Will Bury

Will Bury's Price Elasticity Scenario

Abstract

Entrepreneur Will Bury has developed and patented technology that takes printed word for text materials and creates a file with the option of reading it digitally or listening to it with a very realistic synthetic voice (University of Phoenix, 2009). Currently Will operates the business from home and does all the work. As an entrepreneur Will’s goal is to make a profit and be successful so the time has come for some business decisions to be made. The following concepts are being taking into consideration by Will in the decision making process: economic resources, opportunity costs, production and costs, marginal analysis, and demand and supply followed by a conclusion.

Economic Resources

One of the economic resources is being an entrepreneur. As an entrepreneur the following must be achieved: taking initiative, making strategic business decisions, being an innovator, and risk bearer (McConnell & Brue, 2005, p. 23). Convinced that the future was going to be digital reading or listening, Will capitalized on experience to develop the technology to implement the digitalization. As an entrepreneur Will should define the goals and expectations of the business.

Opportunity Costs

Will has some strategic decisions to make regarding his family and occupation. Currently Will has a full-time job which enables his family to a comfortable lifestyle. The sacrifice endured while working and developing the technology has been family time. “Economist refers to these sacrifices as opportunity costs (McConnell & Brue, 2005, p. 4).” In order to create this technology Will has willingly given up time with his family. If the business becomes a success then Will has to make the decision about employment. The more successful business becomes since he works alone the greater the opportunity costs.

Production and Costs

The books that have been digitally enhanced are primarily ones that copyrights have expired with free access. The...