Running head: LEARNING TEAM B WEEKLY REFLECTION WEEK FOUR

Learning Team B Weekly Reflection Week Four Arneko Harris, Lawrence Norton, and Stephen Yanez ECO/561 November 19, 2012 Assefa Muluneh, Ph.D

LEARNING TEAM B WEEKLY REFLECTION WEEK FOUR

Learning Team B Weekly Reflection Week Four

Market Structures This will be very helpful in my business, having a great understanding of market structures and how they work. The key is to determine how the different markets can benefit my business. Monopoly the only way this market structure can possibly benefit our business is to one develop a unique product or develop a business relationship with a government agency and we are the only company providing goods and services. No bid contracts. Oligopoly Market is a strong possibility for our firm to have only two to three mechanical contractors/companies to compete with. When the economy is very healthy less mechanical contractors want to do business with the government due to excessive red tape or excessive paper work. Typically the government agencies require extensive back ground checks, drug testing, and security procedures to enter the building or facilities. Most small contractors do not want to do not know how to do business with the government. Therefore this creates an untapped market for the companies that know how to do business. I discovered this Monopoly Market some years ago 2005. I decided to create a need for our company services. By performing exceptionally well on new construction and renovation projects. Monopolistic Competition not used. Pure Competition Market in 2008 residential contractors started to enter the commercial market due to housing collapse and tried to maintain business operation. This only created Pure Competition for our company. The government agencies invite this type of market because they get to compare pricing and buy low as possible. The residential division of our business will

LEARNING TEAM B WEEKLY REFLECTION WEEK FOUR

always be in a Pure Competition Market, due to technicians starting their own businesses. This devalues the service industry because the newly start up small businesses do not know how to price the goods and services which decreases prices.

With our reading assignment for week four I felt comfortable with chapter twenty-six. It gave me an understanding to where the economic has gone through the past five years. Learning about the business cycles is not new to me. As Portfolio Specialist and studying for the series 7 license exam I had to learn about our business cycles and how they worked. Chapter twenty-six explained the business cycle and the different phases that it goes through. As I was studying for the exam I came across this section but didnt have a clue or understanding of what it all meant. As I read through the chapter I wanted to spend time on this topic because we have gone through a recession and I wanted to have an understanding to what went on during that period in the United States. The business cycle has four phases: the peak, recession, trough, and expansion. The chapters that I struggle with this week were chapters twenty-eight and twenty-nine. Again, I have had the hardest time with trying to get a handle on any topic that deals with equilibrium and Demand and Supply. When it comes to formulas and graphs its hard for me to figure the graphs and what to input to get that answer.