PROJECT TOPIC BICYCLE

Name ID

Md Shafayat Hossin khan………………2020-2-22-008

Asaduzamman Noor……………………..2020-2-10-039

Md Shariar Siam..………………………….2022-3-10-364

Syed Ridwan Ahmed Fahim…………..2021-2-60-095

Factors of
production

Land Labor Capital Entrepreneurshi

p
 Production Possibility Frontier (PPF)
The production possibility frontier (PPF) is a curve on a graph that illustrates the possible quantities that can be produced of
two products if both depend upon the same finite resource for their manufacture.
•A company/economy wants to produce two products
•There are limited resources
•Technology and techniques remain constant
•All resources are fully and efficiently used

k=Total capital in that country

Qb= Quantity of bicycle
Qf= Quantity of Flower

A Budget Line
QF1
BQb + FQf = K
Þ FQf = K - BQb
B
Þ QF=K/F - (B/F)Qb
QB2

QB1 QB2
QB2
k=Total capital in that country
Qb= Quantity of bicycle
Qf= Quantity of Flower

Budget Line
BQb + FQf = K
Þ FQf = K - BQb
Þ QF=K/F - (B/F)Qb
Demand and Supply

• Qd and Qs both are opposite to

each other for changing the
price.
• Both demand and supply
meet equally at a certain
point which is equilibrium
Elasticity

● %∆p< %∆Q

● Price↑ Revenue↓ &

● Price Revenue

● >1

● Revenue = price* Quantity

 Utility
Utility is the total satisfaction received after consuming a good or
service.
Cardinal Ordinal
Utility Utility

• Short-distance community
• Exercise & Fitness
• Environmental Sustainability
• Versatility
 Returns To scale in bicycle production 
 

• Returns to scale measure how much a

manufacturer's output changes when all
inputs are increased by a certain
proportion.

• There are three types of returns to scale:

Increasing, Constant, Decreasing.

Bicycle production experiences increasing

returns to scale up to a point, due to
economies of scale lowering per-unit costs.
 Price
Discrimination
If the elasticity of demand is the same,
then the effect of the price change on
the buyer will be identical too.
Data of a
Bicycle Market
Chart Title
price Qd Qs
300

250

200

150

100

50

0
1 2 3 4 5
Oligopoly
 (1) Few Brands: Duranta , Veloce Bike , Phoenix Bicycle
 (2) Similar price range of goods
 (3) Quality of the goods are very similar.
 (4) Stability of price