Demand and supply Essay Example | Topics and Well Written Essays - 1500 words

Demand and supply - Essay Example These factors have been pointed out and discussed by several authors (Stiglitz and Walsh (2002), Pindyck and Rubinfeld (2004), Mansfield (1992), Reynolds (1988), Colander, (2004) etc.). Stiglitz and Walsh (2002) demarcate these factors into economic and non-economic factors. Below is an elaboration of these ‘other factors’. An increase or decrease in the income of consumers may lead to a rise or fall in the demand for a product. This change by and large depends upon the nature of the commodity; i.e., inferior good or normal good. In case of an inferior good, an increase in the income of consumer will lead to a fall in the demand of that particular commodity and vice versa, because consumer will then shift to a product much better than the previous commodity in his/her perception. On the contrary, in case of a normal good, an increase in the income of the consumer will cause the demand for that commodity to rise shifting the demand curve to the right and vice versa. This is another economic factor responsible for bringing about a shift in the demand curve. A change in demand of a particular product can be effectuated by a change in price of its close substitutes. The demand for a product will rise if the price of its substitute commodities increases, shifting the demand curve to the right and vice versa. For instance, the demand for coffee for some people will increase as the price of tea rises and vice versa. On the other hand, more tea-consumers would shift to coffee if the price of coffee declines in the market, because a rational consumer will mostly opt for a cheaper substitute, once the price of any of the product rises. Complements are the products that are used or preferably used with another product. Any change in the price of complements will also lead to a change in the demand for the product. For instance if the price of milk increases, the demand for tea or coffee will also fall down, causing a leftward shift to the demand curve. It

Hilton Embraces Collaboration with Information Technology Partners Assignment

Hilton Embraces Collaboration with Information Technology Partners - Assignment Example It was also crucial to embrace collaboration with technology leaders because then, it would be possible to focus more on the company’s core competencies. It is much easier for them to do so without having to worry about things such as systems implementation, research and development practices, and also technological solutions (Webb 1). One of the major problems associated with collaborating with five IT leaders might be their lack of cooperation. It may be hard trying to get these companies to work together and share ideas, and also work through their interdependence (Webb 3). For example; If AT&T and IBM refused to identify each other’s importance, it would be impossible for them to work together for the greater good of the company. Furthermore, it would be a major problem if the IT companies fail to adhere to the governance process that exists in the company. What this means is that, if there is a failure to follow the governance procedures that exist prior to the commencing of the contracts, there might be a loss of contract