The above figure gives a clear demarcation between supply and demand. Once supplies decrease, prices tend to rise with demand. This can be overcome by strengthening the workforce to produce more. This directly leads to more employment opportunities, a definite increase in the national GDP, demand for better and much improved systems, and hike in government revenues. On the demand side the use of wireless technology enhances the performance of American conglomerates, which has access to the latest technology involving wireless voice services and wireless data services.
When the demand for wireless phones increase, it’s but natural to interpret that the business community is healthy and vibrant. No longer do individuals need to climb the walls to do business. However, all of the effects which are described above have already happened. Has wireless technology begun to experience a decline in marginal revenues? If that be the case, production would stagnate for insufficient orders and labour cuts would be effected. Therefore, the incorporation of new features through advanced technology is imperative for growth. Consumers’ interests must be tickled and they should be encouraged to continue their buying trend.
The market will also continue to grow along with the latest technology. Who would want to be tied down with the same old technology and features? It’s no good to do business that way, for the loss of business is the loss of the economy. The market must be encouraged to innovate and bring about changes from time-to-time. Take for example the automobile industry. Japanese car manufacturers work tirelessly to introduce new models and features to their existing models to rekindle the interest of the consumer. There may be a handful of people around who still love their 60s and 70s car.
The same thing should and will happen in the wireless mobile industry. Schumpeter (1934) described the concept of creative destruction. To develop new technology requires resources (finance, know-how and raw material); however, in a competitive economy this means either making existing products more efficient or channelling resources from other projects to improve existing product. Either way, to bring new features into mobile phones, old ones must be removed from the market. Not surprisingly, most mobile phone outlets offer spot exchange on old telephones; an incentive to encourage sales.
Soruce: http://businessays.net
When the demand for wireless phones increase, it’s but natural to interpret that the business community is healthy and vibrant. No longer do individuals need to climb the walls to do business. However, all of the effects which are described above have already happened. Has wireless technology begun to experience a decline in marginal revenues? If that be the case, production would stagnate for insufficient orders and labour cuts would be effected. Therefore, the incorporation of new features through advanced technology is imperative for growth. Consumers’ interests must be tickled and they should be encouraged to continue their buying trend.
The market will also continue to grow along with the latest technology. Who would want to be tied down with the same old technology and features? It’s no good to do business that way, for the loss of business is the loss of the economy. The market must be encouraged to innovate and bring about changes from time-to-time. Take for example the automobile industry. Japanese car manufacturers work tirelessly to introduce new models and features to their existing models to rekindle the interest of the consumer. There may be a handful of people around who still love their 60s and 70s car.
The same thing should and will happen in the wireless mobile industry. Schumpeter (1934) described the concept of creative destruction. To develop new technology requires resources (finance, know-how and raw material); however, in a competitive economy this means either making existing products more efficient or channelling resources from other projects to improve existing product. Either way, to bring new features into mobile phones, old ones must be removed from the market. Not surprisingly, most mobile phone outlets offer spot exchange on old telephones; an incentive to encourage sales.
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