Tom the Entrepreneur

Tom fancies himself an entrepreneur and lists off a variety of different business ideas he has. Throughout the series, Tom comes up with different business ideas, but this is just a subset of his ideas that he names during the premier of his alcoholic beverage, Snake Juice. Most of his ideas though are really just variances of other products so Tom is focusing on differentiating the businesses to serve niche markets.

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Soda Sizes

Leslie meets with Kathryn Pinewood to discuss the sizes of sodas sold at the local restaurants. Leslie, as city council member, doesn’t believe that this move by local businesses is good for the health of her community. Local restaurants have gotten creative in marketing the larger sodas by offering price discounts when customers by large volumes. Despite framing the larger sizes with more normal names, Leslie is confused why people would keep purchasing that much soda.

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Ann is an Entrepreneur

Tom pranked Anne by putting glitter in her laundry detergent and she decides to return the favor by putting glitter in Tom’s moisturizer. She pitches it as a new product gimmick, but Tom supports the idea of this new product, “Sparkle Skin.”

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Expired Meatball Sub

Ben is getting a little tired of Pawnee, but he’s only two stamps away from his “free” meatball sub. Unfortunately, his card is expired. He’s a bit sad about it, but those stamps are essentially a sunk cost. The card itself is a good example of ways that firms price discriminate and offer discounts to bulk shoppers.

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Ron’s Endorsement

Ron won’t endorse a product unless he uses it exclusively and actually believe in it. Firms in imperfect markets often use celebrity advertising because it serves as a signal that the person selling the product actually believes in the product.

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Market Power with 22 White Vans

While Leslie Knope is running for city council, the Parks Department needs to get a lot of vans to help people get to the polls. A local van rental company realizes they have a monopoly over the market for these white vans and this recent surge in demand has given them the opportunity to capitalize.

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