General Motors Oligopoly Market Structure

The variable cost is given as 85% of the net sales. Now if the variable cost is greater than 85% then the maximum price will decrease and in turn the cash flows will also decrease. And if the variable cost is lesser than 85% then the maximum price will increase and in turn the cash flows will also increase.

This also causes involving price-fixing and market-division arrangements. It usually involves the private parties and the government which would also be the Department of Justice or the Federal Trade Commission. This is a firm has done something anti-competitive in order to stay ahead in the game or stay ahead in the monopoly. Monopolies without any anti-competitive behavior aren’t usually illegal. An example of these cases was in 1911 and the Supreme Court ruled abuse on John Rocketfeller's Standard Oil Co. because they had abused its monopoly power to keep other companies from going against it and it also divided into thirty-four separate companies. While in section two it was behind the reason why AT&T broke up and took effect in 1984 and had split the company into seven independent holding

The 1920s were considered an extremely prosperous and positive decade in history. The economy was relatively stable, and people’s lives were generally sound and enjoyable. One aspect that greatly contributed to the success of the “Roaring Twenties” was the modern and innovative inventions that were being created. These inventions allowed for various daily tasks to be completed in a much more efficient manner. New and improved communication related devices helped to connect Canadians nationwide. Advanced forms of transportation established links to other cities, provinces, and even countries. Personal and medical inventions helped to maintain the economical and physical wellbeing

Oligopoly is a market structure whereby a few number of firms owns a lion’s share in the market. This market structure is similar to monopoly, except that instead of one firm, two or more firms have control in the market. In an oligopoly, there are no upper limits to the number of firms, but the number must be nadir enough that the operations of one firm remarkably influence and affects the others (Investopedia, 2003).

Companies all over the globe will experience some sales and profit decrease. Home Depot in the growing housing industry benefited greatly from the houses being built. The accounting concept portrayed in this situation for home depot is called operating leverage. Operation leverage is when managers view a small change in revenue and magnify it to dramatic changes in revenue (Edmonds, Tsay, & Olds, 2011). With a decrease in the market for construction materials, Home Depot is experiencing a 3% decrease revenue and a 21% decrease in profitability. This drastic change occurred because of variable and fixed costs. Due to these costs, sales decline in small percentages which affect a more significant decline in profit.

The United States has one of the largest automotive markets in the world, and is home to many global vehicle and auto parts manufactures. In 2016 year alone, vehicle production reached almost 17.5 million passenger vehicles. Automobile industry involves many industries in it. It includes original equipment, manufacture, and adverting industry as well as oil and natural gases industry. Main players of the Automobile industry are Toyota, General motors, Volkswagen, Honda, Ford and more. The Automobile Industry is very complex and to start a business in automobile industry high level of capital investment is required. Not only huge amount of money but also a labor force will be essential, which are the main barriers to enter into the automobile industry. For Example, the US auto industry was once considered safe until Honda Motors gave a big challenge to these companies by opening a manufacturing plant in Ohio. The Automobile industry includes many other industries as well for example, tires and seat manufacture. These industries are the suppliers of the Automobile industry. The automobile industry is are in a more power position that the suppliers. Many of the suppliers are dependent on the auto makers (Kallstrom 2015).Also, bargaining power of the suppliers depends on the reputation. If the supplier is able to provide high quality products of the auto parts than they can expand their contracts with other Auto companies. For example, Lear Corporation operates from 245

Threat of new entrants: It was found by Sutherland (2014) that the telecommunications market tends to be a monopoly or oligopoly due to the requirements of large investments and economies of scale. There are also the requirements of legal documents such as licences which can create a barrier to entry.

Hybrid vehicles, or more specifically hybrid-electric cars, have been the centre of debate since the premier models made their debut back in the 1990s. Environmental activists have been quick to advocate the perks in terms of reduced emissions of greenhouse gases. On the other hand, critiques argue if the costly hybrid technology is worth the savings in fuel cost over the long-haul.

The manufacturing is done with help of skilled labor. The skilled labor is one of the major strengths for Olympia, they not only carry out the painting job, various operations on the floor (the floor workers) but also manage the mate assembly line operations (called the assemblers).

CEN Solutions is a strategic planning firm. Our company is a partnership that has been in existence for the past decade. Carolyn Hampton is our marketing wiz; Erica Berkley, is able to spot internal operational needs; and Nicole Shannon looks at the current financial status of a business. Our goal is to work with an existing company that is looking to expand their business or that is trying to gain focus in order to grow. Our business does this by creating a SWOT Analysis. This way we are able to analyze the business’ strengths, weaknesses, opportunities, and threats. We next look at the operations, the financials and marketing plan to see where the company is exceling and where they are struggling. We provide

4-15) Since many of the indirect cost occurred during a year are not known until the end of the year or accounting period companies use predetermined cost driver rates. In establishing predetermined cost driver rates one must choose a cost driver such as labor and/or machine hours for example. Using a predetermined cost driver gives a company a tool to help keep expenses in proportion with sales and production volumes which allows them to make important decisions about products.

High barriers to entry in the industry. Licensing requirements are high. There is a minimum size requirement to achieve profitability and the initial investment is required and fixed costs of operating. How much of the control is in the hands of existing players of the market or key resources? The switching costs are high, so customers would somewhat drawback with fear from moving to a new firm leaving the reliable one. This is a heavily regulated industry.

To do a resource-based analysis of any organization, it needs to go through different steps, first identify the three categories of the resources , the tangible ,intangible, and the human resources , second identify the capacity of the organization to put its resources for a desired end and in good use, third to decide on suitable strategy for the organization we need to do SWOT analysis to determine the organization strength and weakness compared to the competitors, third what are the key successful factors of the organization that can be determine by identifying the customers of the organization and their needs, and what the organization will do to survive the competition ( Hall&Keynes,2015) also audit analysis to Ford resources , and value chain analysis to Ford activities . In the next section, there will a brief explanation about the steps mentioned above , followed by an application to each step to, Ford motor which was incorporated in Delawae in 1919, it is a global automotive industry leader in Dearborn and Michigan, distributed vehicles across six continents the core business of Ford , designing and manufacturing cars, marketing , financing and servicing a full line of Fords cars, trucks, SUVs, and electrified cars, and Lincoln luxury car (Ford annual report,2015).

“The best solution to pollution is dilution”. According to the United States Environmental Protection Agency’s’ report of 2010 Transportation contributes 13% to the global greenhouse gas emissions. So, have you ever thought of diluting the emissions by switching to Hybrid Vehicles? You may be thinking that Hybrid Vehicles are modern inventions due to technological advancements but did you know that it existed prior to the invention of the conventional gasoline vehicles. I have no prior knowledge about Hybrid cars but once I heard about an electric car produced by Tesla and it made me very curious to know more about the topic I have done research on the Internet. In my speech today I am going to speak about the Development of hybrid vehicles. Innovations and Configurations in the Hybrid Vehicles have significant impacts on the environment. First, I will give a brief description about the Hybrid Vehicles and follow it up by discussing the Innovations and Configurations in Hybrid Vehicles and finally, discuss the Environmental impacts of hybrid vehicles.

Mercedes Benz is a globally known brand, originated in Germany. Benz is specialized in automobiles like cars, buses, trucks, etc.