This story may seem difficult to believe for people a generation younger than me

Question

This story may seem difficult to believe for people a generation younger than me. I was twenty-something and working as a supervising economist for a large corporation. One day my boss asked me to jump in the car and visit a store that just opened. The sales clerk demonstrated a new product, and we were very impressed. It would make our work much simpler and save laborious hours. The clerk did not have to pitch the product further. We wanted one for the office. I figured that my staff could share the new product, but eventually we could purchase a couple of others. We filled-out the usual form needed for approval of the purchase and waited impatiently. Then it happened. The request was denied because the director in-charge of approving such purchases thought we would be wasting valuable corporate funds. He even attached a short memo stating ‘all they want to do is buy a toy.’ The director thought the applicability of this product was limited to household entertainment and cottage business firms. The director thought that making use of it was a ridiculous conjecture on our part. The director was not going to allow our company to be so foolish and join game players, hobbyists and firms who could not afford the expensive options serious companies like ours utilized. My function in the business was to analyze markets in which our company participated. Understanding demand was especially critical to our company because it had to purchase expensive capital resources. More capital would be needed for production when the demand was greater for our products. Indeed, it happened that demand was forecasted to grow, so the company did experience the need for more machines, equipment and plant. The staff of economists needed capital as well. We relied on large mainframe computers to help us calculate the demand for our products. 1 Economics What You Need to Know Irony was present. We wanted the ‘toy,’ to aid in analyzing markets, but the director of purchasing would not let us pay any price for it. No demand curve would exist for our company because certainly no other large business firms would find the ‘toy’ useful. We were sure his market analysis was very wrong. So we bought one anyway by submitting a new purchase request and falsifying the form. We called the product ‘engineering test equipment,’ an impressive sounding designation. However, all we were really testing was the director’s intelligence. Would he detect our sly undertaking? He did not. We bought the ‘toy’ and it helped my staff become very productive. The pressure was on, and soon other departments wanted one. The director of purchasing had to concede. Our company was allowed to demand the product, purchasing different quantities depending upon its price. As a market analyst, I felt confident in projecting that we would eventually see one ‘toy’ for every department at the current market price. However, I was not bold enough with my forecast. Today, that company has nearly one ‘toy’ for each employee. It would seem that they could not function without it -- the personal computer.

Please help me write what are the interesting statement in this section and why is it important to know at economics

Explanation / Answer

The inetersting state is the creating demand of a product after changing the name of the same. As it is known as personal computer, the director was not agrred to buy that product from corporate fund.

In economies every investment should have a objective and cash flow. It is very important to realize the function of an equipment. If it is for the business then ok to buy but if it's perpose is for personal then it not a ok product for business organization. Same thing happens in this case. By changing name the economist is able to show that the machine has broad need it s not for personal toy. Then the purchasing proposal is granted.

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