BUS650 Managerial Finance - Assignment 1 Financial Management Challenges

May 22nd, 2016
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Financial Management Challenges - Wk1 Assignment 1

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RUNNING HEAD: FINANCIAL MANAGEMENT ENCOUNTERSTwo Companies - Financial Management EncountersYour NameBUS650Instructor:May 22, 20161Financial ManagementTwo Companies - Financial Management EncountersThe video Microeconomics: Understanding the Market System, we know that thereare four dissimilar forms of markets; perfect competition, monopolistic competition,oligopoly, and monopoly. The four categories of marketplaces are reputable methods used tosell goods to consumers, yet some of these strategies are no longer being used. Perfectcompetition is described as many companies that are selling an identical product, Inperfectly competitive product markets, no single producer has an advantage in cost, productquality, distribution, or any other aspect of the business, and consumers substitute items fromone producer for those from another, basing their decisions exclusively on price. (Byrd,2013). Each business is considered a price takers, all firms have a comparatively trivialmarket share, and consumers identify the individualities of the product being sold and thevalues of the product being charged by each firm. Companies that sell merchandises in aperfect competition marketplace are highly competitive and each will try to distinguish theiritem from each other.Therefore one of the financial managers biggest challenges is competitiveness in themarketplace and differentiating their company from the competition. Microsoft has been oneof the compani

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