Trelawney Buses

92250 The labor market becomes an important factor in the way that funds are used within the company budget as pricing control affects the number of employees and the rate of pay available. In looking at these issues, the company can find a plausible argument for Trelawney Buses to use toward convincing the government that subsidies for training are needed to promote the continuation of effective competition and price control.The concept of privatizing a business is that the competition will create a higher quality of the product. By giving one company a monopoly on the market, the quality can be dictated by the control of that company. The intent of the government in breaking up the bus routes into smaller privatized routes was intended to create a competitive market place where quality control emerged through the need to do better than the others. In giving several businesses control over the areas, the bus system would be able to increase its overall efficiency and make a better attempt to fulfill the needs of the consumersAccording to Moschandreas (38) “Neoclassic economic theory assumes that prices constitute the control through which market transacting controls the allocations of resources.” This means that prices are the way in which a business will decide which areas of the business will need the most funds. However, when smaller businesses attempt to compete, the pressure to lower prices will often force them to be unable to properly support all the needs of the company. This gives an open door to other larger companies with better funding to come into the market and buy up the smaller companies giving them control over the market. This is called a monopoly. The government is responsible for watching the control that a monopoly will assert over the market so that the needs of the consumer are not lost to the power that the company holds.