Essays Tagged: "Transaction cost"

Make or buy decisions are sometimes overruled for "strategic reasons".

ure when customer's economic benefit is positive against the purchase price but turns negative when transaction cost is added. It is usually seen in economic terms focusing upon price, quality, volume ...

(6 pages) 236 1 3.0 Jun/2003

Subjects: Businesss Research Papers > Management > Management Planning & Decision Making

Title: Government Credit Card Abuse / Comment: Someone could better benefit from this essay by adding citations. I wrote this based on personal knowledge on the job.

-based, time-consuming purchase order process, thereby eliminating procurement lead-time, providing transaction cost savings, reducing procurement office workload, and facilitating payment. Given the ... are to use the purchase card to pay for authorized government purchases, subject to an established transaction amount, billing cycle amount, and merchant code limitations. An authorized purchase is d ...

(2 pages) 61 0 3.0 Feb/2004

Subjects: Businesss Research Papers

A critical review against Dunning's Eclectic Theory

R&D, marketing, and management.Firstly, if arm's-length markets are inefficient and incur huge transaction costs, the firm would replace them with its unified ownership and control (i.e., the int ... lfare.(12,13) In relation to social costs, we should pay some attention to a new concept, perceived transaction costs.' Transaction costs can be classified into three categories; i.e., those inherent ...

(22 pages) 219 2 3.0 Mar/2004

Subjects: Businesss Research Papers

Critically evaluate of Internationalisation theory

l business. There are at least the four viewpoints concerning the business of internationalization: Transaction Cost Theory, Uppsala Module, Internationalisation from a Network Perspective and Interna ... Internationalisation from a Network Perspective and International Product Life Cycle Theory (IPLC).Transaction cost theory as one of the classical internationalisation theories has been widely used i ...

(3 pages) 193 0 3.8 Apr/2004

Subjects: Businesss Research Papers > Markets & Exchanges

Explain the distinction between transaction costs and other costs that occur in economic systems.

IntroductionThe economic importance of transaction costs in widely recognized. In modern economies, transaction costs have become equally ( ... ant than production costs. Early economic theory focused entirely on production costs assuming that transaction costs did not exist. However, nowadays it has become relatively more sensible to do rese ... uction cost.Naturally, there are four parts to the essay. The first part explains the definition of transaction cost. The following parts try to compare the difference with production costs and look a ...

(10 pages) 279 0 4.9 May/2004

Subjects: Businesss Research Papers > Accounting

The European Monetary System

der for a common market to be established, the need of a common currency was essential. By that the transaction cost would be eliminated and the uncertainty of the exchange rates. So, in order for aal ... l known and, nowadays, often repeated. If the system is credible, then the costs of information and transactions are reduced for international exchanges. Deficit finance must be restricted and country ...

(8 pages) 117 0 4.5 Jan/2005

Subjects: Area & Country Studies Essays


end based on collateral and rationing credit, due to high administrative cost for small loans, high transaction cost, and the nature of risk. Therefore, the poor are excluded from access of credit. NG ... ment subsidizing. However, MFIs still have many problems and risks in developing countries, because transactions costs are very high, poor farmers sometimes can't not pay back due to bad weather condi ...

(3 pages) 30 0 5.0 Jan/2006

Subjects: Social Science Essays > Economics

1)Identify the nature and causes of two major economic problems facing Vietnam 2)Explain how Vietnam is attempting to solve on of these economic problems.

1998 - 2000 compared to two billion dollars per year between 1995 - 1997. Vietnam is still a high transaction-cost economy. This is linked to the large amounts of government red tape that affects bo ...

(3 pages) 39 0 4.3 Mar/2006

Subjects: Social Science Essays > Economics

Why E-Markets Have Trouble Attracting Potential Buyers and Sellers?

Businesses have been conducting transactions with each other electronically for decades in the form of EDI, its adoption has been li ... rketplaces are now emerging in the hope that they will supersede EDI for business-to-business (B2B) transactions and collaborations. They also intend to displace traditional intermediaries by leveragi ... ns. They also intend to displace traditional intermediaries by leveraging their superior search and transaction cost efficiency. However, recent research has shown that "although many observers applau ...

(12 pages) 72 1 4.6 Jan/2007

Subjects: Businesss Research Papers > Markets & Exchanges

International Marketing: Internationalization theories

paths towards internationalization that the firms use, with three theories, the Uppsala model, the transaction cost analysis model and the Network model.Prior to drawing analysis, it is crucial to un ... haviour of companies, one can notice that there are three main explanations: the Uppsala model, the Transaction Cost Theory and the Network model.The Uppsala Model explains how foreign market risks ar ...

(9 pages) 111 0 3.0 Nov/2008

Subjects: Businesss Research Papers > Marketing

Starbucks & Vertical Integration

depend only on Starbucks as their buyer. Both of these allow both parties to contract without high transaction/bargaining cost.Furthermore, Starbucks is able to outsource farming because the company ... ny roasts the beans itself . Due to a potential hold-up and moral hazard problem that leads to high transaction cost, it is inefficient for Starbucks to outsource bean roasting. Since Starbucks values ...

(4 pages) 71 0 0.0 Apr/2009

Subjects: Businesss Research Papers > Case Studies

Efficient Capital Markets History

assumption of the extreme version is false; however, the advantage is the easy calculation (without transaction cost, price to get insider information). That is not the main problem. The joint-hypothe ... n about investment decisions, dividend changes, changes in capital structure, and corporate-control transactions (Smith, 1986, Jensen and Ruback, 1983, Jensen and Warner, 1988). Event studies are exte ...

(4 pages) 46 0 5.0 Apr/2009

Subjects: Businesss Research Papers > Marketing

Internal/External Sourcing

utsourcing strategies are motivated by cost reduction. The theory behind this concept is called the transactional cost theory that differentiates between production costs incurred in actual manufactur ... hat differentiates between production costs incurred in actual manufacturing of the product and the transaction costs are considered coordination costs" (Bullen, 2004). Outsourcing, therefore, reduces ...

(7 pages) 39 0 0.0 Mar/2010

Subjects: Businesss Research Papers > Case Studies

Under MM theorem, is the role of bank will extinct?

et participants can issue securities under the same termsFrictionless market (There are no taxes or transaction cost, information costs, and no insolvency costsAbsence of scale and scope economiesAll ... ture did not affect the firm value whereas in the real world, many of the frictions (such as taxes, transaction cost and regulation) make the capital structure relevant. All of these costs and regulat ...

(9 pages) 0 0 0.0 Aug/2012

Subjects: Businesss Research Papers