英语论文网

On the other hand, if the costs of production increases, for example a rise in the price of raw materials or if a company is having to pay higher wages to its workers, then businesses are unable to supply as much at the same price and thus this will cause an inward shift on the supply curve.

Changes in production of technology and firms increasing their capital can change quickly and in other industries where technological change is swift, we will see greater increases in supply and lower prices for the consumer. The impact this has upon FMCG (Fast Moving Consumer Goods) which are the products that are sold quickly at relatively low cost. Is that they are produced fast and more efficiently causing an increase in supply of the FMCG’s.

This Diagram, supply has an outward shift S1 moves to S2, Price drop

3From P1 to P2 this cause an increase in demand Q1 to Q2, reasons for this shift are as listed.

In addition, the number of producers in the market and their aims in an industry will affect the market supply. So when new businesses enter the market, supply increases causing downward movement on price. Coles is one of the other major supermarkets in Australia, which is competing with Woolworths for price control.

Where ever there is a Woolworths there is a Coles; in all the areas where the results were gathered, either right next door or only across the street, even down the road. Right next to every Woolworths was a Cole’s supermarket. Positions of firms are not placed or built randomly; they built strategically to get the most customers for maximum profit. This is monopolistic behavior, the market situation in which there may be many independent buyers and many independent sellers but competition is imperfect because of product differentiation, geographical fragmentation of the market, or some similar condition. [4]

These two firms are competing for customers; supermarkets sell similar or the same products in each store, depending on the consumer their preferences would determine on the quality and value of the good being sold. Supermarkets together such as Cole’s and Woolworths offer specials or promotions on goods they are selling; for example Holiday occasions such as Christmas or Easter. Also store loyalty cards are offered to consumers to encourage spending to gain cash points, so consumers can earn these points to gain special rewards or gifts if the appropriate points are gathered. But Cole’s prices on products are much more expensive than what Woolworths has to offer, so why do consumers shop there?

Cole’s as A Company

Coles st本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。