Thinking in terms of the hotelling model assess the following situation: The sma

Question

Thinking in terms of the hotelling model assess the following situation: The small city of Le Locle has been served by the same local newspaper, the Le Locle Tribume. It is written in a failry conservative style yet the demographic of Le locle is comprised of avid readers from a broad spectrum of political dispositions. A new rival newspaper called the Le Locle Examiner has entered the market. Each paper can be delivered, purchased at local news stands and is available on line. a. What would you expect the degree of price competition to be like between the two firms? b. along the spectrum of liberal to conservatice, what style might Le Locle be expected to be written in? Explain your answer.

Explanation / Answer

a. the degree of price competition is high between the two firms, becasue there are no rivals from the market apart from these two. so, the action of one show impact on the other in all dimensions.

b. they need to be present only facts in an attractive way to the people and readers. and they need to be some what aggressive for this,otherwise they may lose their market to the competitors.

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.