Microeconomics

posted by .

How and why the developments discussed in the Wall Street Journal Story below affect the elasticity of demand for the flat screen TV’s produced by an individual firm such as Sony or Panasonic.

Want a flat-panel TV with that tool belt?
Home-improvement, clothing and office-supply stores plan to crash the party for big-screen television sets now dominated by Best Buy. and other electronics retailers. The development highlights the starring role that super-slim TVs are taking not just in the living room but in every nook of the home. And the new outlets could trigger ever-faster price declines as lower-cost, lesser-known brands grab shelf space and consumer recognition.
Next month, for example, Office Depot Inc. will begin selling a dozen flat-panel models. HomeDepot Corp. is testing liquid-crystal and plasma TV sales in anticipation of a broad entry. Kohls Corp., the Wisconsin department-store chain, rolled out its first line of LCD TVs this summer, and Radioshack Corp., which left the market several years ago, has returned with flat-panel sets.
All these retailers hope to tap soaring flat-TV consumer demand in the U.S. and Canada, which is expected to reach $20.2 billion this year, up 79% from last year. More stores are carrying the big-screen TVs in part because more companies are making them. Researchers count some 90 flat-panel brands sold in North America now, up from 63 last year

  • Microeconomics -

    take a shot, what do you think?
    Hint: is the story good news or bad news for Sony or Panasonic?

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. economic

    Suppose that your firm was accused of illegally conspiring with other sellers to act as a monopolist. In searching for an expert witness, you discover one economist who has calculate the cross elasticity of demand for your industry's …
  2. Microeconomics

    "In both monopoly and perfect competition the profit maximising output is at the level at which MR = MC, but only in the latter is the optimum output level such that P = MC" Explain the above statement by comparing the model of perfect …
  3. Microeconomics

    The labor demand curve of a purely competitive seller: What exactly is your question?
  4. Physics

    A playground is on the flat roof of a city school, 7.00 m above the street below. The vertical wall of the building is 8.00 m high, forming a 1.00 m high railing around the playground. A ball has fallen to the street below, and a passerby …
  5. college Physics

    A playground is on the flat roof of a city school, 5.2 m above the street below (see figure). The vertical wall of the building is h = 6.50 m high, forming a 1.3-m-high railing around the playground. A ball has fallen to the street …
  6. STATS

    The vice-president of a business firm has reviewed the records of the firm's personnel and found that 70% of the employees read The Wall Street Journal. If the vice president was to choose 12 employees at random, what is the probability …
  7. stats

    The vice-president of a business firm has reviewed the records of the finn's personnel and found that 70% of the employees read The Wall Street Journal. If the vice-president was to choose 12 employees at random,what is the probability …
  8. microeconomics

    The cost of producing flat-screen TVs has fallen over the past decade. Let’s consider some implications of this fact. A.) Draw a supply-and-demand diagram to show the effect of fallen production costs on the price and quantity of …
  9. Statistic Help please

    During a given month, P(A)=0.75,P(B)=0.6, and p(A and B). Are these two events independent?
  10. Math

    Viewing angle, The bottom of a large theater screen is 3 ft above your eye level and the top of the screen is 10 ft above your eye level. Assume you walk away from the screen (perpendicular to the screen) at a rate of 3 ft/s while …

More Similar Questions