Economics for Business

Organize yourselves into groups of 4 or 5 students and give your group details to your lecturer(s) no
later than Week 6 (for Normal Mode) or Week 4 (For Block Mode 1) and Week 8 (for Block Mode 2).
Late submission of group member list may result in your being unable to submit the group
assignment.
You are a group of advisors to the Management Board in your company.
In determining the company’s strategy in the next 5 years, your managers have required you to
prepare a 2,500 word market report. The market report should, as a minimum, address the following
key issues:

1. A description of your company and the industry your company is in, including:
    An overview of the company.
    An overview of the industry (including some key statistics such as revenue,
   employment, the industry’s contribution to national GDP, and industry growth rate).
2. An analysis of the market structure the industry is in, including:
    The type of market structure it is in and why (based on the characteristics of the
   industry).
    The market leaders in the industry and some statistics about them.
3. A discussion about (i) two determinants of demand, and (ii) two determinants of supply for
   your product(s) or service(s) that you consider to be the most influential.
4. A discussion about the demand elasticity for your product(s) or service(s) which answers the
   following questions:
    Is your product(s) or service(s) elastic or inelastic? Why?
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   HI5003 Economics for Business
    What are two factors that you consider affect the elasticity of demand for your
   product (or line of products) the most? Why so? (You can research for evidence to
   justify your argument(s)).

Sample Solution