Microeconomics (ECON101)

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College of Administrative and Financial Sciences

Assignment 3

Microeconomics (ECON101)

Course Name: Microeconomics    Student’s Name:
Course Code: ECON101Student’s ID Number:
Semester: 1CRN: 11971
Academic Year: 2022-23 SEM-1

For Instructor’s Use only

Instructor’s Name:  Dr Ghazala Aziz
Students’ Grade:               /10Level of Marks:

Instructions – PLEASE READ THEM CAREFULLY

  • This assignment is an individual assignment.
  • The Assignment must be submitted only in WORD format via the allocated folder.
  • Assignments submitted through email will not be accepted.
  • Students are advised to make their work clear and well presented. This also includes filling in your information on the cover page.
  • Students must mention question numbers clearly in their answers.
  • Late submitted assignments will NOT be entertained.
  • Avoid plagiarism; the work should be in your own words; copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.
  • All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).

Submissions without this cover page will NOT be accepted. (Don’t change the cover page format.)

                                      (Total Marks: 10)

[Course learning outcomes covered: (LO1.1)]

Assignment Questions:     

Q1. Finally, 6 years back, Albaik entered the Riyadh Market, though it was working successfully in other major cities of Saudi Arabia. Make a brief analysis of success story of Albaik in fast food industry in your city, taking following points into consideration. [ 7 points]

  • List major competitors of Albaik in your city. (1point)
  • Prepare a comparative list of popular products offered by Albaik and its competitors and their comparative prices. (1point)
  • How Albaik is managing their success with relatively lower prices? (1point)
  • In which type of market structure Albaik is working? justify your answer by explaining the features of that market structure. (3points)
  • Explain, what future you see for fast-food industry in your city. (1point)

Q2. Often on airport, we pay higher price for a cup of coffee, which is available on cheaper rate inside the city, explain how the firm is able to charge two different prices for the same product? Discuss three essential conditions must be met, for a firm to engage in price discrimination. [3 points]