6-3 House Closing You’ve entered into a contract to purchase a new house, and the closing is scheduled for the next week. It’s typical for some last-minute bargaining to occur at the closing table, where sellers often try to tack on extra fees. You have three options for the closing: (1) attend yourself, (2) send an attorney authorized to close only per the previously negotiated terms, or (3) presign all the closing documents per the current terms and not attend the closing. Which of b. c. In Egypt, you calculate that the annual value created by one distributor is $60 million per year, but would be $80 million if two distributors carried your product line. How much of the value can you expect to capture? Argentina also has two distributors with values similar to those in Egypt, but both are run by the government. How does this affect the amount you could capture? In Argentina, if you do not reach an agreement with the government distributors, you can set up a less efficient Internet-based distribution system that would generate $20 million in value to you. How does this affect the amount you could capture?
6-3 House Closing You’ve entered into a contract to purchase a new house, and the closing is scheduled for the next week. It’s typical for some last-minute bargaining to occur at the closing table, where sellers often try to tack on extra fees. You have three options for the closing: (1) attend yourself, (2) send an attorney authorized to close only per the previously negotiated terms, or (3) presign all the closing documents per the current terms and not attend the closing. Which of b. c. In Egypt, you calculate that the annual value created by one distributor is $60 million per year, but would be $80 million if two distributors carried your product line. How much of the value can you expect to capture? Argentina also has two distributors with values similar to those in Egypt, but both are run by the government. How does this affect the amount you could capture? In Argentina, if you do not reach an agreement with the government distributors, you can set up a less efficient Internet-based distribution system that would generate $20 million in value to you. How does this affect the amount you could capture?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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16-3 House Closing
You’ve entered into a contract to purchase a new house, and the closing is scheduled for the next week. It’s typical for some last-minute bargaining to occur at the closing table, where sellers often try to tack on extra fees. You have three options for the closing: (1) attend yourself, (2) send an attorney authorized to close only per the previously negotiated terms, or (3) presign all the closing documents per the current terms and not attend the closing. Which of b. c. In Egypt, you calculate that the annual value created by one distributor is $60 million per year, but would be $80 million if two distributors carried your product line. How much of the value can you expect to capture?
Argentina also has two distributors with values similar to those in Egypt, but both are run by the government. How does this affect the amount you could capture? In Argentina, if you do not reach an agreement with the government distributors, you can set up a less efficient Internet-based distribution system that would generate $20 million in value to you. How does this affect the amount you could capture?
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