Economy assignment 2

Title: Building (Your firm here, for example, Food) business in ….. (country here)

Final Project Deliverable

Group:

Name and ID

Outline:

1. Market structure of (your) business

(Is it perfectly competitive firm or monopoly? Provide arguments)

2. Fixed and Variable costs of the firm

(Describe what will be the fixed and variable inputs for your new company to start and operate)

3. Cost Structure; Estimations of the fixed and variable costs (provided in the table)

4. Pricing of our product. Assumptions on costs, revenues and profit (look at the price of your product on the market; can you change it? Is demand on your good elastic or inelastic? Can you change the market price?)

5. How different our product is from other products in the same industry (how can you make your product attractive? Will this allow increasing the price?)

6. Firm’s decisions when price will change on the market (when you will experience break-even, gain/profit or loss?)

Concluding remarks (briefly discuss what your plan is to start your business; what will you be producing; price elasticity of demand on your product; main competitors: number and names of companies producing the same/similar products; threats to the company)