Understanding Economic Concepts and Models - Article Review

This presentation explains the concept of microeconomics, demand and supply, elasticity in demand and supply, and the factors that influence the demand and supply of trampoline. It also discusses the law of demand and supply and their impact on the market trend.

BMP4003 Business Environment
Assessment 1 - Individual Presentation

Article Review - Economic Concepts And Models
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Table of content
 Introduction
 Summary of Given Article
 Concept of microeconomics
 Demand and supply
 Law of Demand
 Factors that influence the demand of Trampoline
 Elasticity in Demand
 Law of Supply
 Factors that influence the supply of Trampoline
 Elasticity in Supply
 Conclusion
 Reference

INTRODUCTION
 Economics refers to the social science which refers to
the understanding of in what way individuals allocate
limited resources for manufacture, delivery and
ingesting, together separately and conjointly.
 It is divided into two factors generally for
determining the behavior of each and particular
unit.

Summary of Given Article
 According to the article of BBC news, the prices of
transportation and port congestion is increase which also
increase the value of toys and games such as rubber play
chipping, rubber play bark etc.
 As per given article, the value of shipping a 40-foot
container is almost tripled since a year ago.

Concept of microeconomics
 Microeconomics is a branch of economics
that examines the characteristics of the
economic decision-makers, such as
individuals, consumers, and corporations.
 Microeconomics basically includes three
concepts such as marginal utility & demand,
elasticity of demand and elasticity of supply.

Demand and supply
 It refers the connection among the measure of a
product that manufacture want to trade at
numerous values in addition the measure which
consumer wants to purchase.
 The contact of law and supply in the market
place states the value of goods and services.

Law of Demand
 It explain that when all other aspects remain
same, the greater the value of product and
facilities then lesser individuals will
demand for same goods and services.
 There is an inverse relation between price
of a commodity and the demand of a
consumer.

Factors that influence the demand of Trampoline
 Value of product
 Taste and preference of consumers
 Availability of substitute products or brands

Elasticity in Demand
 Elasticity of demand is a crucial deviation in the
theory of demand. Elastic demand refers to the
change in the quantity demanded due to variation in
the price is high.
 The price elasticity of demand is calculated as
percentage chance in the demanded quantity divided
by the percentage change in the prices.

Law of Supply
 According to the law of supply, manufacturers
will increase their supply to the market when
the price is higher.
 In reference to article, price of trampoline is
increased due to increase in the shipping cost
and congestion.

Factors that influence the supply
of Trampoline
 Change in supply of related products
 Cost of production
 Government policies

Elasticity in Supply
 Supply elasticity is a measure of a producer's or
an industry's ability to adapt to shifts in the
demand for its goods.
 This includes other factors like the accessibility
of essential resources, technological advancement
and the quantity of goods produced by the
competitors.

CONCLUSION
 From the above report it can be concluded that the concept of microeconomic
plays important role to understand and examine the consumer attitude and
behavior.
 In another instance, it explains the fundamentals of microeconomic factors such
as demand, supply and elasticity which help organization to understand the
market trend.

REFERENCES
 DeBusk and et.al., 2022. Mismatch in supply and demand for neuro-ophthalmic care.
Journal of Neuro-Ophthalmology. 42(1), pp.62-67.
 Habib, K., Hansdóttir, S.T. and Habib, H., 2020. Critical metals for electromobility:
Global demand scenarios for passenger vehicles, 2015–2050. Resources,
Conservation and Recycling. 154, p.104603.
 Hwangbo and et.al., 2019. Hydrogen-based self-sustaining integrated renewable
electricity network (HySIREN) using a supply-demand forecasting model and deep-
learning algorithms. Energy Conversion and Management, 185, pp.353-367.

Thank you