Quiz

Quiz

to be sent to salemzemali@gmail.com 

Deadline : 15/01/2024  23:00


Subject: Supply and Demand

You may wonder why the prices of goods go up and down so often. One of the reasons is the law of supply and demand.

Supply refers to how many of a certain goods or services are available for people to purchase.

Demand means how many people wish to buy that good or service.

How does this work? Let’s say that a brand-new super powerful video game is about to come out. The game makers must decide how many of the games to make so they are not stuck with too many.

They then have to decide how much to charge for the game – its price. They would need to charge enough for the game to cover the costs of creating the game, advertising the game, shipping the game to stores. Since they want to make a profit on the game, they will also want to figure that cost as well. If the price of the game is too high, however, people may not be able to afford it or decide it’s not worth that price and there will be too many or an oversupply. If the price is too low, costs will not be covered and little profit will be made even though the game may sell very well. The company would lose money and may even have to close. The people who invest money in the company would not want to give the company anymore to make more products because they would not get a good share of the profits. Usually as prices rise, the supply or amount of a product increases, and as prices fall, the supply decreases as more people can afford the product. If the product is truly excellent one, there will probably be a high demand. Also if it is well advertised, more people will know about the product and be apt to want it. If the product is not well advertised or is not a good product, people will not want it and the demand will be low and the supply greater.

In the case of video game, if a better game came on the market later with superior technology, the demand for the current game would probably drop and thus the price would have to drop to sell it.

 

Other factors that affect sales of an item are if the product is available, how good the customer service is, the appearance of the store, how the items are displayed – even what the parking is like for a store or the colors of the boxes the product is in.

Activity 01: Comprehension questions.

1.        What is the main cause of price fluctuation?

2.        What do we mean by the concept of supply and demand?

3.        What are the factors that affect sales of a product?

Activity 02: Give synonyms to these words from the text

To buy=

Decline = Publicity =

Enter the market = show =

Activity 03: Are the following sentences in the active or the passive?

1) Harvey should have known that there was a chance his contract wouldn't be renewed.

2) The only explanation that can be found for the information leak is that someone must have

broken into the computer system.

3) You could have been fired for making a mistake like that, especially as it could have

compromised the whole deal

4) We've all been given a copy of the conference programme but it doesn't say who will be

making the keynote speech

5) If the current legislation is changed, then all our contracts will have to be renegotiated.

Activity 04: Rewrite the sentences in passive voice.

1) The supervisor will review this report.

2) I have attached the current status report.

3) The auditor was reviewing the accounting records.

4) The company offered us a discount.

5) Carrefour has attracted new customers by adapting to local customs

6) We must offer our customers a personalized service.

7) Did the staff receive extra money?

8) Industrial waste is polluting the river.

9) That company introduced the ideas of corporate social responsibility.

10)They had found a design fault.