An Uber driver

 

 

 

 

 

1. An Uber driver faces costs for driving that include sunk costs like insurance that contribute $.50 to the average cost per mile. Yet when a rider offers to pay less than $0.50 per mile for a ride, the driver agrees because

SUNK COSTS LIKE AUTO INSURANCE (IN THIS CASE) DO NOT INCREASE AS DRIVING INCREASES.
HE DOES NOT UNDERSTAND THAT SUNK COST ARE THE MOST IMPORTANT TO CONSIDER.

THE DRIVER IS IRRATIONAL; THIS DECISION WILL CAUSE A LOSS.

THE DRIVER NEEDS TO COVER ALL SUNK COSTS TO BE BETTER OFF BY ACCEPTING THE OFFER.

2.Which of the following statements reflects marginal decision-making?

STAYING IN THIS RENTAL COTTAGE LONGER WOULD BE NICE, BUT THE COTTAGE NEXT DOOR IS MORE ATTRACTIVE.
THE TOTAL COST OF THE PROGRAM IS EQUAL TO THE TOTAL BENEFITS.

BOOKING THIS CONDO IN A BETTER LOCATION IS WORTH THE EXTRA $100.

IF WE DOUBLE THE ORDER TO A DOZEN DOUGHNUTS, WE WILL PAY ONLY 20 PERCENT MORE.

3. It is said that the rational consumer will act according to his or her self-interest, and that self-interest can include a concern for one’s family and friends, but not often society as a whole. Which of the following illustrates this type of decision?

THE RENTAL OF RECREATIONAL VEHICLES FOR USE IN NATIONAL PARKS IS RESPONSIVE TO CONCERNS OF NOISE POLLUTION.
OUR TIME WAS VERY VALUABLE AT THAT MOMENT, BUT WE STOPPED TO PUT OUT THE FIRE BEFORE IT SPREAD.

MR. T. DECIDES NOT TO PURCHASE ANY CASE OF WATER BOTTLE SO THERE COULD BE MORE LEFT FOR OTHER CONSUMERS.

THE BOAT RENTAL WAS WORTH THE ADDITIONAL FISH CAUGHT, REGARDLESS OF HOW LITTLE FISH WE LEFT BEHIND.

4. Dawnell is a skilled dancer. She is currently teaching modern dance full time for three high schools and makes $44,000 a year. She is now giving up her work and joining a touring dance company for the next two years. She will make $24,000 a year dancing, but gain much more in experience and connections. Dawnell’s decision will result in

A TWO YEAR OPPORTUNITY COST OF $40,000 AFTER LEAVING HER TEACHING POSITION.
A TWO YEAR OPPORTUNITY COST OF $88,000 AFTER LEAVING HER TEACHING POSITION.

A ONE YEAR OPPORTUNITY COST OF $44,000 AFTER LEAVING HER TEACHING POSITION.

A ONE YEAR OPPORTUNITY COST OF $24,000 AFTER LEAVING HER TEACHING POSITION.

5. Marcus is considering which college major to choose. In taking a rational approach, Marcus should consider

MINIMIZING THE LENGTH OF TIME IT WILL TAKE TO COMPLETE THE DEGREE.
THE BENEFIT EACH MAJOR WOULD BRING AND THE COST OF THE DEGREE.

POTENTIAL EARNINGS ONLY.

SOLELY THE MONETARY COST OF THE COLLEGE DEGREE.

6.A budget constraint model differs from production possibilities model in that, typically

ONLY THE PRODUCTION POSSIBILITIES MODEL DEMONSTRATES DIMINISHING RETURNS.
THE BUDGET CONSTRAINT SHOWS HOW SCARCITY APPLIES TO PRODUCERS

ONLY THE BUDGET CONSTRAINT DEPICTS AN INVERSE RELATIONSHIP, OR A TRADE-OFF.

ONLY THE BUDGET CONSTRAINT DEMONSTRATES DIMINISHING RETURNS.
7. WHICH ONE IS TRUE ?

THE AMOUNT OF BENEFIT A PERSON RECEIVES FROM A GOOD OR SERVICE REMAINS CONSTANT.
MARGINAL COST IS CONSTANT

IT IS THE DIFFERENCE (OR CHANGE) IN THE BENEFIT YOU RECEIVE FROM A DIFFERENT CHOICE.

MARGINAL COST IS THE DIFFERENCE (OR CHANGE) IN COST OF A DIFFERENT CHOICE.

8. Suppose that there are only two types of output in a country: nuclear missiles and consumer goods. All else being constant, as the nation produces more missiles,

EVERY ADDITIONAL MISSILE WILL INCREASE CONSUMER GOODS PRODUCTION BY MORE AND MORE.
THE OPPORTUNITY COST OF CONSUMER WANTS BEING SATISFIED WILL DIMINISH.

THE GREATER THE OPPORTUNITY COST WILL BE OF SATISFYING CONSUMER WANTS.

IT WILL NEED TO GIVE UP FEWER AND FEWER CONSUMER GOODS.

9. Indi and Indrani are sisters who own a software development company. Demand has been increasing for their products and services and the sisters are contemplating whether to open up a satellite office in Austin. They estimate it would add $7 million in expenses and a profit of $12.5 million in total over the next 5 years (all other things equal). Indi and Indrani decide

TO OPEN A NEW OFFICE BECAUSE THE EXPECTED MARGINAL BENEFIT ($12.5 MILLION OVER 5 YEARS) IS GREATER THAN THE ESTIMATED MARGINAL COST ($7 MILLION).
TO NOT OPEN A NEW OFFICE BECAUSE REVENUE WOULD NOT BE AS HIGH AS COMPETITORS

TO NOT OPEN A NEW OFFICE BECAUSE THE MARGINAL COSTS PROVED TO BE TOO HIGH.

10.A positive statement is

REFLECTS ONE’S OPINIONS.
CAN BE SHOWN TO BE CORRECT OR INCORRECT.

A VALUE JUDGMENT.

BASED UPON AN OPTIMISTIC JUDGMENT.

TO OPEN AN AUSTIN OFFICE BECAUSE THE MARGINAL COST OF THE NEW OFFICE IS LOW COMPARED TO OTHER SIMILAR PROJECTS.

11. The theory of rational behavior

ASSUMES THAT PEOPLE WILL ALWAYS IGNORE OTHERS’ BEST INTEREST.
IMPLIES THAT PEOPLE WILL ALWAYS TAKE THE TIME TO MAKE CORRECT DECISIONS.

ASSUMES THAT PEOPLE WILL BEHAVE IN THE BEST INTEREST OF SOCIETY AS A WHOLE.

IS AN ASSUMPTION THAT ECONOMISTS MAKE TO HAVE A USEFUL MODEL FOR HOW DECISIONS ARE MADE.

12. Which of the following statements is positive?

I AM ABSOLUTELY POSITIVE THAT THERE IS A BETTER WAY.
THERE IS A LIMIT TO THE INCOME EACH YEAR TO WHICH THE FICA TAX APPLIES, BUT THAT IS FAIR, SINCE THERE IS A LIMIT TO SOCIAL SECURITY BENEFITS.

SOCIAL SECURITY BENEFITS ARE NOT TAXED.

SOCIAL SECURITY PAYMENTS TO RETIREES SHOULD NOT BE TAXED.

13. A keynote speaker was known for his many speaking engagements, but now he has limited time and a rational mind. Even he would eventually start to turn down speaking engagement when, by his judgement

THE MARGINAL COST IS GREATER THAN THE MARGINAL BENEFIT OF THE NEXT SPEAKING ENGAGEMENT.
THE COST OF THE NEXT ENGAGEMENT STARTS FALLING

THE TOTAL ENJOYMENT (BENEFIT) OF THE SPEAKING ENGAGEMENT WAS MAXIMIZED.

THE ADDITIONAL ENJOYMENT OF ONE MORE SPEAKING ENGAGEMENT (THE MARGINAL BENEFIT) IS RISING.

14. The musician was known for multiple encore performances, but had limited stamina and a rational mind. Even she would eventually call it a night when, by her judgement

答案选项组
THE MARGINAL COST IS GREATER THAN THE MARGINAL BENEFIT OF AN ADDITIONAL ENCORE.
THE CROWD KEEPS REQUESTING ENCORES.

THE ADDITIONAL ENJOYMENT OF ONE MORE ENCORE (THE MARGINAL BENEFIT) IS RISING.

THE TOTAL ENJOYMENT (BENEFIT) OF THE CONCERT WAS MAXIMIZED.

15. The production possibilities model illustrates an inverse relationship between two goods or services because

PRODUCTION OF DIFFERENT TYPES WILL COMPETE FOR LIMITED RESOURCES.
THE OPPORTUNITY COST OF PRODUCING MORE OF SOMETHING WILL RISE.

SOME GOODS ARE MORE DIFFICULT TO PRODUCE THAT OTHERS.

OF DIMINISHING RETURNS.

16. A restaurant chain sponsors a charity that provides support to the parents of children being treated for cancer. How would the use of company funds for this purpose be justified by a business whose goal is to maximize profit?

The funds dedicated to this purpose represent a very small share of profits.
THE MONEY SPENT IS WORTH THE BOOST IT GIVES TO CORPORATE IMAGE.

THE MONEY WILL BE SPENT EFFICIENTLY TO CURE CANCER.

THERE IS A GROWING NEED FOR THIS KIND OF CHARITABLE WORK.

Sample Solution

 

 

ABOUT THE COMPANY

Armourguard security is a New Zealand based association which was established in the year 1939. The organization which gives watchman benefits along introducing and observing of the security administrations is headquartered at Auckland in New Zealand. The organization vision is to give ‘100% security for shielded spots from them’ and they are additionally offering high caliber of administration in their business with the assistance of utilizing high innovation hardware, train representatives, better administration to make these administration increasingly alright for their clients. The new techniques for their business are that they can bring new item as security storage and begin to give security administration at Australia also. (Mathekga, 2016)

PESTEL

Innovation Factors-

As the organization gives portable security and other online security highlights, it is significant for it to have the most recent mechanical instruments and gadgets. Locks, safes, mechanical and electronic vehicle security things, retail security structures and even fences what’s more, blocks are among the things that reliably experience improvement and upgrade.. Viewpoints, for instance, R&D development, advancement inspiring powers and the pace of mechanical change are fused into inventive parts. They can choose obstructions to passage least powerful creation level and effect re-appropriating decisions. Besides, mechanical developments can impact costs, quality and brief progression. The usage of electronic security things offering Internet Protocol (IP) data transmission is growing, yet advancement in this part is being held somewhere around a nonappearance of understanding among customers and by a nonattendance of expertise on the some segment of some installers. (Caetano, 2017).

Monetary

These factors incorporate budgetary improvement, advance charges, exchange rates and the growing rate. These parts have real influence how business functions and choose. For example, advance charge impacts an affiliation’s costs of capital and thusly to what degree a business creates and broadens. Exchange rates impact the costs of conveying stock and the inventory and cost of imported items in an economy. In year 2001, a decrease was found sought after for inn security items, for example, locking frameworks and room safes. This interest has now improved. Protection offices influence the security by making conditions in their game plans and by publicizing refunds to customers using specific sorts of equipment. This is noteworthy to the vehicle security promote, and furthermore to the market for physical and electronic security.

Social Cultural Factors-

It demonstrates that air, culture and the states of the working environment where the representatives will work, which should be sure and fit for work. It comprise network it could be identified with working environment culture or outside individuals. Patterns in social parts impact the enthusiasm for an association’s things and how the association functions. Association may change diverse organization methods to acclimate to these social patterns. National authorities have struck the right congruity among security and confirmation. In New Zealand, the general populace has been especially tolerant of the usage of CCTV cameras, enduring (all in all) that their favorable circumstances legitimize the interference of security. Be that as it may, open affirmation still must be borne as an essential concern when arranging new cameras. (Ahmed, Shah, and Soomro, 2016).

Political-

The organization is administration based which should be moment. The business favors quick administrations. It implies the work environment culture, offices and so forth. Political factors incorporate corporate zones; for instance, evaluate game plan, work law and regular law. It moreover joins product and endeavors which the organization needs to give or be given. In this manner, government has extraordinary impact on the wellbeing, instruction and framework of a country. Neighborhood Wardens or Street Wardens have been presented in numerous zones of New Zealand, and there is impressive extension for more agreements for the private security industry. The idea of Neighborhood Wardens has been made a decision about fruitful by the Office of the Deputy Prime Minister Neighborhood Renewal Unit, which is financing a portion of the plans somewhere in the range of 2000 and 2005 (Al-Jabi, Muhannad, and Diab, 2017). While exploring on this factor I got some data about association like in which part the things to be improved like machines, staff, items and numerous others which will help to association to arrive at their future objective.

Quantitative Analysis

Essential RESEARCH

Representatives Questionnaires have been filled by them to audit the sorts of work conditions and administrations. I made a gathering arrangement with representatives and furthermore with one ex-workers of this organization to get the know the inside condition of this association about the conduct of the staff, the amount they comprehend to one another and numerous other.

Clients They give adequate data on the nature of security administrations gave. By doing overview with clients I likewise got some great data from clients, representatives and ex-worker. For this situation I have some data which will be absolutely useful for this café and furthermore for improving the status of the current business. It is extremely difficult to approach a few inquiries to each client for the review yet I have completed 5 clients study while investing energy in investigating in this organization.

Providers They give the innovation and apparatuses to the security administrations. I have likewise made some survey for the provider which is premise using a credit card record, managing this association and some other. In any case, the providers were occupied in their work so I didn’t make any gathering with them. In any case, I called them for review in the wake of getting endorsement from my supervisor. I talked 8-9 minutes with four providers and both were extremely kind and they didn’t spare a moment to offer the responses of any inquiries.

In this exploration I have discovered some logical apparatuses for the improvement of this business

Since without systematic devices this business won’t reach to their objective. They must be define a few objectives for expanding the benefit. By utilizing expository objective this organization become acquainted with where they remain in the market, additionally think about their quality shortcoming openings and dangers.

Diagnostic device for variety

Steeple

Pestle

Ansoff model

Mckinesy 7s models

Seat stamping

SWOT

BCG grid

Contenders examination

These are the most dominant and significant for any association to make a best vital arranging. These instruments will help to association for accomplishing their future objectives. The specialist has picked SWOT investigation and Ansoff model for dissecting the ecological factor.

Breaking down through SWOT ANALYSIS

Qualities

The organization appreciates a gigantic piece of the overall industry and has a restraining infrastructure in the nation as far as security administrations. It utilizes most recent innovation to give security administrations to the clients. The staff of the organization is very much prepared to stay away from perils.

Shortcomings

As indicated by analysts, introducing most recent security programming and instruments cost a great deal of speculation to the organization.

Openings

Cash can be spared by utilizing distributed computing to store private information of clients. It can utilize huge Data to upgrade the business and have an upper hand (Harrison, 2015).

Dangers

Programmers are getting more brilliant which may present security dangers to the organization’s administrations. Common mishaps, for example, seismic tremor, fire, and so on may make a harm the administrations and property (Palmer, 2015).

Breaking down through Ansoff grid

On Market infiltration, it has been found through the overview, that the clients value the solid administrations of the organization and select to a great extent for its caution and property security administrations. On Market advancement front, the organization needs to realize more mindfulness about its administrations among the clients with the goal that more clients choose its security administrations. On the item improvement front, the organization needs to gave added security to the information of the clients and associations by utilizing most recent innovation and giving them wellbeing vaults for information. In expansion, the organization may take a gander at giving protected and secure stopping administrations to the clients to expand its deals and benefits.

Discoveries: –

Organization has a decent notoriety and holding with specialists or providers and with their vital arrangement they can accomplish objectives and their points. This foundation utilizing great innovation with experienced staff. The foundation has high evaluated innovation. Representatives love to have multi culture condition.

Recommendations: –

Armourguard have great relationship and holding with contractual workers and they ought to orchestrate benefits in abroad. Thus, they can get administration contracts from these nations, for example, China, Europe, Sri Lanka, Russia and numerous different nations.

Armourguards ought to decrease the cost in clamor control administrations to be consistence in the market and master laborers ought to be named to get the client’s issues settled. The organization is going admirably, and has awesome staff in top administration, organization staff and their associates. Be that as it may, organization can likewise utilize innovation like GPS in every vehicle, most recent advanced mobile phones and cutting-edge programming. They should do workshops in different nations with the goal that they can get customers from other worldwide nations.

 

 

 

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