Based upon economic research it has been observed that Security, time and industry are not dealing with detailed scenarios when trying to determine the factor for acquisition-related security (Chatterji & Kuenzi, 2001). They are starting looking closely to another competitive company for merging…
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But for this expansion the selected company has to make some capital budgeting decisions. Merger is not an easy to do activity and involves incorporation of two big organizations. A company could decide for merge because of many reasons, like provide capacity utilization, to gain economies of scale, to gain access to new suppliers, distributors, customers, products etc. although merger is not always helpful to the society (Kaplan, 2006). Merger sometimes reduces competition and the most cited fact known by all is that consumers are always hard to attract in competitive environment (Saari, 2007). Mergers can often result in a great number of social benefits. They also can produce economies that can reduce cost, improve quality, and increase output. 1. Explain why government regulation is or is not needed, citing the major reasons for government involvement in a market economy. Provide support for your explanation. The Samsung Company is trying to expand and gain dominance, but there are certain regulations that the company has to follow so as to ensure zero breach of law against the regulations settled by the government. The rules and regulations set by the government for merger policy are strict enough to ensure that the merger proves beneficial for the society. The regulations are set by the government on the basis that the merging companies eliminate the competition between them (Saari, 2007). Merger can be for the competitive reasons or for an attempt by the large firms to create enough activity and exercise higher power in the industry (Chatterji & Kuenzi, 2001). To determine the industry sensitivity government actually encourages mergers. The role of government in market economy is very important. The current economic situation did not come out thin air, rather, it is because of the growth of incorrect policies and most of the time because of lack of effective policies by the main entities that mainly empower manages of the economy. If the government fails to perform its functions than negative consequences might be expected. Major reasons for government involvement in a market economy: The following are some of the major reasons for government involvement in a market economy system. Provide economy with legal structure: This is one of the most important functions a government needs practice. In order to perform this function, the government needs to furnish economy with regulations, legislation and mean that ensure product quality. Maintaining competition: Government involvement is another important requirement in order to maintain competition. Government needs to fight monopoly power and non-competitive behavior. Thus anti-monopoly laws are designed to regulate business behavior and promote completion. Redistribution of income: The government needs to design relief programs for poor, handicapped and unemployed lot. This could be a good support for poor people and this program can help in transferring income from high income groups to these limited income people. Stipulation of public goods: When all the market fails to promote the basis and the needed goods the government fills in the space. Promoting growth and stability: The government should promote macroeconomic growth and stability through changes in fiscal and monetary policies. 2. Justify the rationale for the intervention of government in the market process in the U.S.
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(Long Term Investment Essay Example | Topics and Well Written Essays - 1250 Words)
“Long Term Investment Essay Example | Topics and Well Written Essays - 1250 Words”, n.d. https://studentshare.org/macro-microeconomics/1480670-long-term-nvestment.
Explain how an MBA will contribute to these goals. Coming from a family of entrepreneurs, I was taught early in life that while formal education can teach you how to earn a living, self-education can make you a fortune. That is why although I’ve already had a considerable amount of success in my business ventures owing to my raw talent and the aptitude for business that I have gained over the years, I realized that it was necessary for me to refine my business and thinking skills and I know I will be able to do this with the foundation of an excellent Tsinghua MBA program.
Considering the fact that Wal-Mart is a publicly listed company, managers of this company should not only adhere strictly to Capital Market Regulations but should also take into account the extent at which government regulations may impact their business operation (Ghuman & Aswathappa, 2010).
While operating in such a market environment, the pricing strategy of a company will be greatly affected by the prices of other marketers. Therefore, it is not possible for a firm to set higher prices unless all the market players mutually agree with such a practice.
My children’s future also needs to be cared for as they grow to become independent people in the society. Therefore, I would like to save close to $1 million for my children before I retire. I also need to invest in long-term strategy that will have me save and invest at the same time.
When undertaking long-term investments it is crucial for one to plan and strategize on various issues in order to ensure that the investment will result in success. Considering such factors enables an investor to determine which sector of the market to invest where they are sure that they will have good returns on their investment (Northcott 1992).
There are two forms of investment, which include short term and long term. Long-term investment is the point of the discussion and it means investing for the future (Needles & Powers, 2012). It usually depends on the investor because it can vary from one year and above.
creasing prices at times to manage costs is a natural and commonly adopted phenomenon that every entrepreneur or manager would prefer to go for but what would it cost the company in the long run is the real question. Surely businesses and companies can never predict that how
The paper also discusses how government policies and regulations affect business operations and their effect on investments decisions. The paper tries to explain reasons why government regulation is needed in the low-calorie frozen, microwavable
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