| Year 2021 |
1. Define information economy.
Information economy is defined as the study of information affect economic analysis. It studies the importance of information in economics.
2. Define arbitration.
Arbitration is a procedure in which a dispute is submitted, by agreement of the parties, to one or more arbitrators who make a binding decision on the dispute.
3. What is personalized pricing?
Personalised pricing is a form of price discrimination that involves setting prices at a different level for each individual consumer, based on an estimation of what they are willing and able to pay.
4. List out the components of digital economy?
- Infrastructure
- E-Business
- E-Commerce
5. What is digital right management?
Digital rights management is the management of legal access to digital content. It is a way to secure digital assets like ebooks, software, and other copyright-protected works from being copied, altered, or even rebranded and resold.
6. How switching cost can be calculated?
Switching costs can be calculated based on the knowledge of product and buying behavior of the consumer.
7. List out the fundamental components of information environment.
- Physical Dimensional
- Information Dimension
- Cognitive Dimension
8. Why same product is sold for different prices at different location?
Same product is sold for different prices at different location because of geographic location, price might be based on the shipping cost, the taxes of each location charges or the amount people in the location are willing to pay.
9. What are the sources of positive feedback?
- Performance play
- Control Migration
- Open Migration
- Discontinuity
| Year 2019 |
1. Define Information Revolution.
Information Revolution is a period of change that might prove as a significant to the lives of people.
2. List the foundation of information economy.
Communication, Technology and information
3. What is market failure?
Market failure is the situation in which given market doesn’t efficiently organize production or allocate the goods and services to the consumers.
4. Define Free rider problem
Free rider problem is the burden on a shared resources that is created by its use or over use by people who are not paying their fair share for it or are not paying anything.
5. Define Lock-In.
Lock in is a tendency to stick to a certain technology or a certain provider of goods/services despite existence of the other alternatives.
6. What is incumbent suppliers?
Incumbent supplier means the contractor or contractors who carries out any services which are identical or substantially similar to any of the service to be performed by the contractor pursuant this agreement and which the agency received prior the commencement of this contract.
7. What is trusted System? Give an example.
Trusted Systems are special systems designed to serve the purpose of providing security. Safety is ensured by trusted system in a manner by protecting the system against malicious softwares and third party intruders. Trusted system allow only verified users to access the computer system.
8. Give an example of any social media application which has been affected by negative feedback.
For most small businesses, getting negative feedback on social media is probably inevitable. Sooner or later, a dissatisfied customer or former employee may post unfavorable comments on a social media platform, naming a business and “calling it out” for some grievance, real or imagined.
Year 2018
1. What is reservation price?
Reservation price is the highest price a which consumer will buy a good.
2. Define Transaction cost.
Transaction cost is a cost associated with bringing buyers and suppliers together.
3. Why Information is costly to produce ?
Information is costly to produce because we have limited capacity to acquire, process, store and retrieve facts and figure about price, qualities and location of products.
4. What do you mean by value-based pricing ?
Value-based pricing is a strategy of setting prices primarily based on consumers perceived value of a product or service.
5. How Loyalty program creates artificial Lock-In ?
When customers become loyal they prefer buying products from same company and does not want to shift or to switch to other. Hence loyalty program created artificial lock-In.
6. Why switching cost is calculated?
Switching cost is calculated to maintain a loyal customers and create competitive advantage.
7. How Hollywood is defined?
Hollywood is defined as the system of the US entertainment industry.
8. How terms and conditions should be chosen for intellectual property?
Terms and conditions should be chosen in a way that maximize the value of intellectual property not maximize the protention.
9. What are the characteristics of information economy?
- It is easy to create but hard to trust
- It is easy to spread but hard to control.
- It influences many decision
- The information economy in global
- The information economy is that is highly productive.
Year 2017
1. What are the reasons for market failure?
The main reasons for market failures are:
- Market power
- Externalities
- Incomplete Information
- Public goods
2. Define optimal search rule.
Optimal search rule state that people will continue to acquire economic information as long as the marginal benefits of gathering information exceed the marginal costs.
3. What is trusted system?
A trusted system is relied upon to a specified extent to enforce a specified security policy.
4. What is penetration pricing?
Penetration pricing is a marketing strategy used by businesses to attract customers to a new product or services by offering a lower price during its initial offering.
5. What is data?
Data is information that has been translated into a form that is efficient for movement or processing.
6. Why information goods are considered as experience goods?
Customers would not used or experience any goods without its knowledge or information about it. Therefore, information goods are considered as experience goods.
7. What are the components of digital economy?
- Infrastructure
- E-Business
- E-Commerce
8. Define Critical Mass?
Critical mass is the point at which a growing company becomes self-sustaining and no longer needs additional investment to remain economically viable. It is a crucial stage in the development of a growing company.
Year 2016
1. What do you mean by product differentiation?
Product differentiation is what makes your product or service stand out to your target audience. It’s how you distinguish what you sell from what your competitors do, and it increases brand loyalty, sales, and growth. Focusing on your customers is a good start to successful product differentiation.
2. Define Moral hazard problem.
A moral hazard is a situation in which one party gets involved in a risky event knowing that it is protected against the risk and the other party will incur the cost. This economic concept is known as moral hazard. Example: You have not insured your house from any future damages.
3. What is Arbitration?
Arbitration is a procedure in which a dispute is submitted, by agreement of the parties, to one or more arbitrators who make a binding decision on the dispute. In choosing arbitration, the parties opt for a private dispute resolution procedure instead of going to court.
4. What do you mean by future market?
A future market is an auction market in which participants buy and sell commodity and futures contracts for delivery on specified future date. Futures are exchange-traded derivatives contracts that lock in future delivery of a commodity or security at a price set today.
5. What do you mean by positive feedback?
Positive feedback is a process in which the end products of an action cause more of that action to occur in a feedback loop. This amplifies the original action. An important example of positive feedback is the process of labor and childbirth.
6. What is complementary product?
A complementary good is a product or service that adds value to another. In other words, they are two goods that the consumer use together. For example, cereal and milk, or a DVD and a DVD player.
7. Define spot market.
A spot market is where financial instruments are exchanged for immediate delivery, such as commodities, currencies, and securities. Delivery here means cash exchange for a financial tool. in comparison, a futures contract is based on the delivery of the underlying asset at a future date. Over-the-counter (OTC) markets and exchanges may provide spot trading and/or futures trading.
8. What is lock-in cycle?
Year 2015
1. Define non-neutral technological change.
A technical change is said to be neutral if it is neither capital saving nor labour saving i.e. It is neutral in its effect in the sense that neither of the two factors become more or less important at the margin.
2. What do you mean by market failure?
Market failure is the economic situation defined by an inefficient distribution of goods and services in the free market. In market failure, the individual incentives for rational behavior do not lead to rational outcomes for the group.
3. What is arbitraging?
Arbitrage is the process of simultaneous buying and selling of an asset from different platforms, exchanges or locations to cash in on the price difference (usually small in percentage terms).
4. What is price discrimination?
Price discrimination is a selling strategy that charges customers different prices for the same product or service based on what the seller thinks they can get the customer to agree to. In pure price discrimination, the seller charges each customer the maximum price he or she will pay.
5. What is promotional pricing?
Promotional pricing is a sales strategy in which brands temporarily reduce the price of a product or service to attract prospects and customers. It can increase revenue, build customer loyalty, and improve short-term cash flow. A promotional pricing strategy works best in the short-term.
6. What is disintermediation?
Disintermediation is the process of removing the middleman or intermediary from future transactions. In finance, disintermediation is the withdrawal of funds from intermediary financial institutions, such as banks and savings and loan associations, to invest them directly.
7. What is explicit knowledge?
Explicit knowledge is knowledge that is straightforwardly expressed and shared between people. It has been clearly documented in a tangible form such as a Standard Operating Procedure or a marketing report.
Year 2014
1. What are network externalities?
Network externality is an economics term that describes how the demand for a product is dependent on the demand of others buying that product. In other words, the buying patterns of consumers are influenced by others purchasing a product.
2. What do you mean be experience good?
An experience good is a product or service that is difficult to evaluate in advance in areas such as price and quality. If you sell an experience good, reputation, reputation, customer loyalty and word of mouth is extremely valuable as these are the primary things that customers can use to make purchasing decisions.
3. What is hedging?
Hedging is a strategy that tries to limit risks in financial assets. Popular hedging techniques involve taking offsetting positions in derivatives that correspond to an existing position.
4. What is explicit Knowledge?
Explicit knowledge is the knowledge that is straightforwardly expressed and shared between people. It has been clearly documented in a tangible form such as a Standard Operating Procedure or a marketing report.
5. What is product personalization?
Product Customization or Product Personalization is a process of delivering customized goods and services to the customers as per their needs and desire. Customers can either approach a merchant to make certain customizations in a product or personalize the products themselves, exactly the way they want.
6. What is molecularization as theme of new company?
molecularization – The new economy is a molecular economy. The old corporation is being disaggregated, replaced by dynamic molecules and clusters of individuals and entities which form the basis of economic activity. The organization does not necessarily disappear, but it is transformed.
7. What is switching cost?
Switching costs are the costs that a consumer incurs as a result of changing brands, suppliers, or products. Although most prevalent switching costs are monetary in nature, there are also psychological, effort-based, and time-based switching costs.
8. What is arbitrating?
Arbitrage is the process of simultaneous buying and selling of an asset from different platforms, exchanges, or locations to cash in on the price difference (usually small in percentage terms).
Year 2013
1. What do you mean by bundling?
Bundling is when companies package several of their products or services together as a single combined unit, often for a lower price than they would charge customers to buy each item separately.
2. What do you mean by product differentiation?
Product differentiation is what makes your product or service stand out to your target audience. It’s how you distinguish what you sell from what your competitors do, and it increases brand loyalty, sales, and growth. Focusing on your customers is a good start to successful product differentiation.
3. Define Knowledge Organizations.
Knowledge organization (KO), organization of knowledge, organization of information, or information organization is an intellectual discipline concerned with activities such as document description, indexing and classification that serve to provide systems of representation and order for knowledge and information
4. Define Preemption.
The purchase of goods or shares by one person or party before the opportunity is offered to others.
5. What do you mean by public good?
Public goods are commodities or services that benefit all members of society, and which are often provided for free through public taxation. Public goods are the opposite of private goods, which are inherently scarce and are paid for separately by individuals.
6. Define Metcalfe’s law.
Metcalfe’s law states that the value of a telecommunications network is proportional to the square of the number of connected users to the system (n2). Only later with the globalization of the internet did this law carry over to users and networks as its original intent was to describe Ethernet connections.
7. Define tippy market.
Tippy Market: Market that is subject to strong positive feedback, such that the market will “tip” in favor of the film that is able to reach critical mass and dominate it.
8. What is Moral hazard Problem?
A moral hazard is a situation in which one party gets involved in a risky event knowing that it is protected against the risk and the other party will incur the cost. This economic concept is known as moral hazard. Example: You have not insured your house from any future damages.