An economic analysis on what is happening in the S
This essay An economic analysis on what is happening in the S has a total of 1028 words and 9 pages.
An economic analysis on what is happening in the South African Motor industry.
Economics 101 Essay 1
The purpose of the essay is to give you a critical view on what is really happening within the car industry and I plan to demonstrate and illustrate what happens to the demand and the supply of entry-levelled vehicles in the situation of the motor vehicles being over priced in the face of weakening foreign currencies and a strengthening Rand. The issue was addressed by looking at forecasts as well as the relationship between the demand and supply determinants and backing up the motor industries theories. Conclusions were drawn based on the outcome of the simultaneous demand and supply determinants as well as statistics over recent years proving theories.
With there being decreases in the Dollar, Euro and Yen, the prices of motor vehicles are still consistently on the increase as well as “tariffs in South Africa being reduced as well as local content requirements either being relaxed or abolished” (Black and Mitchell, 2002:23), the price of manufacturer input costs have decreased meaning that the quantity demanded of these inputs has increased and with this in mind, there is a sense of intervention of competitive manufacturers because this increases the quantity supplied but this year there has still been an increase in quantity demanded by the general public because of competitive rivalry as well as lower interest rates in 2004 but the influence of foreign produced goods lead to eventual price reductions.
Quantity demanded and quantity supplied for new vehicles in the industry with regard them being over priced.
The demand for motor vehicles may be influence by forecast conditions put out by the National Association of Automobile Manufacturers of South Africa. Before, the economic analysis was taking place but the consumer population forecast expected future price increases with full knowledge of the decrease in manufacture import prices, they made use of substitute models within the industry leading to a decrease in quantity demanded of expensive models decreasing the gross profit of the car makers and causing a shift in the demand curve to a decrease left. “It is expected that people will continue to by less expensive goods, and these sales could represent almost a set percentage of the total market by period end.”(Black and Mitchell, 2002:34).
With this being said, this year the competitive rivalry within the motor industry is “forcing narrower margins and smaller price increases” (Business Times, 2001). From the start of this year (2004), there hasn’t been a price increase and this is because of the reduction in interest rates making cars more affordable and so the public can now afford to buy the vehicles.
The supply of vehicles increased because of the fact that the price of motor vehicle inputs have decreased due to foreign exchange weakening and boosting imports and so there will be a shift in the demand curve to an increase right. This level of quantity supplied increased and with the quantity demanded decreasing and so there were simultaneous shifts of the two curves at the same price level causing and this led to . (Black and Mitchell, 2002:27) .There was also an increase in sales at a discounted overpriced rate as well as improvements in technology.
The situation of an increase in quantity supplied may eventually lead to a situation of over supply and may be forced to reduce prices in the face of foreign cheaper competition as a result of their fierce import competition. (Moneyweb, 2004)
Unfair or fair?
Last year, there was an increase in price by 2% (Moneyweb, 2004). This year there has been a general increase in quantity demanded with an increase in annual sales by 18% (Standard Bank, 2004) and this brings in the argument on behalf of the Marius Burger (Toyota vice president) and this is because he had the view that the prices were fair in the long term and the prices have been forecasted to work out this year to the correct pricing and without being under priced.
Another reason for the price increases in the short run is because there has been exchange rate erosion over the last 30 years and in the short run, the current bout of strength in the rand hasn’t made up for that erosion and so there is a
Topics Related to An economic analysis on what is happening in the S
Market, Consumer theory, Demand, Economics laws, Supply and demand, Economic equilibrium, Supply, Economics, Inflation, Pricing, ADAS model, Energy crisis
Essays Related to An economic analysis on what is happening in the S
Dual Citizenship in CanadaDual Citizenship in Canada Karen and Ross have been married for six years. During these years, each has had to make decisions concerning their careers to accommodate each other. Two companies have now confronted Ross with a career opportunity, those being California Energy Systems and Petrolia Oil. He must decide by September 28 what opportunity to act upon, taking into account the effects it will have on his career, Karen\'s career, and their marriage. Situational Analysis Both individuals come
Magazine Article SummariesMagazine Article Summaries To: Mr. Teach – Eng 201 From: name goes here Subject: Major Assignment #3 -- Journal Entries Date: May 8, 2000 JOURNAL #1-- INC. THE MAGAZINE FOR GROWING COMPANIES May 1994. Publisher: James J. Spanfeller, 488 Madison Ave., 6th Floor New York, NY 10022 (212) 326-2600 Audience Statement: Inc. speaks directly to the entrepreneur, sole-proprietor, small business partnerships. Advertising: There were several advertisements including investing, retirement, tax accounting, c
Magic CodesMagic Codes Many advertisements use codes to convey a fairy tale to consumers, usually resulting in a happy ending. This occurs at the expense of the price and means being set aside. Most advertisements rely heavily on visual props and sometimes on text to convey their meaning. These codes are open to many interpretations. This ad is no exception. It uses the visual code on many different levels, and the text is there mainly for explanatory purposes. These codes all have references to the story-
Major problems in societyMajor problems in society There are many problems right now in the society. Some of these problems can be easily solved, or can be impossible to solve depending how bad it is. Many people think these problems should be solved by the governments, since they are in charge. But we can also solve these problems if we get together. Not all the problems, but some that can be solved. I think the three major problems in the society today are: unemployment, violence, and pollution. The first problem in t
Management Company PorfileManagement Company Porfile COMPANY OVERVIEW Martella Paper Products, Inc. is a paper products producer and distributor to many offices and office supply stores. The company was established in 1979 by Michael Martella. Michael Martella saw the need for a paper company and believed that he could fill that need. Martella Paper Products Inc. has been in business for over 15 years. The company has expanded tremendously in that time. When the company was first established, Mr. Martella could not even
Management Pratices at Sonic CorpManagement Pratices at Sonic Corp SONIC CORPORATION INTRODUCTION BACKGROUND INFORMATION In 1953 Sonic Corporation was founded by Tony Smith in Shawnee, Oklahoma under a different name of the Top Hat. Tony Smith started the company as a drive-in restaurant featuring hot dogs, hamburgers, and french-fried onion rings. In the mid-50s Smith was asked by Charles Pappe for assistance in establishing a similar restaurant in a rural town also located in Oklahoma. This was the beginning of a partnership
Managing ChangeManaging Change Outline Thesis: Managers of organizations today face a demand for change in their organizations if only because change is so pervasive in the world around them. I. ASSUMPTIONS II. CONDITIONS FOR CHANGE A. Widespread felt need. B. Leadership C. Trust D. Resources 1. Funds 2. Expertise E. Positive organizational history III. DIMENSIONS OF THE CHANGE PROCESS A. Relative advantage of proposed change B. Impact on social relationships of a proposed change C. Magnitude of a proposed cha
Marketing of an adjustable headlightMarketing of an adjustable headlight 1. Marketing research (1.1) Market * Size of the market The size of the market is large - the whole car industry (world-wide) with multi-billion pound worth of value. Below are some of the car manufacturers today: Acura | Alfa Romeo | American Motors | Audi | British Marques | BMW | Bricklin | Bugatti | Buick | Cadillac | Chevrolet | Chrysler | Citroen | Daewoo | DeLorean | DeTomaso | Dodge | Eagle | Ferrari | Fiat | Ford | General Motors | Holden | Honda | H
Materialism and Happiness in AmericaMaterialism and Happiness in America MATERIALISM AND HAPPINESS IN AMERICA: THE GATSBY ERA AND TODAY Materialism: attention to or emphasis on material objects, needs or considerations, with a disinterest in or rejection of spiritual values. The acquisition of material has been equated with happiness in this country. This is true today, and it was true during the 1920\'s, the setting of F. Scott Fitzgerald\'s The Great Gatsby. That the majority of Americans believe that wealth and happiness are th
Modern lifemodern life How Technology Effects Modern America U.S. Wage Trends The microeconomic picture of the U.S. has changed immensely since 1973, and the trends are proving to be consistently downward for the nation’s high school graduates and high school drop-outs. “Of all the reasons given for the wage squeeze – international competition, technology, deregulation, the decline of unions and defense cuts – technology is probably the most critical. It has favored the educated and the skilled,” says M. B
My Experience with English EducationMy Experience with English Education My Experience with English Education English has never been my favorite subject. In fact, it has always been my least favorite subject. Going through school, I often wondered why I needed to do so many English related tasks, and in wondering, I learned to detest the subject without realizing its future benefits. Why do I dislike English so much? Is it such a dreadful thing to learn? Isn’t learning how to correctly write and interpret the English language impo
My Quality EducationMy Quality Education My Quality Education For years I¹ve heard that in order to succeed one has to receive a quality education. It¹s kind of funny though, with all the talk about the need for this great quality education nobody ever says exactly what it is. While examining this strange phenomenon I¹ve discovered the basic universal elements of a ³quality education². I¹ve also learned that everyone has different standards by which they judge what is and what isn¹t a quality education, different g
Mythic HerosMythic Heros When I think about mythic heroes, for many years the first name that came to mind was Sinbad: Sinbad the sailor. In his days as an adventurer, he went on seven fantastic voyages which earned him fame for the rest of his life. Yet, now in retrospect, I no longer consider him to be the great adventurer that I saw him as in my childhood. On his seven voyages, Sinbad encountered every obstacle one could possibly think of. He and his crew met up with: a fish so large, many mistook it for
Where Did UNIX Come From and Why Are There DiffereWhere Did UNIX Come From and Why Are There Different Versions Of UNIX? The first efforts at developing a multi-user, multi-tasking operating system were begun in the 1960\'s in a development project called MULTICS. While working for Bell Telephone Laboratories in 1969 and 1970, Ken Thompson and Dennis Ritchie began to develop their own single-user, multi-tasking small operating system and they chose the name UNIX. Their initial goal was simply to operate their DEC PDP machines more effectively.
Rights of Egyptian WomenRights of Egyptian Women Throughout written history, women have experienced status subservient to the men they lived with. Generally, most cultures known to modern historians followed a standard pattern of males assigned the role of protector and provider while women were assigned roles of domestic servitude. Scholars speculate endlessly at the cause: biology, religion, social custom. Nevertheless, the women were always subordinated to the men in their culture. Through their artwork, tomb inscri
Of Mice & Men- John Stienbeck overviewof Mice & Men- John Stienbeck overview Of Mice and Men Mini-Critique John Steinbeck was born in Salinas California on February 27, 1902. His mother was a school teacher in the public school in Salinas. Steinbeck grew up in the beautiful Salinas Valley which furnished most of the material for his novels. His mother read to him, at an early age, famous literature of the world which planted a seed in his imagination. He entered Stanford in 1920, remaining there until 1925 but never graduating. In 1
Sex DiscriminationSex Discrimination Despite Legislation for Equal Opportunities, sexism is still in evidence in the workplace. Sexism is a particular concern for society when considering it\'s effect in the workplace. Sexism has always been a particular problem in the labour market especially with the formation of capitalism. In the last half of the 20th century this has been especially highlighted due to the increase of woman entering the labour market. This aroused the need for a legislation for equal opportun
Opportunities of Character, Not ColorOpportunities of Character, Not Color Opportunities of Character, Not Color Created in the 1960’s, affirmative action programs attempted to undo past racial discrimination by giving preference to blacks and other minorities. The idea behind these programs was to help minorities gain the representation in the job market that paralleled their percentage of the population (Finley 1). Unfortunately, affirmative action has mutated into a thirty-year-old policy that places many underqualified minoriti
Women in AfricaWomen in Africa Timothy Veneylo November 26, 1995 History 387 In many parts of Africa, there is a large discrepancy in who controlled the resources, access to the economy, individual autonomy and central voice in the government between the men and the women. African men, for the most part, have the largest say in the activities of the country. When issues of concern arise, men\'s issues usually became the issues of national concern, and those issues pertinent to women go to the back of everyon
Women As News AnchorsWomen As News Anchors Women in all careers are striving to gain equality in the work force today, and female television news anchors are definitely part of the fight. The road to television news anchoring is a rocky one, where only a few women survive and many fail. Where progress was once thought to have been made, there aren\'t many females getting ahead in the world of television news. Today, there is a very slow, if any, gain in the numbers of women who succeed. There are many questions surr
Women In The Labour Force December 17, 1992Women In The Labour Force December 17, 1992 The past decades their has been a dramatic increase of women participating in the labour force from countries all over the world including Canada. In 1950, one Canadian worker in five was a woman. By 1980 this percentage had doubled, and women are expected to make up more than 44 percent of the labour force by the end of this century. The increase in female participation started occurring during the 1970\'s. This increase also caused the largest baby b
PollutionPollution The Hidden Things That Are Killing Us Pollution is the introduction of harmful substances or products into the environment. It is a major problem in America and as well as the world. Pollution not only damages the environment, but damages us also. It has caused many problems ranging from lung cancer to the greenhouse effect. It is all among us and yet we continue to live in our own filth. What is the reason behind this flawed logic? The cars we drive, our left over trash, and the busin
Porgy and BessPorgy and Bess Porgy and Bess symbolizes the end of the black musical tradition that flourished in the early part of this century. The play showed the height of white appropriation of what had previously been a black cultural form. All the creative talent backstage was white. This development had been occurring slowly, throughout the 1920’s, but black artists had often worked in a variety of creative capacities. Porgy and Bess became a black musical in its most minimal sense, only as a defin
Rossetti's FeminismRossetti\'s Feminism The Victorian period marked the first traces of progress in the feminist movement, and poet Christina Rossetti embraced the advancement as her own long-established principles slowly became publicly acceptable. Her poem Goblin Market comments on the institutions in Victorian society that she and her feminist contemporaries wished to see altered, creating modern female heroines to carry out its messages. The goblins serve as malicious male figures to tempt the innocent heroine
Scarlett Letter Chapter SummarysScarlett Letter Chapter Summarys + ENGLISH III AP: Scarlett Letter + The Scarlet Letter A Reading Log by Brandon Moeller English III AP Fisher-7 8/7/96 CHAPTER 1- The Prison-Door- I found this one page introductory chapter to be very dramatic as it explained the history of the colony by telling the history of the prison-door. From the looks of this chapter, this story will probably be dragged out as much as possible. At first I thought the way Nathaniel Hawthorne approached the latter half of th
Scrooges Ghosts - An analisys of there effectsScrooges Ghosts - An analisys of there effects An Analysis Of The Effects Of Spiritual Visitations On Scrooge Scrooge learned a great deal about himself during the visitations of the three ghosts in A Christmas Carol. He learned things that not only changed his life, but also the lives of others such as Tiny Tim and his family. At first these changes came gradually, probably because they where not really fueled by fear of what might be, but instead by remorse for things he had already done. No
Silicon Science- The Job of a System AnalystSilicon Science- The Job of a System Analyst Silicon Science: The Job of a System Analyst Stodola, Steve English 10, First Hour Mrs. Herbach February 15, 1996 What is it like to be on the forefront of technology? New technology is constantly being designed and developed. The people who are responsible for this new technology in the field of computers are most likely system analysts. This paper will attempt to give the reader some insight into the career of a system analyst. People who work as sy
Slaughterhouse FiveSlaughterhouse Five When one begins to analyze a military novel it is important to first look at the historical context in which the book was written. On the nights of February 13-14 in 1944 the city of Dresden, Germany was subjected to one of the worst air attacks in the history of man. By the end of the bombing 135,000 to 250,000 people had been killed by the combined forces of the United States and the United Kingdom. Dresden was different then Berlin or many of the other military targets whi
Standard-englishstandard-english There are several important events before 1500 that when listed together show a series of steps in the struggle for English language supremacy. These steps are mainly governmental, legal and official events that pushed English usage. In 1356 The Sheriff\'s Court in London and Middlesex were conducted in English for the first time. When Parliament opened in 1362 the Statute of Pleading was issued declaring English as a language of the courts as well as of Parliament, but it was n
Start Where You AreStart Where You Are Hardo Baker HCOM 197 Independent Studies Journal (Woman Hollering Creek and other stories) (By Sandra Cisneros) Chapter One Section One My Friend Lucy Upon opening the book and reading the first paragraph I noticed a strangeness in the writing. I said to myself that these are run-on sentences. I had to go back and read the first paragraph all over because it did not make sense to me at first. As I read on, I thought to myself that either this individual is illiterate or she w
Swift’s “A Modest Proposal…”Swift’s “A Modest Proposal…” Swift’s Modest Proposal for the Preventing the Children of Poor People from being a burden to their Parents or Country, and for Making Them Beneficial to the Public is a satire of the English opinion of the Irish, barbarians. Though this is a satire, Swift has a good point about eating children. In the world today there are approximately 6 billion people, many being children. By the year 2050, according to the World Population Profile: 1998, the population will reach
Symbolism of the letter A throughout 'The ScarletSymbolism of the letter A throughout \'The Scarlet Letter\' Symbolism of the Letter A Throughout Nathaniel Hawthorne\'s The Scarlet Letter Nathaniel Hawthorne\'s The Scarlet Letter includes many profound and important symbols. This device of symbolism is portrayed well in the novel, especially through the scarlet letter A. The A is the best example because of the changes in the meaning throughout the novel. In the beginning of the novel, the scarlet letter A is viewed as a symbol of sin. T
Tennyson as a VictorianTennyson as a Victorian Tennyson as a Victorian The Victorian age was an age where many changes occurred socially, economically, and industrially. People began to explore into areas such as the earth, the human body, and how to benefit the daily lives of individuals. English literature was also something that was beginning to be developed. Historically, it began when Queen Victoria was anointed to the thrown in 1837 and brought a new prosperity to England. She held the throne for 63 years which
The American Education System: Cause for RebellionThe American Education System: Cause for Rebellion Kevin Stenger EN 102-07 Nov. 29, 1996 The American Education System; Cause for Rebellion If America’s Schools are to meet the needs of the twenty first century, they must be reinvented. It is not enough to try to fix the schools; they must be reconstructed in both fundamental and radical ways. The school system must be restructured. The future of the American public school system is significant because the maintenance of an informed and producti
The ChaseThe Chase The Chase from the view of the chased Leaving the jewelry store at a rather accelerated pace, a common, plain-clothed man with a parcel tucked under his arm jumped into his white, slightly dirtied Ford Bronco. He then hurriedly concealed the package under the front passenger seat making certain to prevent it from being seen from people passing by. He then tore out of the parking lot attempting to avoid drawing attention to himself or his accompanying bundle. He knew it would only be a
The EssayThe Essay It was March 15, 1997. The time too early to remember. What was clear however, was the fact that I was soon going to be on my own in a country where I did not know the language or the people that I would be meeting there and staying with. The adrenaline rushed through me as I packed the last of my things and ran out of the door. I closed the door to my house and jumped in the car. The idea of leaving America and going to Japan seemed to really not have hit me yet, but now that I look b
The Finger Lakes (CHaracter of a Place)The Finger Lakes (CHaracter of a Place) Chris Keil 10/29/96 College Writing Essay #3 Character of a Place Final Draft The Finger Lakes The Finger Lakes Region of western upstate New York possesses natural beauty and characteristics that make it an ideal area for residence and vacation. However, because of New York City, the state\'s defining attribute to many outsiders and locals, the Finger Lakes\' fruits are ignored and shared amongst a relatively small amount of people. In a state that bares
The gambles in lifeThe gambles in life The Gambles in Life When the word gamble is mentioned, many people think of money, but gambling is not limited to money. Gambling is simply the taking of a chance. Everyone gambles nearly all the time. We are all not gambling just for money. We gamble for practically everything. Children learn the concept of gambling very early. This concept continues throughout life. When children are very young, they will try different things to see what will happen. For instance, a child w
The gift of the magi, a continuationThe gift of the magi, a continuation THE GIFT OF THE MAGI It was one week from Della’s 30th birthday and Jim didn’t have enough money to buy her a present. “Well,” Jim thought, “if I don’t have a watch then why should I have a chain for one?” So, he sold his watch chain in order to have money for Della’s present. “Now, what do I buy Della?” he asked himself. “I think I’ll go to the flea market and look for something, because one little rusty old chain won’t buy me very much,” Jim stated as he st
The Importance of LiteracyThe Importance of Literacy Try and imagine our society without a common language. This could be quite a hard idea to fathom. Allow me to assist you. If this hypothetical idea were in fact true, a typical conversation between two individuals would be as follows: one of the two would begin the conversation by making noises representing their language, the other person would not understand these noises and respond with unrecognizable noises to the first individual. As you can well imagine, this wou
How Technology Effects Modern AmericaHow Technology Effects Modern America U.S. Wage Trends The microeconomic picture of the U.S. has changed immensely since 1973, and the trends are proving to be consistently downward for the nation\'s high school graduates and high school drop-outs. “Of all the reasons given for the wage squeeze – international competition, technology, deregulation, the decline of unions and defense cuts – technology is probably the most critical. It has favored the educated and the skilled,” says M. B. Zuckerman
Knowledge is Power: How To Buy A ComputerKnowledge is Power: How To Buy A Computer Buying a personal computer can be as difficult as buying a car. No matter how much one investigates, how many dealers a person visits, and how much bargaining a person has done on the price, he still may not be really certain that he has gotten a good deal. There are good reasons for this uncertainty. Computers change at much faster rate than any other kind of product. A two-year-old car will always get a person where he wants to go, but a two-year-old c
Legalization of Drugs: AgainstLegalization of Drugs: Against Everyone agrees that something must be done about the tremendous physical and emotional health problems that drug abuse causes. Concern about the abuse of drugs is so widespread that recent polls indicate it to be one of the most serious problems in today\'s world, threatening the security and freedom of whole nations. Politicians, health experts and much of the general public feel that no issue is more important than drug abuse. America\'s other pressing social pr
The Subjectivity of the Character 'Safie' in FrankThe Subjectivity of the Character \'Safie\' in Frankenstein The Subjectivity of the Character Safie in Frankenstein Even though she is only mentioned in Mary Shelley\'s Frankenstein for a relatively brief period, the character, Safie, is very interesting as she is unique from the other characters in that her subjectivity is more clearly dependent on her religion and the culture of her nation. Contrasts can be made between the Orient and the European society which attempts to interpret it. Ofte
BeerBeer Historically hops, yeast, malted barley, and water have all played the greatest and most important role in society. For almost 8000 years these ingredients have been mixed and have been appreciated by all classes of society in almost all civilizations. The old cliche accident is the mother of invention is a phrase that definitely holds true in the world of beer. The discovery was made way back when the Mediterranean region was the seat of civilization and barley flourished as a dietary st
Anabolic SteroidsAnabolic Steroids Description: Anabolic steroids are performance enhancing drugs. They are a synthetic form of the chemical testosterone that is normally found in the body. By taking anabolic steroids, a person\'s testosterone level can be raised up to a hundred times more than the usual amount of 2.5 to 10 mg. Per day. The increase in testosterone increases anabolic activity, which results in greater muscle bulk. It also increases protein synthesis and androgenic activity (enhanced secondary se
The Video Game WarsThe Video Game Wars The Video Game Wars Brian Paik Expository Writing 10/8/96 Video games are a big market these days. Within the past few years, the industry has boomed into a very large business. Within this business, there are three big companies are fighting to be the best. Nintendo’s N64, Sega’s Saturn, and Sony’s Playstation are the three main systems in this huge market. Because there are so many games for these systems, and because it is such a big business, stores specializing in only t
The Black MarketThe Black Market The Black Market is defined as people who engage in illicit trade. Smuggling of Nuclear weapons plays a role in this. The Russians, U.S., and other countries are involved. Russia has been one the move since the Cold War ended. The Russians position threat to many lives with nuclear sales. Many Russian affiliations and events are to blame including Russian Mafia, military intelligence, Trading Air, collapse in economy, and disgruntled Nuclear employees. Russian Crime organization
The Forbidden PawThe Forbidden Paw The Forbidden Paw Once, a very long time ago there was a crazy family that decided to go on vacation to Manakesh, Morocco. What a dump! Why would Princess Grace live in a place like this? , the father asked in a curious way. Dad, that’s Monaco. , the daughter replied with quite an annoyed tone to her voice. The family continued walking through the market, they saw a contortionist doing his acrobatic thing. I can do that, but I don’t want to. , replied the misfit son. (Who was o
Coca-Cola and its EvolutionCoca-Cola and its Evolution The Coca-Cola company started out as an insignificant one man business and over the last one hundred and ten years it has grown into one of the largest companies in the world. The first operator of the company was Dr. John Pemberton and the current operator is Roberto Goizueta. Without societies help, Coca-Cola could not have become over a 50 billion dollar business. Coca-Cola was invented by Dr. John Pemberton, an Atlanta pharmacist. He concocted the formula in a thr