Posts Tagged ‘competition’

  • Prices convey information.

    Speed Pricing

    Sep 6, 12 • 427 Views • No Comments

    What does a price tell you? Assume that you were going to purchase a GE Advantium 120 microwave oven on Sunday, August 12. Comparing Sears, Best Buy and Amazon’s sellers at 3 a.m., you would have seen, respectively, $899.99, 809.99 and 744.46. At...  [read more]

  • economic video humor

    Movie Economics

    Aug 25, 12 • 1017 Views • No Comments

    Having just seen and enjoyed Bernie, “a low-budget ‘labor of love'” with Jack Black and Shirley MacLaine, I started thinking about the economics of the movie business. It is tough to predict whether a movie will be a success. Everyone said...  [read more]

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    A Blurry Customer Focus

    Jul 27, 12 • 316 Views • No Comments

    Several years ago, I walked into my local bank branch at 5:55. Knowing that they closed at 6:00, I thought I had some time but they said I was too late. I said I had 5 minutes, they said no and by the time we had concluded our exchange, it was 6:00. They said...  [read more]

  • Decisions Have An Opportunity Cost That Require Tradeoffs

    Developing a Soda Habit

    Jul 26, 12 • 347 Views • No Comments

    Why do Brazilians drink Coca-Cola? Our story starts during 1990. Trying to cope with an 80% monthly inflation rate, Brazilian shoppers rushed to supermarkets early in the morning before higher price stickers replaced the old ones. In just one month, a $1...  [read more]

  • twins...back to back figures16582_6.30_000005521931XSmall

    Steel Twins

    May 23, 12 • 387 Views • No Comments

    What happens when a parent of twins makes them compete? And what if the better twin is told that he has to remain ahead of his slower sibling? For twin steel factories, one in Burns Harbor, Indiana and the other in Gent, Belgium, the result is more...  [read more]