Take any company dealing in digital goods. Except “Make my Trip”, “Adobe Inc”, “Zomato”, “Apple”, “Uber”, “Google”, “Netflix”

INSTRUCTIONS TO CANDIDATES

ANSWER ALL QUESTIONS

1: 

Take any company dealing in digital goods. [ Except “Make my Trip”, “Adobe Inc”, “Zomato”, “Apple”, “Uber”, “Google”, “Netflix” as other members have already taken this companies ]

Describe the cost structure- (keep in mind: high fixed costs, high sunk costs and very low variable costs so that if it has to base it on MC based pricing, it will be near zero.)

What then is its pricing based on, if not costs? - present its pricing as it is, and what the pricing strategy should be for the information/digital product of your Company. . 

2:

Having dealt with the complex role of the regulator in the case of Near-Monopolies, Monopolies and Potential Monopolies, would not it be easier to ban such entities(firms) and do away with them? Why can’t we have a competitive market structure right through- a first-best state of affairs?

 Explain why that is not a feasible proposition. 

Explain why a dead weight loss is inevitable for Vaccine pricing the way we have it in India.

 

 

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