Another online trading service is no longer avialable. This article discusses how the online trading industry continues to develop and that when one service is closed, another one is well on its way. The part in the article that deals with managerial economics is when profit maximization is discussed. Lang believes that the entertainment industry should not try to maximize profit too early. Rather the industry needs to do more research and figure out how to get and stay ahead of the demand in the downloading market. In doing so, the industry will have the ball in their court, versus playing defense. Concerning this concept Lang described the industry as becoming one that is "...always reacting, rather than shaping the business." As a manager, I believe, we need to be forcasting trends and finding ways to optimize our performance; not reading reports and playing catch-up.
Posted by Connor at 11/11/2005 08:02:00 PM