If a firm wants to maximize profits , it must give careful attention Essay

If a firm wants to maximize profits , it must give careful attention to its pricing decisions .under what conditions does this statement have relevance what a - Essay Example Profit is the difference between the total revenue and total costs of a business enterprise. Profits are considered to arise either as rewards for risk taking or due to the imperfections in the economy or as reward for innovations, according to economic theories (Dean 1977, pp. 5 – 9). Rewards for risk taking: Entrepreneurs are essentially people with the ability to take risks. The risk involved is, to be prepared to accept as their share of the (monetary) value of the enterprise activities, after all costs have been provided for. What is left may be losses or minimal profits or more than reasonable profits. It is this risk that entitles the entrepreneur to keep for himself whatever is left at the end of the day. This is his profit. A good example of the reward for risk taking is photocopying business. When the plain paper photocopying technique was invented, it was a risky business to invest in, as the future would be that of ‘computerized paperless offices’. Rank Xerox Corporation, on the other hand, was willing to accept the risk and acquired the technology and patent rights. The stupendous success of this decision and the great revenues that it brought to Rank Xerox, are legendary (www.xerox.com). Imperfections in economy: According to this view, profits arise due to ‘†¦the imperfections in the adjustment of economy to change’ (Dean 1977, p.8). Imperfection refers to the competitive situation. There is a time lag between the occurrence of a change and the return of the market to near-perfect competitive position or equilibrium, and it is during this time of absorbing the change that profits accrue. An example of this type of opportunity is the occasional shortage in supply of food grains due to bad weather or crop failure and the time lag before a government takes corrective actions for increasing supplies through imports etc. Reward for innovation: In this third view on how profits arise, it is postulated that profits are what the

Portfolio Project (350 Points) The Portfolio Project is due at the end Term Paper

Portfolio Project (350 Points) The Portfolio Project is due at the end of Module 8. Read the following description carefully. C - Term Paper Example Lastly, it reflects on how the digital aspects have influenced the rise of secular religions with its popularization. Metzger, M. J., & Flanagin, A. J. (2008). Digital media, youth, and credibility. Cambridge, Mass: MIT Press. This book portrays the way society has unlimited access to broad spectrums of information through extremely portable and easy to access digital forms as compared to the past. It expounds on the comfort brought by the availability of media tools as forms of entertainment and quality information providers. It also touches on the youth as possible audiences and implementers of the same. In addition, it emphasizes on the need by the youth to use the internet as a health information seeking to tool for their personal gain. Miller, R. (2008). Digital art: Painting with pixels. Minneapolis, MN: Twenty-First Century Books. In this book, the digital form of art is on the spotlight by giving the meaning of this art form then building up on its impact on culture. It diffe rentiates the digital way from the traditional form of artistry by presenting its historic background. Additionally, the book encompasses how technology in the digital world has evolved to give birth to sophisticated outputs in the advertising field. Lastly, it gives insights in to contemporary art and the influence that the tool has on cultural growth. Morgan D. (2008). Key Words in Religion, Media and Culture. Taylor & Francis: London. This book is an introduction to cultural interrelation between the digital media and religion. It gives the extent to which the media tool has affected important concepts within the religious walls. Morgan has incorporated a number of scholars in this book to bring out seasoned rationale revolving around inquisitions on the constitution of culture. it provides a basis in to which future generations may refer to when it comes to leads towards theological explanations in the future through the digital media. Finally, it gives insights in to the curios ity that has led to the inception of secular religions and idol worship as part of the digitally revolutionized culture. Ricardo, F. J. (2009). Cyberculture and new media. Amsterdam: Rodopi. In his book, Ricardo depicts the state of the exposure in which the youths have used the digital forms for their own selfish gains. It reflects how distant the youths have gone in terms of the basic concept of internet use. It highlights on the other ways in which the youths have conveniently applied the virtual concepts to promote moral decay and immoral creations. Ideally, it is a study guide that shows disconnect between self-ideologies and societal culture. Shelly, G. B., Cashman J.T., Gunter A. G., Gunter R.E. (2008). Teachers discovering computers: Integrating technology and digital media in the classroom. Boston, Mass: Thomson/Course Technology. The projections in this book explain the transformation of the educational sector concerning dynamic approaches of advanced learning. It covers o n digitized media concepts in relation to the advancement in technological forms of simplified learning. It also depicts the ease within which instructors find their carriers to be more fulfilling than that of past tutors because of the remarkable aspect of simplified learning. Straubhaar, J. D., LaRose, R., & Davenport, L. (2012). Media now: Understanding media, culture, and technology. Boston, MA: Wadsworth/Cengage Learning. This book