In this lesson, Nick Palazzolo, CPA, demystifies the often-intimidating concepts of market equilibrium, SWOT analysis, and Porter's Five Forces. He breaks down how supply and demand interact to reach equilibrium and what happens when artificial constraints like price ceilings and floors are introduced. With his straightforward delivery, Nick clarifies how shortages and surpluses occur, providing memorable examples such as minimum wage and rent control. Moving on to SWOT analysis, he categorizes factors affecting a business into strengths, weaknesses, opportunities, and threats, with practical tips to distinguish between internal and external influences. The lesson rounds off with a discussion on complementary and substitute goods, emphasizing their impact on market dynamics. Lastly, he introduces Michael Porter's renowned Five Forces model, a tool to analyze competitive pressure in an industry, ensuring a thorough understanding of these concepts that could potentially appear in simulation examinations.
Lesson: Market Equilibrium
In this lesson, Nick Palazzolo, CPA, demystifies the often-intimidating concepts of market equilibrium, SWOT analysis, and Porter's Five Forces. He breaks down how supply and demand interact to reach equilibrium and what happens when artificial constraints like price ceilings and floors are introduced. With his straightforward delivery, Nick clarifies how shortages and surpluses occur, providing memorable examples such as minimum wage and rent control. Moving on to SWOT analysis, he categorizes factors affecting a business into strengths, weaknesses, opportunities, and threats, with practical tips to distinguish between internal and external influences. The lesson rounds off with a discussion on complementary and substitute goods, emphasizing their impact on market dynamics. Lastly, he introduces Michael Porter's renowned Five Forces model, a tool to analyze competitive pressure in an industry, ensuring a thorough understanding of these concepts that could potentially appear in simulation examinations.
Updated: May 31, 2022 Create an account