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In modern market driven economy system,
each entity should pursue their economic activity. Throughout empirical lessons,
people found out that revenue generation of each participant is the main
incentive to maintain its mechanism. Specifically, electronic device manufacturing
companies that manufacture electronic devices always try to occupy highest market share and increase enterprise
values. During the efforts, it is quite natural to attract consumers to spend
more money. However, some people show concern that people tend to change their electronic
goods even if it is not necessary.
In terms of the phenomenon, it is easy to figure
out proactive business strategy of corporates to earn more profits. However, we
need to analyse more about desires to obsess materials of consumers related
with their increasing bargaining power based on understandings of the economy system.
To illustrate be illustrated, many emerging countries experience that total consumption
grows and varies as their GDP expands. Specifically, purchasing tendencies are
moving from essential goods focused to more luxury items. That means that more
people execute purchase with the reason of inner satisfaction, not necessity.
The situation has somewhat a positive aspect.
With the economic activities, more production would be followed resulting in
additional employees. Besides, consumers’ satisfaction with their consumption
can elevate the overall economy’s utility. In contrast, redundant resource use is accompanied
during the transactions. To supply more goods, companies put more raw materials
and consumers buy goods with leaving old devices unused. For example, many non
government organizations are campaigning the recycling of the old mobile phones
to save natural resources and aid low income households.
To sum, market economy promotes moderate economic
activities that make making benefits. In consideration of the structure, it is easy
to create redundant sale and purchase. Even though the process has positive effects
such as generating wealth and hiring, we need to watch the positives outweigh
the negatives with self regulating over expenditures that bring excessive
resource consumption and abuse of natural resources. (얘는 밑에서 말씀드리겠습니다.)
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