Table of contents
1 Introduction 3
1.1 International Managerial Economics 3
1.2 Purpose of the report 3
1.3 Problem formulation 3
1.3.1 Description of the firm 3
1.3.2 Problem identification 3
1.3.3 Problem solving 3
1.4 Delimitations 3
2 Presentation of the firm 4
2.1 Bestseller 4
3 Market structure 5
4 PRODUCT AND PRICE 7
5 Value Creation 8
5.1 What is value creation and why is it so important? 8
5.2 Ways to create value 8
5.3 Capturing Value 9
6 Bestseller and transaction costs 10
6.1 Transaction costs in relation to Bestseller 11
7 Diversification 12
7.1 Cost of diversification 12
8 Porter's five forces 13
9 Blah 15
9.1 Bestseller's Organizational Architecture. 16
10 Problems for Bestseller 17
11 Conclusion 18
A Appendix 19
A.1 Log (project period) 19
1 Introduction
1.1 International Managerial Economics
International Managerial Economics is a subject we are attending at our first year. The subject is a guide to make a business successful, with using model, methods and theories from the business world.
1.2 Purpose of the report
The purpose of the report is to find a company, identify problems the company are going to face in the near future (or are facing right now) and find solutions for the given problems using relevant models and methods. The purpose is also identifying the company's strategy, structure and how they estimate prices.
1.3 Problem formulation
1.3.1 Description of the firm
Who founded Bestseller and when? How many employees are involved in the Bestseller group? Where does Bestseller focus their markets (import and export) ? which part of the world? Where does Bestseller's production take place?
1.3 ...