Business Proposal

Business Proposal

Technology has continued to improve over the years with no signs of slowing down. Consumers throughout the United States and many other countries rely on up to date technology for their day to day activities whether it be for school, business, or personal pleasures. In this paper I will be covering the Will Bury Company and how improving on certain process and procedures will benefit the company in the long run. I will also cover assumptions about the elasticity of demand, the market structure for the company, and I will analyze data to determine fixed and variable costs.

Assumptions and Recommendations

A few assumptions will need to be made in order to make a firm recommendation for the Will Bury Company. First, we will have to determine that this company is operating as a pure monopoly; which means that this is the only firm selling this product (McConnell, Brue, & Flynn, 2009). Second, full-time employees working more than 40 hours per week will not benefit in the beginning. Lastly, how much will the costs be to purchase a new digitizer?

Growth Revenue

The Will Bury Company is effectively workings as a monopoly, at this point there are no other companies that will infringe on his patent. Currently this company has no competition, so there is a chance to continue to increase revenue. According to McConnell, Brue, and Flynn, “pure monopoly is a market structure in which one firm is the sole seller of the product”. The next advantage is that he will need to develop a thriving pricing strategy, while keeping track of production cost. This process should start by establishing a website to commence his sales. The price was set at $10 for the older books and $15 for the new license; having sold 1,000 in the old books and 2,000 in the newer. The company realized that more of the newer book has sold compared to the older model, Will Bury Company must find a way to maximize the revenues for both books. It is apparent that the customer will pay...