BEC1034 M1CROECONOMICS

Trimester 3 2014/2015
Group Project (20%)

Objective: To have hands-on practices on how the theoretical concepts of Microeconomics are
linked to real world business.
Description: Students are required to show how to use theoretical concepts of Microeconomics to
evaluate different business and economics issues.

Read the article below:

Creative industry contributes RM33 billion to nation's GDP: DPM
KUALA LUMPUR: The Malaysian creative industry, which includes arts and culture,
contributed about RM33 billion to the nation's Gross Domestic Product (GDP), Deputy
Prime Minister Tan Sri Muhyiddin Yassin said today.
"Arts and culture is a promising industry that can potentially generate higher national
income in the future," he said in his speech at the Art Economy Conference (AEC) 2015
opening ceremony here.
He added that under the Economic Transformation Programme (ETP), the creative
industry, with the cooperation between the government, industry and private sector,
received RM17 million grant to carry out short term programmes known as 'Quick Won't
for Art Performance for a period between 2012 and 2014.
Source: New Straits Times Online, March 24, 2015

BEC1034 Microeconomics

Project (20%)

Trimester 3, 2014/2015

INSTRUCTIONS:
Registration and Preparation for Project

Please form a group consisting of 6 students (maximum 6 including leader).

Please state the name and address of the local cultural-based business you plan to interview

(preferable a sole proprietor or Small and Medium Enterprises, who involve directly in
producing the craft) and propose the date of interview.

Group
leader
is
required
to
SUBMIT
THE
ABOVE
INFORMATION
http://goo.gl/forms/HDmWOJM57k LATEST BY 14 APRIL 2015 (Tuesday, 12:00 noon).

Once your registration is viewed and approved by your respective lecturer, you will need to
make an appointment and arrange the interview with the business you proposed earlier.

via

Project Submission Requirement

Please submit the completed project (both softcopy and hardcopy) on 11 MAY 2015 (Week 7),
by 12.00 noon to your respective lecturer.

Late submission will cause ZERO mark.

No plagiarizing or copying from someone else, one way or another, or your assignment will not
be graded (i.e. ZERO mark)

Hardcopy requirement:

Please type all your group members name and student ID on the front cover page of your
report (a sampled cover page is attached as appendix A).

There are no minimum or maximum pages but, please use only A4 papers.

Please prepare your report based on the following format:

o Font type: Times New Roman
o Font size: 12
o Line spacing 1.5
Softcopy Requirement (Leader, please store all required information in a CD):
o The completed written project;
o A copy of voice recording (eg. voice, video) from the interview;
o Photo shooting from the interview

Page 1 of 5

BEC1034 Microeconomics

Project (20%)

Trimester 3, 2014/2015

Guidelines to Prepare the Content of your Project

Pick a local cultural-based business (preferable a sole proprietor or Small and Medium
Enterprises, who involve directly in producing the craft) that you are familiar with (eg.
Batik-painting, pottery-making, Kebaya-making, Nyonya food-making, Wau-making,
Rattan-weaving, etc). Schedule an interview session with the local cultural business you
selected. Prepare a list of questions before the interview session. Please kindly refer to
content A) to C) below to prepare some of your interview questions.
Content of Your Report:
A) Provide an overall view on the local cultural-based industry in Malaysia [Hint:
information may be obtained online or by browsing the official websites; or, perhaps
from the local business you interviewed].
(10 marks)
B) Provide a background on the local cultural-based business you interviewed.
[Hints: The background should include but not limited to the following:
The Product
: Main products and side-products of the selected business;
The Process
: Duration and skills required in completing the product;
The Past & Present
: Years of involvement in the business; Challenges faced over
the years; Motivation of involvement in the business (Family
business?; Good profit?); etc.
The Future
: Future prospect of the business; Sustainability of the
business; Short-term and long-term plans for the sustainability
of business]
(30 marks)
C) Analyse the local cultural-based business you interviewed using the knowledge you
learned from Microeconomics:
C.1) Demand and Supply

(10 marks)

1. Has there been an increase or a decrease in demand? Factors that could shift the
demand curve include changes in preferences, changes in income, changes in the
price of substitutes or complements, or changes in the number of consumers in the
market. Elaborate ALL relevant factors relating to the local cultural business that
cause a shift in the demand curve. Your elaboration MUST BE SPECIFIC to the
business you interviewed.
2. Has there been an increase or a decrease in supply? Factors that could shift the
supply curve include changes in costs of materials or other inputs, wages, changes in
technology, or changes in the number of firms in the market. Elaborate ALL relevant
factors relating to the local cultural business that cause a shift in the supply curve.
Your elaboration MUST BE SPECIFIC to the business you interviewed.

Page 2 of 5

BEC1034 Microeconomics

Project (20%)

C.2) Market Structure

Trimester 3, 2014/2015

(10 marks)

1. In what type of market is each product or service (main and side-products) in the
selected business sold? Is the cultural business you interviewed a price taker, or,
does it have controls in determining the price? Explain your answers.
2. Suppose that the cultural business you interviewed is perfectly competitive. The
business is always packed in the weekends but rarely has a customer during
weekdays. Why doesnt the business closetemporarily shut downat weekdays?
3. Promotion activities or advertisement are important for business in monopolistic
competition. Suppose that the cultural business you interviewed is monopolistic
competition, what kinds of promotion activities or programmes can be done by the
cultural business in running their business?
C.3) Government Policies and Sustainability of Business

(10 marks)

1. What are the obstacles, both internal (business itself) and external (surrounding
environment, government policies) faced by the local cultural-based business when
running their business? What have they done to overcome these obstacles?
2. In what aspect do the relevant/ involved parties (eg., government, NGOs), work in
helping the development and the sustainability of the cultural business?
D) Self-reflection / lesson learnt from this project and interview
(10 marks)
[Hint: Elaborate on the lesson(s) learnt from this project and the interview.]

** Interview [Attached the list of questions asked; voice recording]

** Report Presentation style

(15 marks)
(5 marks)

End of Page

Page 3 of 5

BEC1034 Microeconomics

Project (20%)

Trimester 3, 2014/2015

Appendix A: Cover Page

BEC1034
MICROECONOMICS
TRIMESTER 3, 2014, 2015

PROJECT (20%)

LECTURE SECTION

LOCAL CULTURAL-BASED BUSINESS :

Student ID

Student Name

Page 4 of 5

BEC1034 Microeconomics

Project (20%)

Trimester 3, 2014/2015

Appendix B: Project Evaluation Guideline

BEC1034 MICROECONOMICS

/100
LECTURE SECTION:

GROUP LEADER:

Local Cultural-Based Business:

Content
A) An overall view on the local cultural-based industry in Malaysia
B) Background on the local cultural-based business
C) C.1) to C.3) Applications of knowledge of Microeconomics in local culturalbased business content
D) Self-reflection / lesson learnt from this project and interview
Interview [Attached the list of questions asked; voice recording]
Report Presentation Style
TOTAL

Page 5 of 5

Mark
10
30
30
10
15
5
100

Score