Organizational Economics Final Case Study Instructions Your ✓ Solved

Organizational Economicsfinal Case Study Instructionsyour Final Case S

Organizational Economicsfinal Case Study Instructionsyour Final Case S

Your final case study paper should be 6-8 pages and will consist of 5 sections (each about 1.5-2.0 pages). The first section should be an overview of the company Verizon :

  • What does the company do?
  • What product or service does it offer?
  • Where is it located?
  • Who are its main competitors?
  • What is the market structure (e.g., pure competition, monopoly, oligopoly, etc.)?
  • How is it regulated?

This first section should provide a background or baseline understanding of the company in support of the rest of the paper. For the remaining four sections, include:

  • A demand analysis illustrating the most applicable terms, concepts, or ideas in Chapter 3 to include the following – consumer behavior (purchasing power and substitution effect), targeting, switching costs, positioning, price elasticity of demand (demand determinants), interpreting income and advertising elasticity.
  • A pricing analysis illustrating the most applicable terms, concepts, or ideas in Chapter 14 to include the following – value in use/value-based pricing (product specifications, ease of use, service frequency, change order responsiveness, loyalty programs, and empathy in order processing), couponing, bundling, price discrimination, and price skimming versus full-cost pricing.
  • A “What they got wrong” analysis detailing a strategy mistake using the course concepts.
  • A “What they got right” analysis detailing a strategy win using the course concepts.

If you are having trouble addressing or finding enough information for any of the sections above, you can augment your analysis by articulating what you think the company should do. For example, if you can’t find any information on your company’s value-based pricing, explain how you would price the product or service and why. This is Organizational (managerial) Economics; make some decisions on behalf of your company and support them using concepts and ideas from the course! The goal of this paper is to illustrate that you understand the concepts covered in this course and that you can apply them to a real company. Remember to document or source borrowed research using the standard APA citation style.

Extensive quoting is not necessary (and not additive to your grade). Reference the source, but, to the extent possible, explain the concept or strategy in your own words. For example, if you find a great article on your company’s pricing strategy, explain the article and concepts in your own words and source it. Do not cut and paste long passages of text. The paper should be 6-8 pages (or more) double-spaced, size 12 font Times New Roman, Calibri, or Cambria.

The final paper is due on Sunday of Week 13. A minimum of 200 words each question and References (questions #1 - 4). Each question should have an answer that is about 1000 words, incorporating 10 credible scholarly sources with in-text citations and hyperlinks. The questions are:

  1. Choose a perceptual difference that demonstrates an irregularity or dysfunction in one of the projection pathways. Explain how it could affect everyday life.
  2. What are some of the differences in processing in the dorsal and ventral visual pathways? Imagine you have a friend who has an injured dorsal or ventral visual pathway, describe what that looks like, what deficits would be in their daily functioning, what remains intact.
  3. Compare and contrast early and late selection models of attention, and provide examples of each.
  4. Describe blindsight and unilateral neglect and explain the contribution of these phenomena to researchers’ understanding of consciousness and attention.

Note: Ensure all responses are grounded in credible scholarly sources, use APA citations, and hyperlink sources where applicable.

Sample Paper For Above instruction

Introduction

Organizational Economics plays a crucial role in understanding how companies strategize and position themselves within competitive markets. This paper aims to analyze Verizon, a leading telecommunications company, through demand and pricing analyses, while also evaluating strategic successes and failures based on course concepts.

Company Overview

Verizon Communications Inc., headquartered in New York City, is a global leader in telecommunications, offering wireless communications, broadband services, and enterprise solutions. Founded in 1983 as Bell Atlantic, Verizon evolved through mergers and rebranding to become one of the largest providers of mobile and fixed-line services in the United States. Its main products include wireless voice and data services, fiber-optic internet, and cloud solutions. Verizon operates under a highly regulated environment, with federal and state agencies overseeing spectrum allocation, pricing regulations, and consumer protection laws. The market structure is best described as an oligopoly, dominated by a few key players including AT&T and T-Mobile, where barriers to entry are significant due to high capital costs and spectrum licensing requirements (Besen & Fox, 2018).

Demand Analysis

Verizon’s demand is influenced significantly by consumer behavior such as purchasing power and substitution effects. As an example, consumers with higher income levels are willing to pay premium prices for better coverage and service quality, reflecting in inelastic demand for such services. Conversely, high availability of substitutes like T-Mobile or AT&T creates switching costs that impact demand elasticity. Consumers’ targeting by Verizon involves capturing urban, enterprise, and high-income segments through tailored plans and branding focused on reliability and coverage. The elasticity of demand for Verizon’s services varies depending on the product; premium plans tend to have inelastic demand due to brand loyalty, whereas entry-level plans exhibit more elastic demand driven by price sensitivity (Katz & Shapiro, 1986). Income elasticity indicates that as consumer incomes rise, demand for premium telecommunications services increases, aligning with the company’s strategic targeting of affluent markets.

Pricing Strategies

Verizon employs value-based pricing by emphasizing quality, coverage, and customer service, which adds value in use for consumers willing to pay a premium. Loyalty programs, such as discounts for long-term contracts, serve to reinforce customer retention and reduce churn. Bundling services like mobile, internet, and TV creates perceived value and allows for price discrimination, where customers pay based on their willingness to pay. The company also uses price skimming during new product launches, setting high initial prices to maximize early revenues before gradually decreasing prices to attract broader segments (McAfee, 2014). These strategies enable Verizon to optimize revenue while maintaining competitive positioning.

Strategic Failures

One significant mistake Verizon made was under-investing in advertising and brand visibility, especially in a market where competitors actively use marketing to attract customers. This oversight resulted in missed opportunities to strengthen brand loyalty and expand customer base. Additionally, the franchise system in certain regions reduced centralized control, limiting consistent quality and customer experience. Such weaknesses allowed competitors to gain ground, especially through aggressive marketing campaigns and improved service offerings (Chun, 2016).

Strategic Successes

Verizon’s strategic focus on network quality and technological innovation, such as early deployment of 5G, has positioned it as an industry leader. Its strong supplier network ensures continuous availability of cutting-edge equipment, reducing costs and improving service reliability. Furthermore, Verizon’s investment in infrastructure appeals to high-value corporate clients seeking secure, reliable connectivity. This focus has resulted in competitive advantages, higher user satisfaction, and sustained profitability.

Conclusion

Verizon’s strategic decisions rooted in demand management and value-based pricing demonstrate comprehensive understanding of organizational economics concepts. While areas such as advertising and regional control could be improved, Verizon’s focus on quality and innovation sustains its competitive edge. Future strategies should address identified weaknesses to enhance market share and customer loyalty further.

References

  • Besen, S. M., & Fox, C. (2018). Spectrum allocation in telecommunications: Impact on competition. Telecommunications Policy, 42(9), 856-863. https://doi.org/10.1016/j.telpol.2018.05.005
  • Katz, M. L., & Shapiro, C. (1986). Technology adoption in the presence of network externalities. Journal of Political Economy, 94(4), 822-841. https://doi.org/10.1086/261453
  • McAfee, R. P. (2014). Pricing strategies in telecommunications. Journal of Revenue & Pricing Management, 13(4), 273-281. https://doi.org/10.1057/rpm.2014.10

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