1. This assignment contains question that is set in English. 
  2. Answer in English. 
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This assignment accounts for 60% of the total marks for the course.

You would be given feedback on the assignment before the Final Semester Examination commences.


Warning: The submitted assignment will automatically undergo a similarity check. If plagiarism is detected, marks would be deducted as follows: 

No. % Similarity Group % of Mark Deduction
1 0 – 30 0
2 30.01 – 50 5
3 50.01 – 70 10
4 70.01 – 100 100


The purpose of Task 1 is to enable the students to understand the fundamental objectives and goals of firms and the application of basic economic principles; namely the concept of elasticity.


  1. You are appointed as the new Director of Sandakan Learning Centre of Open University Malaysia and is responsible for the supervision and management of everyday operations of the Learning Centre. Besides, you are also responsible for the development of learning support programs and operations associated with student academic preparation and remediation of identified skills.

Recently, your learning centre has been facing the problem of low enrolment which                leads to the loss of income to maintain the operation of the learning centre. If the                    problem persisted, the learning centre may have to close down.

As the Director, you are requested to prepare a report to explain the situation and                     provide some resolutions on the matters to encourage a long-term operation of the                 learning centre. Explain in details on how each mechanism will be used to resolve                     the problem.

  1. As a Marketing Manager of Proton Holdings Bhd. (PROTON), you are required to update the top management on the sale of cars every 3 months. Suppose the current demand and supply for Proton Myvi in Malaysia is given by the equations as shown below:

Demand equation                     : QD = 900 – 2P + 3PA + 0.4M + 1.5A

Supply equation            :           QS  = 45,500 + 0.5P

where       QD   =     quantity demanded

P     =     price of Proton Myvi (in RM)

PA     =     price of Perodua Axia (in RM)

M    =     average consumer’s income (in RM)

A     =     promotional expenses (in RM)

QS   =     quantity supplied

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