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The Marketing Economy

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Alec Ground

on 30 April 2010

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Transcript of The Marketing Economy

The Market Economy How Economies Differ Traditional Economy - You use the cow for milk, or share the meat with economy Mixed Economy - It's still your herd, but you feel wrapped up in government regulations Makert Economy - you can buy a bull to build up a herd of dairy and beef cattle to sell Command Economy - the goverment takes your herd and puts you to work looking after them Driven by profit In a market economy, the anwsers to the economic question will be influenced by profit When you are shopping, you are participating in market economy- you decide whether or not the product or sevice is worth the asking price This is an economic system that dates back to the days of the villiage market place. price were decided by the apply brought to the sellers, and hOw the demand of the customers to have the products. Market Economy Problems Economic Depression Market economies also go through cycles of decline A time of unemployment, low prices, low profits, and loss of business "Robber Barons" These business people owned and operated factories, railway lines, and power plants. The Great Depression - 1930's Factories were forced to close Workers were laid off Ten years of widespread poverty set in Many governments stepped in to help their economies by investing in work projects and supporting some businesses. Many governments continue to play an active role
in business and industry today Profit or Environment? Choosing between protecting the enviroment and allowing the growth of business can be very difficult Communities want jobs and growth, but damage to the environment can have long-term effects on everyone Responsible companies seek to limit their impact on the environment For example, they may replant trees or reduce waste by recycling However, many companies find these practices to expensive, and choose cheaper options. This is a continuing problem in market economies Considering the concept of supply and demand, suggest why front row seats at a game or performance costs more. Would you pay extra to see an event up close? Why or why not We would pay extra to see an event up close because, you get to see hits, and a lot more action and detail compared to if you were sitting further back at a performance or sporting event Powerful entrepreneurs who made aggresive actions Created by: Alec, Mitch, & Ashley
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