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None Example None – Coursework Example Price Ceiling January 11, Price Ceiling Price ceiling is implemented in a bid to avoid consumer exploitation by ensuring that the basic commodities are available at affordable prices. In the oil industry, the prices have been sky rocketing thus adversely affecting the economy. This is mainly because it constitutes a significant percentage of energy sources. In the implementation of price control, consideration on the cause of rise in fuel prices should be considered. In some instances, the main cause of the rise in the prices is the shortage in supply. Under such circumstances, price ceiling is not a solution. As such, increasing production and use of other alternative sources of energy could be the ultimate solution (Whittington & Delaney, 2011). The forces of demand and supply determine the equilibrium point. As such if the price ceiling is above the equilibrium price, then it has no effect on the economy. When price ceiling is below the equilibrium price, adverse consequences such as supply shortage due to increased demand and reduced production as a larger group of the population will be able to purchase the commodity (McEachern, 2011). Moreover lowering of quality in a bid to reduce production cost, discrimination, and the increased use of black market is evident (Arnold, 2010). Due to the shortage, queuing for the product is evident with the elderly and physically challenged being disadvantaged. This is usually addressed through rationing. When operating in the black market, the customers are not protected and therefore they could encounter violence or even theft (Mankiw, 2011). Thus, when the gasoline prices rises above $4 and the government places a price ceiling, consideration is necessary as if implemented for long could have adverse effects on the economyReferencesArnold, R. A. (2010). Microeconomics. Stamford, Connecticut, USA: Cengage Learning. Mankiw, N. G. (2011). Principles of Microeconomics. Stamford, Connecticut, USA: Cengage Learning.McEacher n, W. A. (2011). Macroeconomics. Stamford, Connecticut, USA: Cengage Learning.Whittington, O. R. & Delaney, P. R. (2011). Wiley CPA Examination Review, Outlines and Study Guides. Hoboken, New Jersey: John Wiley & Sons. None Example None – Essay Example Contrast between the approach employed by Mahathir towards the indigenous business people in Malaysia with the one taken by Suharto in Indonesia. Thepolitical regime in Malaysia is composed of a multi-party system. Its political process is "consociationalism" meaning, the interests of the community are resolved within the grand coalition framework. Over the recent years, there has been increased media coverage in politics making it transparent to the citizens. Malaysia is a multi-cultural nation whose population comprises of three main groups namely ethnic Indian, ethnic Chinese and Bumiputera. Of the three groups, the Bumiputera are the indigenous people. During the period of British rule in Malaysia, the ethnic Chinese grew to be the dominant ethnic group in the Malaysia’s business sector. This brought tension between them and the Bumiputera after independence. This led to the adoption of a new economic policy in an attempt to equalize power between the Chinese minorities who were dominant in business with the Bumiputeras. This economic policy was instituted by Mahathir bin Mohamed, Malaysia’s Prime Minister in 1981 (Gomez and Jomo 1997). Gomez and Jomo (1997) explain that the new business policy was meant to equalize business power between the Bumiputera, and the ethnic Chinese. Through this policy, Mahathir gave preferences to Bumiputera, the indigenous Malaysian over the ethnic Chinese. For example, it required that companies which exceeded a certain size should have a Bumiputera partner. Though the policy did not last long, it brought long lasting harmonious existence in the business sector between the two groups. In the other hand, ethnic Chinese comprise just a small percentage of the Indonesian population. Despite this, they also control a bigger share of the wealth of the nation (Victor 1992). This greatly disadvantaged the indigenous Indonesian business people given the existing economic policies that did not fight for them. For example, during the time of the reign of Suharto, he favored the economic aspects of Chinese. Suharto’s favor towards the economic aspects of the Chinese caused the Chinese business community to be advantaged over the indigenous business community for a long time. As a result of this, the indigenous people held sentiments towards this (BBC News). We can therefore say that Suharto failed to accord equal opportunities for the indigenous business as compared to Malaysia’s Mahathir. This situation led to hatred towards the ethnic Chinese in Indonesia. Recently, there has been violence in Indonesia which target the ethnic Chinese population. Conclusion Mahathir towards the indigenous business people in Malaysia entailed the equalization of business power between the indigenous Bumiputeras and the ethnic Chinese. Contrastingly, Suharto’s approach to did not offer such equal opportunities for business to the indigenous business people. As a result of the two contrasting approaches, Malaysia has become an example of interethnic harmony during the period of economic crisis opposed to Indonesia where thousands of ethnic were massacred during the 1997, anti-Chinese riots. Such hatred emerges from the sentiments held by the people towards being disadvantaged economically in their own country. References BBC News (21st May, 1998). The role of ethnic Chinese. Online: http://news.bbc.co.uk/2/hi/events/indonesia/your_comments_so_far/93837.stm. Viewed on 25th May, 2011. Gomez Edmund and Jomo, K. (1997). Malaysias Political Economy: Politics, Patronage, and Profits. Cambridge University Press. Cambridge. Victor David (1992). International Business Communication. HarperCollins. New York. Discussion questions 1. What motivated Suharto to have a discriminative approach to the indigenous business people? Chinese are naturally business people and their involvement in Indonesian business was likely to drive the country’s economy to greater heights. The Chinese were more able in terms of capital which encouraged the seting up of private businesses to boost the economy. Suharto had married a Chinese woman 2. Did Suharto’s approach to the indigenous business people disadvantage them alone the whole economy? It led to increased food prices It lowered employment rate as Chinese firms imported cheap labor from china Led to a substantial net flow of profits as Chinese businesses channeled profits to their home country. None Example None – Coursework Example Buy one, get one free Buy one; get one free is a sales promotion strategy usually adopted by marketers to attract s. They know the psychologyof the consumers very well and try to exploit it with help of ads like these. It should be noted that no non-charitable business groups can offer anything free to the customers. If they offer something free, definitely that price of the free product will be included in the price of actual product purchased. It is evident that a business group cannot survive for longer periods if they keep on providing free gifts to its customers. The prices of products offered on â€Å"buy one get one free† basis often end up in buying two products at the regular price. For example, if the seller offers you a product for $ 500 on buy one get one free basis, the actual price of the single product could be $ 250 only. In other words, â€Å"the markets have priced the free item into the price of the first item† (Lu) Consumers may not aware of it and t hey will be trapped by the marketers. In normal cases, it is not necessary for the governments to regulate promotions like these since business groups have the right to publish eye catching advertisements to attract customers. However, it is the duty of the governments to warn the people about the baselessness of such advertisements. It should be noted that tobacco companies need to display the statutory warning against smoking on all advertisements. Governments can think in terms of enforcing such measures on buy one get one free ads also in order to warn the people about the tricks involved in such ads. To conclude, buy one get one free is a fraudulent marketing activity performed by business people to attract customers and it should be regulated with the help of laws. Works citedLu Xin. â€Å"Why "Buy One Get One Free" Is Usually A Bad Deal†. 2008. Web 05 January 2012.