Notes, summaries, assignments, exams, and problems for Economics

Selling Externally

Just as employees must “sell” ideas internally, entrepreneurs with plans based on new business models must sell them to other parties, such as investors or potential collaborators.

Technique Nº 4: Prototyping

It's a methodology for exploring different possibilities until a truly good one emerged. It's a central part of an inquiry process that helps participants gain a better sense of what is missing in the initial understanding of a situation.

Prototyping is a powerful tool for developing new, innovative business models. Like visual thinking, it makes abstract concepts tangible. In recent years, in business discipline, it has gained traction in areas such as process design, service design and even organization and strategy...

Charts and Graphs

• Pie chart
• Line graph
• Bar chart
• Table
• Flow chart
• Organigram

Types of Lines in Graphs

• Solid line
• Curve
• Fluctuating line
• Dotted line (puntos)
• Axis
• Undulating line
• Broken line

Describing Trends: Increase

• To increase = raise (aumentar)
• Rise = go up (subir)
• Grow
• Boom / soar / climb (remontar)
• Jump = skyrocket (dispararse)
• To reach a peak (pico)

Describing Trends: Decrease

• To decrease
• Fall
• Plunge (picado)
• Drop
• Go down
• Decline
• Collapse

Describing Trends: Stability

• To remain stable
• Stay constant
• Stabilize

Describing Trends: Leveling Off

• To level off / out = flatten out (nivelar)
• Stop or start falling / rising

Trend Modifiers: Size

• Dramatically
• Vastly
• Hugely
• Significantly
• Considerably
• Slightly (leve)

Trend Modifiers: Speed

• Substantially
• Rapidly
• Suddenly
• Gradually

Incoterms

• EXW: Ex

Topic 1: Key Drivers of Change

Industry vs. Market

Michael Porter's Five Forces

UNIT 8 TRADE AND MANAGEMENT

TMS – Required Readings

Chapter 1

A. Werner, Schuler & Jackson (WSJ)

Companies performance has an influence on financial outcome

• New technology is just helpful if human resource are implementing it successfully
• Create happy employees
  • Increase in profitability
  • Productivity
  • Market value

Everyone is in charge of talent management

• Ensuring that organisation is applying knowledge and legal requirements
  • HR
  • Line managers
  • Employees themselves

External environment

• Constrains and opportunities how human resources are managed

Stakeholder and organisation are influencing each other

• Stakeholder benefit from success and are harmed by failures
  • Organisation wants to please stakeholders

Effective HR practices and policies in order to achieve the goal which is visible in

• Customer

Athletes and Drug Use

Athletes caught using drugs should never be allowed to compete again. Do you agree?

Success, idolatry, age, poor social life, demand, high competition, are some of the reasons why athletes find an inappropriate refuge in drugs. Athletes who go down in history for their achievements and not for their scandals, one day they must decide which way to go. If for the success, a path that requires dedication to sun and shade and social abstinence, that is, to become an adult with adolescent mentality, where parties, excesses, drugs and alcohol have no place. Or the other, that of normal life along the normal path, which many 'athletes' choose because they are not willing to leave their social life in exchange for achieving glory...

Capital Budgeting: Valuing Investment Projects

Capital budgeting is the process by which investors determine the value of a potential investment project. Selecting the right projects is crucial for long-term financial health. The three most common approaches to project selection are the Payback Period (PB), Internal Rate of Return (IRR), and Net Present Value (NPV).

Net Present Value (NPV)

The Net Present Value approach is the most intuitive and accurate valuation approach to capital budgeting problems. NPV reveals exactly how profitable a project will be in comparison to alternatives.

The NPV rule states that all projects which have a positive net present value should be accepted, while those that are negative should be rejected. If funds are...

Finance Concepts: Ratios, Markets, and Risk

1. 1. Types of work in finance subareas

   Be able to recognize the types of work in subareas of finance such as investments, financial management, international finance, etc.

2. 2. Basic ratio categories to know

   Know the basics of the different ratio categories (e.g., liquidity, asset management, profitability).

   Liquidity — a ratio that measures the relationship between a firm's current assets and current liabilities.

3. 3. Average collection period ratio

   Know what the average collection period ratio measures.

   The average number of days between the date a credit sale is made and the date the purchaser pays for that sale.

4. 4. Time value of money concept

   Know that money in the future is worth less than money today.

   (Time

Step 1: Forecasted Operating Cash Flows

Step 2: Forecasted External Capital Required

The Law of Variable Proportions

The law of variable proportions states that as the quantity of one factor is increased, keeping the other factors fixed, the marginal product of that factor will eventually decline. This means that up to the use of a certain amount of variable factor, the marginal product of the factor may increase and after a certain stage, it starts diminishing. When the variable factor becomes relatively abundant, the marginal product may become negative.

Perfect Competition

Perfect competition is a market structure where a large number of buyers and sellers are present, and all are engaged in the buying and selling of homogeneous products at a single price prevailing in the market.

In other words, perfect competition, also referred...