Contemporary Application of Economic Theory (proposal) Research Paper

Contemporary Application of Economic Theory (proposal) - Research Paper Example This research shall seek to scrutinize the validity of the model and assess how the model has succeeded over the years in fetching the economic environment of England with reliable economic predictions, based on which economic policy analysis of England can be attributed to. The literature review and theoretical framework of this research work shall be built purposely around the research questions. To this effect, there shall be three major themes which will be looked at. These themes have briefly been discussed below: The ‘suite of statistical forecasting models’ used by the Bank of England was born out of behavioural game theory. Behavioural game theory has been lowered by economists to mean the empirical determination of â€Å"how individuals make choices under conditions of uncertainty and strategic interaction† (Gintis, 2005). It is based on clues of how people make choices under uncertainty and strategic interaction that the Bank comes out with its forecasts of inflation and output growth as inputs into the forecasting process (Kapetanios G, Labhard V and Price S, 2007). Major components of the model include simple linear autoregressive (AR) models, information from existing history, univariate non-linear models, more information from extra variables, Linear vector-autoregressions (VARs), and use of Bayesian techniques. The major and most outstanding impact of the model on economic policy making in England’s economy is that the model has succeeded in coming out with reliable forecast for decision making on inflation and other macroeconomic variables. This is not without the challenge of dealing with the unconditional mean but as noted by Stock and Watson (2007), â€Å"the well-documented move towards macroeconomic stability, sometimes referred to as the ‘Great Stability’, has made forecasting more easy in the sense that macroeconomic variables stray less far from the unconditional mean† (Kapetanios G, Labhard V and Price S, 2007, p.

Palmolive - Target Market Identification Report Essay

Palmolive - Target Market Identification Report - Essay Example Marketing mix model focuses on specific parts of a firm’s marketing strategy. The product is one of the basic elements of this strategy. By promoting a particular product, a firm needs to consider primarily the following two issues: a) would be the development of existing product a priority or b) emphasis should be rather given to the increase of the firm’s share in the targeting marketing? In the second case, the firm should try to introduce new products while in the first case the characteristics of a firm’s product should be rather highlighted through appropriately customized marketing strategies. In the case under examination, the first strategy would be rather used, aiming to emphasize on the advantages of the firm’s specific product, the Palmolive natural shampoo vibrant color in regard to the targeting market, i.e. the Australian market. On the other hand, Dibb et al. (2008) note that the term ‘Product’ as part of the marketing mix mode l, refers to a series of issues, including the ‘quality awareness, the product image, the value and the quality of the product but also the product performance’. The marketing policies used by a firm in order to support the performance of one of its products have to refer to the above qualities/ needs of the product, the promotion of which is the targeting market will be attempted.In the case under examination, the marketing strategy of the firm in regard to the specific product would be additionally influenced by the following facts: the Palmolive natural shampoo vibrant color.... 2008, 94). The marketing policies used by a firm in order to support the performance of one of its products have to refer to the above qualities/ needs of the product, the promotion of which in the targeting market will be attempted. In the case under examination, the marketing strategy of the firm in regard to the specific product would be additionally influenced by the following facts: the Palmolive natural shampoo vibrant colour has been introduced in order to meet specific needs – the needs of people with colored hair for increased hair care and protection (Colgate Palmolive 2011). More specifically, the above shampoo helps towards the recovery of hair damaged by the colour treatment; in the specific product, a combination of UV filter and Avocado extracts’ (Colgate Palmolive 2011) has been used aiming ‘to ensure the quick recovery of hair damaged by color treatment but also to ensure the increase of life of colored hair and the improvement of quality of color ed hair’ (Colgate Palmolive 2011). It should be noticed that a conditioner is available by the firm in order to increase the benefits/ effects of the specific shampoo. The package of the above product can be characterized as satisfactory proving clear information on the content and the qualities of the product; moreover, the use of different color in the product’s packaging – compared to the other products of the firm – helps to distinguish the specific product among the others of the same firm but also among other products with similar characteristics. 1.2 Current Pricing The price of the particular product can be characterized as of an average to low level – compared to the price of similar products of its competitors (Leader et al. 1990).