Apple
By: Top • Essay • 532 Words • November 10, 2009 • 1,212 Views
Essay title: Apple
The business cycle is a cycle where the price of everything changes. There is no pattern to the business cycle. It changes daily based on the stock market, Employment rates and the Federal Reserve. Apple just like every other company has a business cycle. And there are many factors that make this business cycle fluctuate. Its measured in gross income over the amount of time.
The stock market is one factor of the business cycle. When the stock market drops so does the business cycle. This effects the company by losing money from the stock market. When the stock market does down it makes the company lose money and can eventually cause the business to crash. But when the company puts out a new product which causes the price for a share to increase the business cycle begins to increase also. Apple just came out with a new laptop called the Macbook air. This increased the price of the stock and also helped the company increase in the business cycle. As they come out with new products it helps increase the business cycle and it is an increase the gross income that the company makes.
Another factor of the business cycle is the Federal Reserve. As the price of the dollar changes it also changes the economy. Depending on the price of the dollar the business cycle can increase of decrease also the stock market is affected also. The change in the price of the dollar can throw off the entire economy. Apple can be affected by the federal reserve because of the cost of their products. They might have to change the price of their products due to the price of the dollar.
Another thing that can affect the business cycle is employment rates. As the employment rates increase it helps increase the productivity and the effience of the making the products. this will increase the price