Bp Connect's Revenue

Question 1 – Discuss BP Connect's revenue stream prior to and after the introduction of BP Connect.

Technology has contributed a lot in making the use of money more frequent and fast in multinationals like BP Connect. For example, in BP Connect before the advent of internet, could have purchased an Indian carpet only when he or one of his friends visits India. But now, he can order it on e-bay in the middle of the night. It has connected all the computers in the world so that money can be exchanged more frequently as never anyone has ever imagined (Ref: Bordo, Michael D.; Jonung, Lars. (1997). Economic Inquiry. New York Times)

Velocity of money = P.T/N

Where P = price level

T = a “real” aggregate value of transactions

M = Total amount of money in circulation on average in the economy

Question 2 - What needs is BP Connect meeting for the customer?

Answer: BP Connect develops a search engine which provides a quick set up application which will enable the customers to a great help (2). Other than this, the overall experience and other stuffs is found to be personalized according to the needs and comfort level of the customer in BP Connect. There is an inventory management package which is a software tool to deal with certain activities of BP Connect such as commission.

Question 3 - Why do you think BP changed its product offering?

Answer: The strategy behind trying to figure out what customers needs and wants are and trying to supply it to them.

pricing of products and services of BP Connect focuses to get an advantage in developing and forming a strong brand image in a competitive market. Their goal is to trying to figure out what customers needs and wants are and trying to supply it to them.

concentrate on the common features of imperfectly competitive industry for producers to focus on non price competition.

• The unit costs of producing the given demand should not be high as they will eliminate the advantage that the...