Article
http://www.edn.com/article/509611-iPhone_4_supply_and_demand_issues_could_hurt_Apple_brand.php
Summary
Apple had only recorded 600,000 iPhone 4s for the pre-order which could mean trouble for their sales. This prompted Apple as well as its carrier AT&T to delay pre-ordering dates after just one day from June 14 to July 2 and then to July 14. The problem with this is that there are many competitors on the market which consumers could turn to easily. Apple is the third smart phone player on the market behind Nokia Corp and RIM and although North American consumers don't have many alternatives other regions in the world have many other options. Apple has many loyal fans but this mistake with their supply and demand will definately hurt their sales in the long run.
Connections
The article addresses a mistake Apple had made with their supply and demand extending the pre-order date of their new iPhone 4. Although the iPhone 4 is highly sought after this will greatly effect their sales because many consumers will not be patient enough to wait for the release of the iPhone especially with so many alternatives on the market. The sales have been great but the problem is that there is simply too much competition and substitutes that are just as attractive as the iPhone 4. What Apple should do is increase their supply next time around because they have a product that will always sell.
Reflections
I am not a iPhone4 user or a loyal fan of Apple and this would probably deter me from purchasing an iPhone4 simply because of the availability. There are many other phones on the market that appeal to me with cheaper price tags and similar capabilities. I am sure many other consumers feel this way and will simply purchase what is at hand as long as the product can satisfy their needs. However a large percentage of their phones will still be bought by their avid fans who are willing to spend big money on anything with an apple label.
Thursday, November 4, 2010
Monday, September 20, 2010
Scarcity
Chapter 1
Summary
Water, the ingredient for life and the most important resource in the world is running dry. With overpopulation and mediocre water regulating systems water stress will be predicted to effect half of the worlds population by 2030. There has been the same amount of water on the Earth since the period of the dinosaurs and we have to share clean water with the rest of the 6.7 billion people in the world. A report by the World Economic forum has said that the lack of water will "soon tear into various parts of the global economic system" and "start to emerge as a headline geopolitical issue". and it also adds: "The financial crisis gives us a stark warning of what can happen if known economic risks are left to fester. We are living in a water 'bubble' as unsustainable and fragile as that which precipitated the collapse in world financial markets. We are now on the verge of bankruptcy in many places with no way of paying the debt back." The effects of water deprivation will even increase the risk of international and national conflicts as nations fight over the dwindling supply of water.
Connection
The article relates to Chapter One - Scarcity which in economics is defined as "an insufficient amount of supply" Where anything that is limited is scarce and will need to be regulated. Almost everything on the planet is scarce and although there are unlimited resources such as air the article mentioned refers to the scarcity of water on the planet.
The scarcity of water is due to the high demand and the many uses of water from cleaning to cooking to consumption,etc. With so many people on the Earth the demand is too great and the supply is too limited, and because the population is exploding and we are using the resource faster then it can replenish itself we are in a dilemma. As the reservoirs run dry tension between countries faced with drought will result in conflict and the way we deal with the problem needs to be addressed.
Reflection
There has been a lot of concern and criticism about how our water supply is being dealt with and the best way to track the usage of water and reduce it. Although the problem is not as immediate with first world countries where water is plentiful and clean it will still effect us by increasing the price of bottled and tap water due to the limited amount of water. The consequences will be felt much harsher in third world countries where people will die due to thirst or polluted water.
Source
http://www.independent.co.uk/environment/climate-change/water-scarcity-now-bigger-threat-than-financial-crisis-1645358.html
Summary
Water, the ingredient for life and the most important resource in the world is running dry. With overpopulation and mediocre water regulating systems water stress will be predicted to effect half of the worlds population by 2030. There has been the same amount of water on the Earth since the period of the dinosaurs and we have to share clean water with the rest of the 6.7 billion people in the world. A report by the World Economic forum has said that the lack of water will "soon tear into various parts of the global economic system" and "start to emerge as a headline geopolitical issue". and it also adds: "The financial crisis gives us a stark warning of what can happen if known economic risks are left to fester. We are living in a water 'bubble' as unsustainable and fragile as that which precipitated the collapse in world financial markets. We are now on the verge of bankruptcy in many places with no way of paying the debt back." The effects of water deprivation will even increase the risk of international and national conflicts as nations fight over the dwindling supply of water.
Connection
The article relates to Chapter One - Scarcity which in economics is defined as "an insufficient amount of supply" Where anything that is limited is scarce and will need to be regulated. Almost everything on the planet is scarce and although there are unlimited resources such as air the article mentioned refers to the scarcity of water on the planet.
The scarcity of water is due to the high demand and the many uses of water from cleaning to cooking to consumption,etc. With so many people on the Earth the demand is too great and the supply is too limited, and because the population is exploding and we are using the resource faster then it can replenish itself we are in a dilemma. As the reservoirs run dry tension between countries faced with drought will result in conflict and the way we deal with the problem needs to be addressed.
Reflection
There has been a lot of concern and criticism about how our water supply is being dealt with and the best way to track the usage of water and reduce it. Although the problem is not as immediate with first world countries where water is plentiful and clean it will still effect us by increasing the price of bottled and tap water due to the limited amount of water. The consequences will be felt much harsher in third world countries where people will die due to thirst or polluted water.
Source
http://www.independent.co.uk/environment/climate-change/water-scarcity-now-bigger-threat-than-financial-crisis-1645358.html
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