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영문 경영 레포트 - 삼성전자가 경쟁력을 갖춘 이유 Why Samsung electronic so competitive these days?

A competition among global firms has been intense. In order to survive and make profits out of such competitions, the firms would require effective management and marketing strategies. In case of South Korea, the competitiveness formed by Samsung Electronics is one of the positive examples through developing and utilising the tactical business methods effectively. The firm has shown its competitiveness shoulder to shoulder with other well-known foreign firms, especially in the markets for white goods, mobile phones, and IT industries. Its success in domestic and foreign branched markets has accrued the company’s name value. Many people and competitors wonder what business strategies take places for the company to propagate its products and markets in the presence of fierce global competitions. There would be many factors contributing to the success. However, I would like to assert four major elements for its global success. ‘The ownership mind of Chair Gun Hee Lee and C.E.Os’, ‘man-manness’, ‘freedom of management’ and ‘decisive investment decision’. The ready business represents timely adjustment in perilous dangers in accordance with proper solutions. The labour-focused business stands for employing the professions and the efficient use of them with first-rate treatments. Giving all the rights of managing the firm to a talented executive manager is the crucial point of the freedom of management. Lastly, the company has invested to justifiable and profitable businesses as the decisive investment decision implicates. All of the philosophies being practiced by C.E.Os constitute for the business root of Samsung Electronics. The company’s upward trend in the global markets exhibit the fact that the ownership is established of efficient business ethics.Second, Samsung Electronics puts considerable efforts to develop a methodological man-management system. The personnel department categorises the core employees into two, S and H classes. They are considered to be the kerility.A personnel evaluation system states that workers would be treated as much as their job skills and compensated by how much works have been done for the company. This principal is regarded as one of the most reasonable factors for Samsung Electronics to possess the world-class competitiveness. The firm has the delicate personnel evaluation system which would cause workers to work effectively and harder.DivisionOccupational GroupEmployeesExecutivesCommon core capabilitiesAll job groups common evaluation categoriesInnovation/Customer consideration/Professionalism (40~50%)Class core capabilitiesResponsibility (20%)Leadership/Strategy/Employee education(30%)Job groups core capabilitiesSupportDirectivity of achievement/ Solving problems/ Intelligence capabilities/ Cooperation/ Communications/ Challenge/ Globalism/ Decision makingChoosing 1~3 out of 8categories(20~40%)R & PDesignMarketingTechnologyProduction*( ) is the weight of assessment.Moreover, there is a productivity incentive to engage in world class market competitions for the foreign markets. The company has cumulated know-how to develop efficient global management system. The company has run a check of management efficiency more than once a year to analyse the foreign branch’s performance. Samsung Electronics has established an Enterprise Resource Planning (ERP) system. Standardising the work process in 58 foreign branches is the goal of this method. It is believed to be effective in advancing the efficiency of global management. Additionally, Samsung Electronics thought that there would not be a competitive edge unless glocalisation becomes established. The company has prepared alternatives with differentiated products for regionally different markets. Samsung Electronics considers that producing products suitable to the taste of each regions would yields long run profits.Fourth, the fact that Samsung Electronics having a wide variety of businesses including semiconductor, computer, communication, digitales its advantage of constructing various industries and markets successfully unlike other competitive companies. By using the brand name ‘Samsung’ in front of various goods and services, customers would likely become familiarised with the brand. In addition, customers would build the trust on the brand at a faster rate than competitions (because of its various market shares), if the quality and price of the goods and services are considered relatively superior.In conclusion, I have explored four brief and fundamental marketing and management techniques being practiced by Samsung Electronics. The ownership of Mr. Lee and engineering C.E.Os represent that it is established of efficient business ethics. The methodological man-management brings out motivations and incentives to work productively and efficiently. Thanks to its delicate global-management system, entering global markets has become one of the trusty events for Samsung’s profits. If the quality and price of the goods and servic

경영/경제| 2012.02.09| 4페이지| 10,000원| 조회(370)

경쟁력, 영어, 기업, 삼성, 영문 레포트, 글로벌 기업, Samsung, Samsu..

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영문 경제 영국과 유럽의 실업률 Unemployment rate Is it ever going to reduce?

Unemployment rate - Is it ever going to reduce?In case of U.K and European countries.In the wake of the late 2008 global meltdown, countries in Europe as well as United States continue to struggle with radically increasing unemployment rates. Is this an effect of financial crisis originated in the Wall St.? Many assume that the financial institution meltdown end up leading to a seriously growing unemployment rate. What has caused the unemployment rate in the United Kingdom to jump from 5.6% in 2008 to an amazing 7.6% in 2009, with dolefully little end in sight? As an economics scholar myself, I would like to discover the cause of and the solutions to ever-increasing unemployment rate.Unemployment is defined as the percentage of people who do not have jobs, but who are actively looking (Richards, 2010). Unemployment can take on a variety of forms (frictional, cyclical, and structural), but there is little doubt that jobless rates go hand-in-hand ‘only’ with the basic economical phenomenwill be operated in business cycle to ensure that goods and services are produced and distributed to those who desire them. While the demand continues for such goods and services, the factory workers certainly get regular paychecks (some are even getting raises because of good sales). This, in turn, spurs the workers to spend on other things, such as cars, furniture and smaller goods and services.But when the demand for goods and services decrease as it does in a recession, the factory workers are not doing quite so well economically. Their incomes as well as bonuses would shrink away and even being asked to take pay cuts. If low demand keep continues, many workers would be laid off at the end. The response of such workers is to tighten up the belt a little more and to simply save more money. This means that enough money is not spreading through the economy to purchase other goods and services. Either the factory workers are saving up money for a harsh day or they simply do not have th, with services (such as financial, insurance and business services) making up a large part of the economy (United Kingdom, 2010). When the country emerged from the recession in the early 1990s, it enjoyed the longest period of expansion on record (United Kingdom, 2010).However, in 2008, the global financial crisis impacted the UK through falling home prices, high consumer debt and an overall economic slowdown (United Kingdom, 2010). Bank failures, in turn, led to severe economical disaster. When banks do not function properly, it would be difficult for companies and industries to meet payroll expenses. The British, like other countries, are holding on to the asset and cash, and are not spending enough to boost consumption.There is another concern for UK as well as the Euro area regarding such high unemployment rate. Economists insist that unemployment rates tend to be higher in Euro Area than United States because of structural impediments that discourage employment. There are two typinimal job skills and experience.Labour unions in most European countries are relatively more powerful than those in many other countries including United States (Economics & Contemporary issues, 2007). These unions have used collective bargaining process to achieve high wages for their members. Unfortunately, one of the effects is to reduce the number of workers hired.IMPEDIMENTS TO ACCEPTING EMPLOYMENTIn many countries, unemployed persons can draw unemployment benefits and Europe is no exception. Even though these benefits serve a useful social purpose, they reduce the incentive to work. Such disincentive effect of unemployment benefits is greater in Europe than it is in many other countries. (Economics & Contemporary issues, 2007). It is generally known that the benefits as a percentage of wages are considerably high in Europe, and unemployed Europeans can draw benefits for a long period of time. What is more, unemployed persons in Europe have little or no incentive to work in orderould not insist to manipulate expansionary fiscal/ monetary policies to increase money supply as one of the solutions to boosting economy. Expansionary policies would be more appropriate when the governments have money to spare not worrying about deficit and credit. However, many countries, especially European countries, are severely struggling with their deficit. We have not heard the term surplus for a long time. One of the flawless ways to solve unemployment is to boost consumer confidence and to give corporations reassurance that the economy is stabilizing. As long as the media do not contain lies, they can provide and spread more optimistic atmosphere and situation of current economy. If people become more positive in their economical situation surrounding them, they would increase the demand for goods and services. When this happens, hiring will commence and people would begin spending once again.REFERENCESRichards, Rebekah (2010, April 18). What are the causes of a high unemployon.

경영/경제| 2012.01.27| 4페이지| 1,500원| 조회(160)

실업률, 영국 경제, 유럽 경제, unemployment, insurance, r..

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How an aging society affects our economy and economical structure 인구고령화가 우리 경제에 미치는 영향

How an aging society affects economical structure: The case of South Korea.An aging society means that the average age of a society group is increasing. This social phenomenon occurs not only when the life expectancy extends because of the advance in health and medical care industries but also when population rate of young generation declines due to a decreased birth rate. According to statistics, many countries steadily show the diminished birth rate and increased life-expectancy. For this reason, the mean of age within the society is becoming old.Officially, U.N measures the degree of aging society. The organization defines over 65 years old as senior citizens. U.N categorises the aging society into three. If the society consists of more than 7% of senior population, it is referred to be ‘aging society’. If there is more than 14% of the elderly population, the society is called ‘aged society’. It is regarded as ‘super-aged society’ when there are more than 20% of population over 65 y society in economyBasic economy frameEffectsSupply-Diminished number of economically productive people.-Technological innovation slowing down.-Saving rate declined.Demand-Demand for consumer goods concentrates on aged people.-Expansion of health, medical care and social welfare system.Distribution-Increased public expenditure for unproductive group of people.sdFirst, the aging society negatively affects the supply side of the economy. Population of people with production possibility and labour productivity would be diminished because of the low birth rate and increased number of aged population. The reason for this would be the increased elderly citizen’s economic participation rate. Reduced population of production possibility would eventually bring a decreased productive labour supply. In the perspective of technology, aged people’s tardy adaption of new technology and learning would slowdown the technological progression. Elders are generally believed to be less able to adapt new tonsumption segment would shift from people aged between 30~60years to the elders. As aged people newly become the centre of the market segment, I could predict the demand of health, medical treatment, and social welfare services to increase considerably. In the contrast, the demand for the goods and services other than health related businesses would relatively decline basically because the consumption (demand) of other age groups reduces proportionately. It would be reasonable to assume that the economical structure would eventually evolve to produce more products for the elders in order to offset the demand. If aging society persists, more resources and economic activity would be utilized for the elder citizen’s demand and comparatively less for other market fields. This might cause an imbalanced economic growth.Third, inequality in income distribution would emerge in the society. The public expenditure for the elderly would increase as the population of unproductive people increase.industries. The one-sided income distribution is an opportunity cost of growth in other economic and business fields. In extreme, the society does not want to devote all the resources to hospitals and pensions. A realisation of allocative efficiency (appropriate production of that particular mix of goods and services wanted by society) would be disturbed by the biased income distribution and investment. The society would eventually cause weakened economic growth for the other economic areas.Aside from the effects in demand, supply, and distribution views, a burden for social concerns to support seniors is augmenting. In case of S. Korea, as the graph below represents, the cost of supporting elders is constantly and at some point radically increasing. First of all, the number of economically productive citizens (30~60years old) who are responsible for supporting seniors is decreasing as time goes by. Second, although decreased expenditure for the juvenile education (due to the low birthadverse effects could be observed within the basic frame of economics: supply, demand, and distribution sides. In the case of supply side, a fall in the number of population with production possibility would be observed as well as the workers aging and slower technological advancement. A drop in the saving rate and investment would possibly cause the recession. In the demand side, the society would demand more of health, medical care, and welfare system. The market structure would evolve to satisfy such demands. As the public/private expenditure for the elders increases, imbalanced income distribution would occur. The society would not likely to realize the allocative efficiency. What is more, the burden and the cost of supporting elders by the productive population (30~60years old) would swell as time goes by.Many economists believe that Korea still has time to cope with the economical problems of aging society. The adequate solutions to the matter would include innovation of labour mmy.

경영/경제| 2012.01.27| 5페이지| 3,000원| 조회(248)

한국경제, 고령화, 고령화 사회, economy, aging society, Ko..

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영문 르네상스 시대의 이상적인 남성과 여성의 역할. What during the renaissance was the ideal role of men and women?

What during the renaissance was the ideal role of men and women?The age we know as the Renaissance had its beginning in the fourteenth century. It was a literacy movement among educated, especially upper class men in northern Italian cities. Development in literacy, religion, art, and other educational systems was notably increased in renaissance period. Study of humanism such as philosophy was also became popular and object to study for better understanding of human and society. The main object to be discovered and studied changed from God to human. Even though the progressive thinkers came up but much of the study was also based on past literatures and famous works from the past. Humanism or individualism became popular for people to study. However even though the society was trying to evolve into the “New World” ideal role of men and women was different just like the past. We can see how the roles of men and women were different by looking at biographies, autobiographies, or portraits.First of all, we can find the different role in political action. Let’s take a look at the portraits. The first self-portrait represents the man with royalty, calmness, noble, and smart face. What about the second portrait? Woman drawn on the canvas is called Simonetta. She is represented with not active, ordinary long hair, and house wife like atmosphere. The third one also shows off the man’s powerful presentation and strong knights. As we can see, women were drawn not active or strong compare to men’s portraits. It potentially show off the fact that women were not to be outside world especially in politics and war related problems.Second, by looking at the letters from humanists to members of nobility, we can also find out the different role model of men and women in Renaissance period. The first letter by Peter Paul Vergerius discusses the proper education for men. And the second letter by Leonardo Bruni tells us the proper education for women. This separation of men and women’s education itself tells us how ideal men and women’s character had to be different. These two letters represent the fact that men were required to learn more and educate better than women. Women in other hands had many restrictions for self study or education from others. There were many humanists, church people, and noble people saying that education for women was not as important as education for men.There is the evidence of putting importance on courtier for women. The most popular advice manuals ever written Baldassare Castiglione’s The Courtier discusses the perfect courtier and court lady in the form of a dialogue between nobleman. Women’s typical images of house wife and inside home are shown for restriction of education for women. Education for women tried to make women courtier, calm, and not a perfect human being for outside tough world.In conclusion, we can find many art works and evidences that emphasize the different role of men and women at that time. Actually it was not the renaissance that separated men and women’s role. It was the natural features of society that led to difference in men and women’s role. Even though the renaissance changed the main view point of people from god to humanism, sexual unfairness was still remaining. The actual meaning of an adult or the word ‘adult’ meant the men who are over 20 years old and this fact was regarded naturally by people in the renaissance period. Amazing and huge development in various fields occurred during renaissance but equality of men and women was hard to find in renaissance and actually this is still our assignment to solve.

인문/어학| 2012.01.26| 3페이지| 1,500원| 조회(133)

역사, 르네상스, 여성, 남성, 르네상스시대, renaissance, history, 히스토리

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영문 경제 경영- Are regulatory measures over financial markets appropriate these days? Case study of the U.S. financial crisis

Are regulatory measures over financial markets appropriate these days?In the fields of economics, the ‘Invisible hand’ first postulated by the Scottish economist Adam Smith has been frequently emphasised when discussing government’s market involvement. Economists use the term to describe the self-regulating nature of the market place without an intervention by the third party. Adam Smith insisted that the human nature to pursuit self-interest would result in the market places with productive and allocative efficiency. Otherwise, interferences by the governments would not bring the economical efficiency.Markets these days, as Adam Smith argued, have been enjoying their own beneficiary activities with only few legal regulations. However, I would like to assert that government’s involvement these days in major financial markets is not appropriate. The subprime mortgage crisis that led to the credit crunch could be a good example of representing inadequate government’s involvement in finante was designed to increase the investment that would stimulate the consumption and to escape from the recession. The effect of this approach was successful because it became cheaper to borrow money from the Federal Reserve. For such a reason, the banks became more interested in dealing with the ‘Leverage’ a borrowing money to amplify the outcome of a deal. A mortgage business was part of it.Typically, an individual received a mortgage from a broker. The broker then sold the mortgage to a bank, which in turn again sold the mortgage but this time to an investment firm on Wall Street. Such firms collected thousands of mortgages in one big pile called ‘CDO’ (Collateralised Debt Obligation). This in fact represents thousands of mortgages in checks coming every month, a monthly income that was supposed to continue for the life of the mortgages. And of course, the firm in its turn sells shares of that income to investors who are willing to buy.Mortgage backed securities seemed as the perfector assets and equity wanted more supply of them. Thus, the banks decided to lend mortgages to subprime (least credit worthy) graded families under the conditions such as no down payment, no proof of income, adjustable interest rate rather than fixed, and no principle payments at first for 5-10 years. The reason banks could make such risky deals was that the houses could be sold later for more value added even though the borrowers would fail to make payments anymore.Now the question occurs. Why did investors consider mortgage backed securities, especially from the subprime borrowers, low risk investments and demand highly? The answer was Credit Default Swap (CDS) against the subprime mortgages. The CDS protects buyers and firms against the default. Investment banks made the CDS deal with insurance companies such as AIG to sell and make more profits out of risky securities (even rated at AAA). It basically allowed credit rating agencies to rate such derivative safer than supposed to be. gher interest after few years settled into subprime mortgage payments. Many subprime borrowers could not afford to make such payments any longer so the banks started to forfeit the houses and sold them. As a result, the housing prices became cheaper as there was more supply than demand. Eventually, even the borrowers who could afford to make mortgage payments defaulted on purpose because the value of their houses became less than what is left to be paid.Since a nice bit of mortgages were failed, one of the major sources of income for financial markets and investors disappeared. Finally, Lehman Brothers and AIG that invested in CDO’s and CDS’s went bankruptcy seeking to be bailed out and the economics suffered. Additionally, it turned out that the financial crisis originated from excessive risky lendings and commodifying financial derivatives out of risks affected adversely not only the U.S but also global economies.It is widely understood that, in the free capitalism, considerable conty harmful derivatives could be commercialised for the investment bank’s own benefit. Nonetheless, the governments have been deregulating banks and investment agencies each year rather than developing adequate legal actions to help the markets and households become safer from the financial crisis. Nowadays, there is a rumor in the global economy criticizing that the economy runs not for the citizen’s well-being but for the benefits of Goldman Sachs. This insinuates the lack of government’s control over the major financial firms.In short, the subprime mortgage crisis teaches us that, on the contrary to the invisible hand theory, complete anarchy in the markets could be detrimental to the economic stability. How could have been different if the government had imposed a certain principle such as persisting credit score checks when making deals on loans or mortgages? What about government’s exertion to let societies be aware of potential danger of purchasing perilous debts and derivatives? n.

경영/경제| 2012.01.26| 3페이지| 1,500원| 조회(127)

경제, 금융위기, 금융감독, financial crisis, 정부역할, 미국금융위..

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영문-리스크 헤징의 예 Exmaples of risk hedging activities

Examples of Risk-hedging ActivitiesRisk hedging activities occur when a person or a firm makes two or more business with the condition of future/ option contract. Actually, to simplify it we can take a look at the insurance. Risk-hedging occurs almost everywhere, and we see it everyday. For example, if you buy house insurance, you are hedging yourself against fires, break-ins or other unforeseen disasters. We can carefully observe various risk hedging characters all around us. Managers, individual investors and corporations use hedging techniques to reduce their exposure to various risks. Let’s take a look at a few examples of Risk-hedging activities.First, a person can both have a car accessories shop and a car wash business in a rainy town. Since the weather is very important income level factor to those car wash shops in the town, choosing a future or an option contract is very important. As he/ she takes future contract to the business registration, he or she doesn’t have to pay certain amount of fee and the person would have both right and obligation to continue both businesses regardless of any conditions. If the person takes option contract, he or she is supposed to pay the fee to the registration. Unlikely to the future contract, in this case the person has only right but no obligation to make a car wash shop.

경영/경제| 2012.01.26| 3페이지| 1,000원| 조회(107)

경제, 경영, 금융, 리스트, risk, finance, 헤징, hedge, risk ..

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영문 역사 레포트- 서구 중세시대 왕들이 나라 권력을 얻은 방법. How did medieval kings create state power?

His1How did medieval kings create state power?The governments of medieval Europe are generally described as “feudalism.” The term feudalism describes the medieval system of landholding and government. The lord in turn promised vassals protection and material support. The lord distributed vassals with certain area of land for them to live and recompense for their allegiance. The land is lord’s property and vassals just live there. Church power also made a personal relationship with lords. This personal agreement between individuals was the most common economical and political way to live. However, as vassals and church power increase and get more land. Individual contracts were also available for vassals to have their own army or other types of power. The lord even subdivided land with vassals. As more and more types of power increased in vassals, medieval kings had to find a way to keep their power prior/higher to any other classes or members.Most of all, demonstrating authority’s power in symbol was very important for kings to show. For example, castles built by English knights represent symbolic meaning of King’s great power over any other creatures. These huge castles were symbolically easy to be seen for vassals or ordinary people to respect the power of kings. Salisbury Oath was another tool for William and his successors to gain and demonstrate authority over vassals. The Oath in event had to be big and large in order to show off the power of authority over vassals. This was also an effective symbolic movement for kings to hold their huge power over other classes. Christians required their vassals to swear allegiance regularly in person. And they expanded the ceremonies of knight hood, impressing on young knights their duties of obedience and loyalty. There was the Assize of Clarendon that was issued by King HenryⅡ who was the most innovative fashioner of royal power in medieval England. It was issued for the royal power and king to be able to show people that they have the control over law. Inquest juries, sheriff and judges were there to report crime. It actually developed the ways in which the independent powers of the vassals in their territories are restricted. Actually two years before the Assize of Clarendon, he also issued the Constitutions of Clarendon, which purported to be a codification of existing practices governing relations between Church and the state. This was perhaps the strongest statement of the power of a secular ruler over the Church. Let’s take another example of developing king’s power. The coronation ceremony of Richard the Lion hearted, HenryⅡ’s son in 1189 is the great example. It gives evidence of the way in which kings and other territorial rulers expanded their coronation ceremonies, turning them into long, spectacular celebrations of royal wealth and power. Coronation ceremonies were rare events to show their great power, and rulers actually used symbols in more permanent visual demonstrations of their power, such as paintings and statuary. Many of these objects had both secular and religious meaning. The crown represented royal authority and the scepter represented church and state power by being ornamented with both religious and secular designs.In conclusion, we’ve seen how the rulers overcome challenges to their authority in many ways. We may think that there were several system and tools for royal power to represent or develop their power, but actually it was one thing. A symbolism was the basic core of representing the systems and tools that worked for kings, royal classes, and lords. In the medieval era, there were no mass media and high education system available for the most common people. Only big, huge, spectacular and representative actions or events had to occur so that as many people as possible can commonly appreciate the royal power as soon as they see such things or events. I am sure that using such symbols and letters was the most effective way to develop royal state power at the medieval period in Europe.

인문/어학| 2012.01.26| 4페이지| 1,500원| 조회(99)

역사, history, king, medieval, 영문 역사, western h..

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영문 경영 경제학 - 수요법칙 (Law of demand)의 예외적 케이스. Exceptions in the law of demand?

Exceptions in the law of demand?Inelasticity theory.Economics can be regarded as a science seeking the correct answers to the most efficient use of scarce resources and distribution methods. In this regard, it is said that economics would not have any exceptions in the formulas called law. Nevertheless, many scholars insist that economics is one of the least perfected areas among many subjects and there are still many laws with exceptional cases. One of the most fundamental principles in understanding the notion of exception in economics is the law of demand. It would be better to take a look at what the law of demand and inelastic theory are before explaining some examples of a distortion in the law of demand.It is well known that, if consumers are rational in the economical sense of view, they would buy more products if their market price falls. On the other hand, the people would demand less as the price of our wanted products increases. This existing condition reveals what economisroduct’s price elasticity of demand. For some products such as restaurant meals, consumers are highly responsive to price changes. Modest price changes cause radical changes in the quantity purchased. Economists insist that the demand for such products is relatively elastic or simply elastic. But to find out some exceptions that do not count on changing in quantities purchased as the price changes, the opposite phenomenon of elastic demand can be applied. This opposite state of elasticity is called inelasticity or perfectly inelastic. Substantial price changes, especially increased prices, cause only minor, reverse situations of the demand law, or in extreme, no changes at all in the amount purchased. Here are some examples that the law of demand is not being applied.First, the larger the number of substitute goods that are available, the greater the price elasticity of demand. Then, how about some products that do not have any other substitutable goods? Let’s think about the electriciely to lower the cost in order to survive in the market. Ironically, regardless of volatile price changes (usually leading to a higher price), people continuously buy electricity at the constant level. According to the law of demand theory, people should cut down on or not buy electricity when the product’s price is sky rocketing. But as long as there are no substitutable goods for electricity essential to our lives, it will be continuously purchased by people at the constant rate even though the firms charge high price bills.Second, the more that a good is considered to be necessity, the closer is to the perfectly inelastic theory. For example, a person does not decline an operation for acute appendicitis because the physician’s fee has increased. This example perfectly violates the law of demand theory. If something is desperately needed, changes in product’s price have no effect on altering the quantities purchased by being craved people.Third, let’s assume that our income increasesalso can be viewed as ‘decreased price of products relative to one’s budget’. According to the law of demand theory, because the income rose and the relative price of goods and services within one’s budget fell, we should demand and spend more. Unfortunately it does not work that way in the market of inferior goods. While the demand for superior and normal goods such as steaks, furniture, and electronic equipment varies directly with the amount of monetary income, people actually demand less and less for the inferior goods which represent used and old products as they gain more income. Used cars, retread tires, used clothing are likely candidates.Fourth, crack cocaine and heroin, for example, are cheap to produce but sold at really high prices in illegal black markets. Because the demand of addicts is regarded by many as perfectly inelastic and completely insensitive to price changes, altering the price of addictive illegal drugs has no effect on their quantities purchased. Thus, theree outrageous the price, the more people want them. The actual quality of the product is not as important as its perception. Louis Vuitton, Chanel, and costly Jewish private schools would be good examples of Veblen goods. Consumers tend to make substantial sacrifices to purchase those goods irrespective of their high price and Veblen goods markets also violate the law of demand.In conclusion, there are the cases that the law of demand can be ignored by the inelastic theory in many ways. Sub-categories of inelasticity theory such as no substitutability, necessity, inferior goods, illegal drugs, and Veblen goods market represent exceptional cases of the law of demand. Although many economists and scholars view economics as a science, it would be proper to differentiate economics from being a pure science. Unlike physics, or rocket science for example, economics contains and deals with unpredictable variables such as a human behavior that can evolve and change actively. Thus, it is importas.

경영/경제| 2012.01.26| 3페이지| 1,500원| 조회(116)

경제, 거시경제, 수요, 미시경제, 수요법칙, demand, 영문 경영 경제학, La..

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