Paper Homework
Select a large U.S. company (e.g., Wal-Mart, Ford, Proctor & Gamble, Apple, Microsoft, etc.) and evaluate its managerial decisions in several different areas. It must be a large company so that you will be able to complete documented research. Address all of the following areas, using section titles. It is essential that you complete your essay using the vocabulary, economic language and concepts of our class and text.
a. Provide an introduction and a conclusion.
b. Describe the history of the company.
c. Evaluate the company's products and primary markets, domestic and/or global.
d. Examine the company's pricing strategies and non-pricing strategies to maximize its profit. Non-pricing strategies include advertising, product differentiation such as function, design, and/or model, enhanced service quality, etc.
e. Appraise any sources of risk or uncertainty in the company's operations and decision making. Be sure that you explain which is which for your target company.
f. Assess any asymmetric information issues that the company experienced during the previous five years. Be sure to discuss any adverse selection and the moral hazard problems that the company encountered.
g. Analyze the principal-agent problems that the company may have. Begin your discussion with the definition of the principal-agent problem.
h. Evaluate if the company has any current issues that the CEO may want to resolve or improve. (note that this sentence was left incomplete in the homework instruction!)
Format your homework according to the give formatting requirements:
a. The answer must be double spaced, typed, using Times New Roman font (size 12), with one-inch margins on all sides.
b. The response also includes a cover page containing the title of the homework, the course title, the student's name, and the date. The cover page is not included in the required page length.
c. Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.