MIEC Project TC01 Group 2 by Wong Shi Qi /BS https://padlet.com/s10195186/3uf5scgwco0p Done by Shi Qi, Rhiann, Ginelle, Hannah, James en-us 2019-05-09 05:33:11 UTC 2023-03-04 02:15:25 UTC hello@padlet.com https://imgglb.padletcdn.com/v13/image?t=g_auto&url=https%3A%2F%2Fpadlet.net%2Ficons%2Fpng%2F1f916.png ARTICLE 1 s10195427 https://padlet.com/s10195186/3uf5scgwco0p/wish/370474657 2019-07-08 04:12:41 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370474657 ARTICLE 3 s10193590 https://padlet.com/s10195186/3uf5scgwco0p/wish/370474920 2019-07-08 04:17:56 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370474920 Article 3 analysis - Demand and Supply s10195427 https://padlet.com/s10195186/3uf5scgwco0p/wish/370524048 SUMMARY
Huawei is cutting orders to major supplies as a result of US blacklisting. It is being banned from using USA's technology and this results in a decrease in demand for Huawei products outside of China. However, the demand in its home ground is increasing, benefitting its home market.


DEMAND
"Market watchers said the U.S. ban has also lowered consumer confidence in Huawei's products as well as operators' commitment outside China when it comes to buying new telecom equipment from the Chinese company."

- The demand for Huawei phones will decrease because customers are losing confidence in Huawei's products. This is because customers are unsure if the phones produced will be as good as before as USA is not helping Huawei.
non-price determinant: number of buyers

"while some suppliers that help Huawei in its home market actually benefited from the rising demand amid patriotic sentiment"

- When the U.S. ban is ongoing, more people in China are buying Huawei phones, meaning that the demand in China is increasing.


SUPPLY
"including cuts to orders of as much as 30%, is another possible sign that Washington's crackdown has started to hit the world's top telecom equipment provider and second-largest smartphone maker."

"Taiwan Semiconductor Manufacturing Co., the world's largest contract chipmaker, confirmed that orders from Huawei have declined since the Chinese company was hit with a de facto ban on using U.S. technology."

""We are seeing Huawei canceling some key component orders for their base-station business beginning in June, while it also notified us that it will suspend parts orders for their smartphone business after the summer"

- By decreasing its orders of parts for making mobile phones, this means that lesser phones can be made. This shows that the supply has decreased to 30% due to the ban imposed on Huawei by the US.
non-price determinant: number of sellers

DEMAND GRAPH
When demand increase

]]> 2019-07-08 14:22:07 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370524048 article 1 analysis - demand and supply s10195427 https://padlet.com/s10195186/3uf5scgwco0p/wish/370527351 SUMMARY
The sales of Huawei phones are being affected due to the ban in USA and the suspension of business between Google and Huawei. Sellers are keeping their stocks low and selling second hand Huawei phones at a much lower price compared to before.

DEMAND
"Customers, too, are staying away, with sales of used Huawei smartphones dropping sharply"

"We were selling 20 Huawei phones daily on average. Since the news broke, we are only doing around two to three per day,"

- number of customers buying Huawei handphones are decreasing due to a decrease in the demand
- possibly due to the taste and preferences of buyers, a non-price determinant of demand, not favouring Huawei.
- leftward shift in demand curve
- equilibrium quantity decreases

"The shops say that the prices they are offering for used Huawei smartphones have dropped by $200 to $300 since the ban. They attribute this to lower demand for the phone after Google distanced itself from the Chinese manufacturer."

- shows that the low demand for Huawei phones caused a drop in prices
- there is a surplus in the Huawei market due to the demand curve shifting to the left
- Downward pressure on market equilibrium causes price to decrease as well as quantity

SUPPLY
"some shops have stopped buying used Huawei products altogether"

"telcos in Japan and Taiwan said yesterday that they will not sell new Huawei handsets"

- lesser number of sellers willing to sell Huawei products, leading to a decrease in supply
- caused by expectation of sellers of the product, a non-price determinant of demand
- leftward shift in supply curve
- Leftward shift in demand curve is greater than leftward shift in supply curve
- equilibrium price decreases along with equilibrium quantity 


DEMAND CURVE]]> 2019-07-08 14:48:09 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370527351 Each concept in your analysis must be examined in depth and used to explain why things are happening as reported in the news article(s). For example, the chosen article may report on the increase in price of vegetables in Singapore. Your task is to apply the concept of demand and supply, together with appropriate evidence from the article or other sources, to explain the increase in price. s10195427 https://padlet.com/s10195186/3uf5scgwco0p/wish/370528478 2019-07-08 14:59:39 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370528478 Article 1 Analysis - Elasticity of Demand s10193590 https://padlet.com/s10195186/3uf5scgwco0p/wish/370610494 "The market for used Huawei smartphones has taken a major hit since the United States clamped down on the Chinese giant and Google suspended business with it.

While a majority of mobile phone shops here said that they are still buying used Huawei handsets, they are offering steeply lower prices for them, and some shops have stopped buying used Huawei products altogether.

Customers, too, are staying away, with sales of used Huawei smartphones dropping sharply."

- Huawei smartphones are hence price elastic as it is a luxury. Furthermore, the consumers have responded greatly to the ban imposed on Huawei. Hence, the demand curve will be less steep and the supply curve will shift to the right.

GRAPH
]]> 2019-07-09 08:50:40 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370610494 ARTICLE 2 s10195186 https://padlet.com/s10195186/3uf5scgwco0p/wish/370655301 2019-07-09 17:02:18 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370655301 article 2 analysis - demand and supply s10195186 https://padlet.com/s10195186/3uf5scgwco0p/wish/370656238 SUMMARY
There is tariffs imposed on iPhones and Apple might need to increase the price of it to offset the new costs. Article depicts the prediction of price raise of iPhones.

DEMAND
"The iPhone XS price would go from $1,000 to $1,142, the firm calculates, if the White House implements a 25% tariff on the rest of China imports."

- By increasing the price of iPhone, the quantity demanded for iPhone would decrease since it is more expensive and people might not be willing to purchase it since there are substitutes to the iPhone with other brands.
-This is due to the law of demand where there is an inverse relationship between quantity demanded and the price of the good(iPhone), ceteris paribus. Since the price of the iPhone has increased, there is a downward movement along the demand curve causing quantity demanded to decrease. This is caused by the income effect where buyers are less able to buy the good with the same income due to higher prices. In addition, the substitution effect takes place where people look to other phone brands as substitutes. This leads to buyers being less willing to buy the iPhone as other phone companies have relatively cheaper phones. 


SUPPLY
"Apple may need to raise iPhone prices significantly to offset the higher costs of parts, according to Wall Street analysts."

- This shows that the supply would decrease. This is because by raising the price of the iPhone to pay off the tariffs parts, consumers might not want to purchase it, thus the supply would decrease due to less consumers purchasing the phones.

- The supply of iPhones will decrease as the factor price(cost of parts), a non-price determinant of supply, increases. This causes the supply curve to shift leftward as factor price is a non-price determinant of supply. This causes the an increase to the equilibrium price and a decrease to the equilibrium quantity. This is due to a shortage causing upward pressure against the market equilibrium.

DEMAND GRAPH ]]> 2019-07-09 17:13:50 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370656238 article 2 analysis - elasticity of demand s10195186 https://padlet.com/s10195186/3uf5scgwco0p/wish/370657255 SUMMARY
There is tariffs imposed on iPhones and Apple might need to increase the price of it to offset the new costs. Article depicts the prediction of price raise of iPhones.


“We estimate the incremental cost of manufacturing iPhones in the U.S. could be 15-25%, and, if passed on to consumers could lead to demand destruction, in our view,” the Bank of America said in a note."

- iPhones are thus price elastic since Bank of America predicts that it could lead to demand destruction. Consumers would find it too expensive and thus respond greatly to it, thus might not purchase it because of the increase in price.

GRAPH

]]> 2019-07-09 17:26:16 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370657255 article 1 analysis - supply and demand s10196115 https://padlet.com/s10195186/3uf5scgwco0p/wish/370732772
SUPPLY CURVE

]]> 2019-07-10 10:04:45 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370732772 article 2 analysis - demand and supply s10196115 https://padlet.com/s10195186/3uf5scgwco0p/wish/370739633
SUPPLY GRAPH

]]> 2019-07-10 11:41:22 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370739633 Article 3 analysis - Demand and Supply s10196115 https://padlet.com/s10195186/3uf5scgwco0p/wish/370758108  
DEMAND GRAPH
When demand decrease

]]> 2019-07-10 14:40:25 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370758108 Article 3 analysis - Demand and Supply s10196115 https://padlet.com/s10195186/3uf5scgwco0p/wish/370758220
SUPPLY GRAPH
When supply decrease

]]> 2019-07-10 14:41:24 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370758220 Article 2 Analysis- Market Equilibrium s10197392 https://padlet.com/s10195186/3uf5scgwco0p/wish/370762137 DEMAND AND SUPPLY GRAPH

]]> 2019-07-10 15:19:47 UTC https://padlet.com/s10195186/3uf5scgwco0p/wish/370762137