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Economic Analysis Exercise

Farnham, P. G. (2010). Economics for managers (2nd ed.). Upper Saddle River, NJ: Pearson Education Inc., Published as Prentice Hall.
Applications Questions 1, 2 and 3 in Chapter 16.
Description:
1. Compare and contrast McDonald’s strategies in China with those of Wal-Mart in Mexico.
2. What role did the policies of various governments play in influencing the international expansion strategies of both McDonald’s and Wal-Mart?
3. What variables other than price appear to have the biggest impact on the demand for McDonald’s products? How much influence does the company have over these variables?
4. In recent business publications, find a case study in which changes in the macro environment play a major role in influencing a firm’s competitive strategy. Contrast this with a second case in which micro factors play a more important role.
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