-->
What
are the market boundaries for your university's bookstore? How have these
boundaries changed over the last few years?
Your Answer:
The extent of a market is
characterized by its geographical boundaries and the range of products to be
included in it.
Over the years, university bookstores have confronted a less
restrictive market boundary. For example, they must now compete with the sale
of textbooks on-line. The range of products has also changed.
Bookstores don't
sell just books anymore. They now offer a much wider array of products. In this
sense, their market boundaries have also expanded.
Perhaps the only aspect of
these businesses that remains under a more restricted boundary is the sale of
university memorabilia, which other stores around town or on the Internet may
not have readily available.
In most respects, therefore, the boundaries of your
university bookstore have expanded significantly over the last few years.
Source: Pindyck /
Rubinfeld, Microeconomics, 7th edition, Pearson
No comments:
Post a Comment