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This leads to creation of awareness of the product and thus an increase in the demand.
The cost of other substitutes: electricity is the major substitute to solar panels (Denholm 2007). The high cost of electricity as compared to solar panels is pulling away many individuals to consumer the solar panels.
Between 2006 and 2011, Europe represented more than 70 percent of global solar installations. In 2008 and 2010, the region made up roughly 85 percent of installations, the supply of solar panels therefore is a major factor in determining whether to venture into the contract business (Denholm 2007). Supply in the number of commodities the suppler is willing to sell at a given period of time. With the government intervention in the supply of the commodities the supplies have a ready market to supply to. This therefore enhances the demand to supply the commodity. The willingness of individual households and businesses to install solar panels is a major boost to the willingness of the suppler to produce the goods. Then levels of inventory have remained low in the recent past and therefore the venture is a great opportunity for Cindy.
The region has expressed a huge market for solar panels with the government subsidy and the high cost of substitutes then the business is most likely to be a profitable venture for Cindy (Denholm 2007). I recommend her to venture into contract installation of solar panels and will definitely get the return on
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However, usually at the time of investing P1 is unknown to the investor and thus the investment decision is based upon the expected returns or the mean return: E(R) =. The risk on the other hand is essentially the likelihood of the return deviating from its expected value.
Free market system which is the most productive way of running an economy suggests that any intervention by forces other than demand and supply will tend to affect the economic efficiency negatively, resulting in production inside the production possibilities frontier rather than on it.
This shows the impact of taxes on cigarettes. The tax is devised in such a way to discourage smoking that the consumption of cigarettes has decreased by 20% according to a report. The factors that affect the size of the tobacco market is the tax rate that is imposed on cigarettes in the country and the smoking habits of the newer younger generation as a result of anti-smoking campaigns (Mankiw, 2012, p.72).
5-15). Consumer theory is based on an idea that consumers always tend to consume products that can give them maximum satisfaction for money they are willing and able to spend. Being that customers are always restrained by budget, they normally purchase cheaper products if prices hike but products that are more expensive when prices decrease (Dean 2009, p.
With it Givenchy has tried to introduce a more innovative approach to making one’s eyelashes look fuller and longer. The product is a high priced luxury item which most the average woman cannot afford or buy on a whim.
Macroeconomics deals with the analysis of the entire economy which includes issues with capabilities to affect the economy. Macroeconomics uses the general equilibrium theory to study the economy as a whole. Some of the aggregates used by macroeconomics
ange in the price of automobiles causing a shift in supply and elasticity include: government taxes on manufactures, population figures, the buying capacity of the people, the commercial use of automobiles, the prices of external resources for example, the price of metal such as
Of course, this is the highest sold stock in this portfolio. The next performing stock was that of CVM. The number of shares sold in CVM was 5295, each at US$ 1.33. For JCP, the major transaction for the
Common demand factors affecting sales and profitability in the Mercedes Benz Company include advertising and marketing, financing options, price of the product (Mercedes Benz), income of the buyers, and increase in affordability. Other factors
The rise in climatic change recorded over the past one century signifies an increase of more than 0.6 degrees Celsius with new predictions by the intergovernmental panel that deals with climate predictions signifying presenting a prediction of
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