Market_Equilibrating

Market Equilibrating Process Kerri-Anne Thorpe ECO 561 January 5, 2011 Del Roberts Market Equilibrating Process In this paper I will relate this week’s concepts in the readings from this week to my prior real world experience. I will discuss the market equilibrium process in relation to my experience. According to the MBA web prep site, “Market equilibrium exists when quantity supplied is equal to quantity demanded.” (Pearson, 2010) With this information it helps to determine what I need to look at within my past experiences in order to determine how it relates. For the experience I am going to choose I will go back quite a few years and head to when I was a little girl selling Girl Scout cookies. When the cookie program originally started, we were required to go out to friends, family, and other people we knew and have them place an order with us to purchase the type of cookie and amount of boxes that they would like to order. In this type of market, there was market equilibrium as the only cookies that were received for my customers were the only cookies that were delivered to me to pass on. In the world of today, Girl Scouts are given large quantities of boxes and brand of cookies and are asked to sell them in front of grocery stores, superstores, and other random locations where a vast amount of people are expected to walk by in order to sell them. This could end up being a market equilibrium if in the end the supply and demand are equal but it is not if there is a shortage of supply or shortage of demand that appears in the last few days of the selling process. I have discussed market equilibrium and how it related to one of my experiences in the past. As a side note, it is not something that I actually had ever thought I would have needed to think about when I was ten years old selling cookies as a Girl Scout. Reference Pearson. (2010). Market Equilibrium. Retrieved from http://wps.pearsoncustom.com/pcp_90734_uop_casefair/109/27997/7167274.cw/index.html