Academic Writing

You work for an economics consulting firm and have been engaged by Richard Umbers, the new CEO of Australian department store retailer Myer Holdings Limited, to report on the economics of their retail environment and discuss potential strategies for improving sales growth. In particular you have been asked to compile the necessary data to include analysis of the following 1. A commentary on the market structure in department store retail and Myer’s position in the market, along with the product attributes offered from the Myer retail experience and a brief summary of the recent history of Myer. 2. An analysis of the trend in the four-firm concentration ratio of the market, and the Herfindahl– Hirschman Index for Myer, over time, and what value this information might be for decision making. 3. An statistical analysis (linear regression) of potential drivers of Myer revenue, particularly in terms of industry revenues (though other variables can be included if you like if they make sense). This analysis should contain commentary on what the results mean for management decisions at Myer. 4. An assessment of the trend in Myer cost and revenues using yearly data, or similar analysis, with an interpretation of what this could mean for management decisions. 5. An overall conclusion about market and the relative performance of Myer that includes a list of options to consider that might increase profit growth, including pricing and product strategies. Each section in your report should include an analysis of the data and some economics interpretations to help guide decision-making at Myer. Often it is not clear what underlying factors are determining the trends in the data, so please ensure that your commentary acknowledges potential complexities in the market. Format Report style with (sub-)headings to structure your analysis. Any consistent accepted referencing style accepted, though Chicago Style with footnotes preferred (as per this guideline). Tables and graphs that present data cleanly and add to your analysis are expected. You are expected to produce your own graphs rather than cut and paste, and cite the data sources used in each graph. Information sources • For Myer financial reports: Myer Annual Reports are available here • For market analysis: IBISWorld Industry Reports (available through the UQ library databases) • Household incomes and retails statistics: ABS National Accounts (Household final consumption expenditure) • You will need to read Chapter 7 of the Baye and Prince textbook • Video tutorial for multiple regression analysis in Excel (search online for many tutorials). • Commentary on threat from name brands, and potential for high end grocery market • Google it! Myer has a new CEO and new strategy, so this is a very timely application of economic ideas.