods goes up as income rises and this gives a positive income elasticity of demand. Then there are inferior goods, the demand for which goes down as income level rises (eg. People would prefer eating chicken meat as compared to raw onions when their income rises) and they result in a negative figure for income elasticity of demand. Our product, the Magpie has a price elasticity of demand of 2.7. What this figure means is that the demand of this product is highly sensitive to a change in its price. To put it very simply, if the price of Magpie goes down by 1% then its demand would go up by 2.7% and viceversa. It is somewhat difficult to change the price of the products that have an elastic demand as such a step might cause the demand to fall my a huge margin. Same is the case with Magpie. In this case an increase in price might mean we lose out our sales to out competitors and this face a decline in profits. It also means that if we decrease out prices we would be able to sell a

Creation of a Potential Chartable Organization Web Page Assignment

Creation of a Potential Chartable Organization Web Page - Assignment Example In a bid to have our services reach a wider coverage and enable us reach as many needy children as possible, the need to develop a website for our organization came in. To cover a wider area in terms of service delivery, quicken the service delivery, help get contact with the needy without the knowledge about our organization, create awareness of the existence of our organization and its services, reduce the cost of accessing our information by eliminating the physical availing of oneself at our premises. This website in itself offers plenty of positives that make it a better option in improving our services delivery. The advantages of this site transcend beyond the borders. They include the following benefits. The website is user friendly. This website offers a very user friendly interface that makes it easy for people with limited computer knowledge to easily use it. The website’s interface is very simple thus aiding easier use. The website also offers cheaper option in information elicitation. As opposed to being physically present at the organization’s premises, the website helps save the cost of travel since a user can access it at the comfort of their homes without necessarily traveling to the premises. The website also makes the response services easily achievable. This is because needy persons may have made an enquiry about our contact from wherever they are. Having this website makes it easy to give feedback to them regardless of their geographical location. The website can also act as a contact point between our organization and other charitable organizations and agencies. Another organization may need to make contact with ours. With this website it’s very easy since they can contact us even online without necessarily looking for our physical location This website has several hyperlinks that lead to those various pages. These are also web pages also contain different