Let's see How my Dad handle his firm!

People respond to Incentives:

As Raipur Optical Company (ROC) are the retailers and wholesalers of the spectacles, contact lenses and sunglasses. Due to high competition in the market. We have to come up with various offer such as ‘Buy frames and get glasses absolutely free’, ‘Buy 1 and get 1 free’, discounted contact lenses, ‘Monsoon Discounts’ etc. Which really helps us to acquire new customers. And people really respond to it.

Monopolistic Competition:

As ROC is having its own brand name, so it is differentiated from other outlets in the state. And we are having different outlets in different parts of Chhattisgarh and Odisha. And we also have some control over price and we make investment of selling costs and advertisement which makes us to be in monopolistic competition market.

Producer Surplus:

As ROC also manufactures lenses for several years, the price we set for lens and the price actually the lens were sold are different.

Utility:

If ROC is targeting a specified amount of customers in a specific period of time and they aare specified with the sales.

Rational people think at the margin:

As ROC decides itself how much of their product to sell and distribute to maximize its profit. And they get extra amount of money without any expanses.