Profit Case Study

I am going to talk about profit maximization for a business and how it has affected me in my life. Living on my family farm my dad knows how to run a business. That is what he does to make a living for our family. The best way for us to succeed is for him to maximize his profit. Using some of the terms from chapter eleven, I am going to show you how my family survives on our family farm as a business. This is a way of maximizing profit through competition because he competes everyday when buying and selling animals and crops.
When you run your own business, the objective for them in order for their business to succeed is for them to maximize their profit. Running and owning your business can be very difficult because the economy is always changing.

The first one is buying feeder calves when they are young and selling them once they are finished. Most of the time he makes a good profit on this operation. The best way for him to maximize his profit with this is to buy the calves when the price is low and sell them when the price is high. Obviously this doesn’t always work because when it’s time to sell, you need to sell the animals, the cause being you might not get as much for it at that time. The market price of animals is one of those factors is one of those we can’t always control. Another way he makes a profit on our farm is by selling his corn and soybeans. When planting these crops there is other costs that are involved that affect how you maximize your profit. Some of these costs include buying the seed, fertilizer, spray and irrigation if you chose to use it. All these costs are good costs because they are making your product better in the end. Using those products will make the plants have a higher yield, which will make you get your max profit. After the crops are grown and ready for harvest you need to look and see what the selling price is and then decide whether you are going to sell them now or store them and wait for a better price in the future. Either way you choose you should look to maximize your