MBAE-103: Managerial Economics – Unit 8
Objectives: understand the concept of market structure and the impact it has on the
competitive behaviour of the firms; classify different types of market structures; analyse the factors that influence the pricing decisions of a firm; and identify the barriers to entry of firms in the market.
Materials:
The relevant material is available here.
Questions:
- Classify the market structures based on certain factors and support your answer with the help of examples.
- Discuss the different structural variables. Illustrate your answer with the help of examples.
- Discuss the important technical barriers to entry.
- The paperback books and the hardcover books are sold at different prices. Explain.
- What are switching costs? Cite one example of a switching cost and examine how a firm can advantage from the existence of switching costs?