微观经济学第13A 垄断竞争.ppt

* * * * * * The demand for a firm’s differentiated product in monopolistic competition Remind the students about the ceteris paribus condition that defines a demand curve. Along the demand curve for Nike tennis shoes, the prices of Adidas, Fila, Head, K Swiss, Prince, Reebok, and Wilson tennis shoes are constant. Some people prefer Nike to the other brands and will pay a bit more for Nike. Other people prefer some other brand and will buy Nike only if its price is low enough. Buyers have brand preferences, but they will switch brands if price differences are large enough. So the higher the price of a Nike shoe, the prices of the other brands remaining the same, the smaller is the quantity of Nike shoes demanded. * * * * * * * Entry and exit shift the demand curve for a firm’s product Students seem to have a bit of trouble appreciating that entry and exit change the demand for a firm’s product. Explain this effect by sticking with the tennis shoes example. Explain that the demand for Nike tennis shoes changes and the demand curve for Nike tennis shoes shifts if other firms enter or exit. If Tommy Hilfiger and the Gap started to make tennis shoes, some of Nike’s former customers would switch to these two new brands, and the demand for Nike shoes would decrease. The demand curve for Nike shoes would shift leftward. If Adidas, Fila, and Reebok stopped making tennis shoes, some of their former customers would switch to Nike, and the demand for Nike shoes would increase. The demand curve for Nike shoes would shift rightward. * * * * * * * * * * * * * * * * Shock Treatment: The Marketing Cost of Nike Tennis Shoes. Students like to know what they’re paying for when they buy something. You can open their eyes (and even shock them) by providing some numbers on the marketing costs of pair of Nike tennis shoes. This (hidden) slide provides the numbers from an industry source. [To view this slide in your lecture presentation, click Slide Show, Hide Slide.] * * * * * * * 垄断竞争的价格