Suppose That You and a Friend Decide to Turn Your

question 27

Essay

Suppose that you and a friend decide to turn your favorite sports activity-inline skating-into a business. You plan to design a line of fashionable clothing that integrates elbow and kneepads. For each of the four macro strategies, briefly describe the most important thing your company should do if you intend to focus on that strategy. Your answers should be specific to the inline skating business.

Predict the impact of changes in demand and supply on market prices and the quantity produced.

Understand the conditions under which firms in a competitive market earn zero economic profit in the long run.

Identify the impact of factor prices on the market supply curve in the long term.

Understand the concept of a constant cost industry and its characteristics.

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Definitions:

Fired

The termination of employment, typically due to an employee's performance or behavior.

Boss

A person who is in charge of a worker or organization, possessing authority or control over employees and workplace decisions.

Role Conflict

Occurs when there are incompatible demands placed upon a person relating to their job or position, causing stress or frustration.

Rudeness

Exhibiting behavior or speech that is impolite, disrespectful, or offensive in social or professional contexts.