Notes, summaries, assignments, exams, and exercises for Economics for Vocational training

Good Supplier Selection

To value and compare:

• Qualities
• Prices
• Discounts
• Terms
• Cost of Transportation
• Packaging
• Payment
• Customer Service
• Long-term Relationship Potential

Supplier Comparison Table

Prepare a comparative table showing all offers:

• Prices
• Quality
• Payment Terms
• Delivery
• Discounts
• Etc.

Importance of Transportation

Transportation is important because it involves the transfer of goods. Consider freight costs (noli), freight services, and insurance, especially for expensive products, to ensure their safety and potentially save costs.

Managing Long Delivery Times

Regarding delivery: If payment is late, the seller typically has the right to charge interest. Payment is normally due fifteen days after delivery of the product, allowing the buyer time to verify...

Factors That Influence Price

6.5 Factors That Influence the Price

For a business, the first consideration will be the objective to be enforced, and secondly, the marketing mix. Empresa1 is set by factors. The company has the following objectives:

• Obtain the maximum benefit from the product they sell.
• Achieve maximum return on the investment made.
• Increase sales in the market.
• Be the leader in a segment or a product.
• Market segments at the start of competition.
• Create an image and reputation through the marketing mix.
• Get brands to better position themselves in the market.
• Obtain more benefits and price competitive differentiation.
• Stay in the market and evolve.

2. Marketing Mix

In the product, influences include (image, collateral design, additional services)

Tax Quotas, Deductions, and Filing Requirements

How are state and regional liquid quotas calculated?

The liquid state share is derived from the full state share, after applying a percentage of total deductions (e.g., 67% of general deductions in 2009) and deducting for rent of residence. The result cannot be negative. The liquid regional share is calculated by subtracting from the regional share a percentage of state deductions (33%), the regional portion of the deduction for primary residence investment, and the amount of autonomous deductions.

How is the differential fee calculated?

The differential fee is obtained by adding the liquid state and regional assessments, and then subtracting deductions for double taxation of dividends, international...

Euribor

Euribor, an acronym for European Interbank Offered Rate, or European interbank offered rate, is the interest rate applied to transactions between banks in Europe. It represents the percentage rate a bank pays when another bank lends it money. This index is computed from the offer prices of the loans made to each of 64 major European banks. For example, 1.243%.

Simple and Compound Interest

• Simple: Characterized by the interest generated in each time period not accumulating to the capital. Consequently, the interest for the next period is always calculated on the initial capital.
• Compound: Characterized by the interest generated in each period being accumulated to the capital prior to calculating interest for the following period.

Discounting

After the First World War, most of the belligerent countries had suffered serious economic losses. The United States was the only exception, consolidating its position as a great world power.

The return to the pre-war economy presented many difficulties. These included:

• Dependence of European governments on the U.S. economy
• Increasing protectionism
• Rising inflation caused by an increased money supply during the war
• Rising unemployment
• A tendency towards overproduction in the economic system

The Roaring Twenties and the 1929 Crash

In the 1920s, America best reflected confidence in the future because it was the only country experiencing significant economic expansion. For this reason, much of the population took out loans and speculated on the New York...

Countertrade as a Pricing Tool

Countertrade occurs when products are exchanged for other products instead of cash. For instance, PepsiCo sold Pepsi to Russians in exchange for the exclusive rights to sell Stolichnaya vodka in the USA.

Although cash might be the preferred method of payment, countertrades are becoming an important part of trade with Eastern Europe, China, and some Latin American and African nations.

Types of Countertrade

Countertrade includes four distinct transactions:

Barter

Direct exchange of goods between two parties. In a barter transaction, the seller must be able to dispose of the goods at a net price equal to the expected selling price in a regular, for-cash transaction, and the seller must know the market and the price for...

Which of the following is a flow variable? income

Which of the following is a component of money?

Which of the following is a component of money?

UNIT 1

1. What are the two perspectives of marketing?

Philosophy and Technique.

2. Who first mentioned the concept of marketing-mix?

Neil Borden.

3. What is the current concept of marketing?

The current concept arises from the customer's or user's needs which guide production.

4. Do all companies are marketing oriented?

No, companies can be Sales or Marketing oriented.

5. What is the difference between the four 'p' and the 'four c's?

From a customer's point of view, the 4 P's of marketing become the 4 C's.

6. What decisions include sales management?

• Strategic decision
• Selection training
• Motivation
• Supervision and compensation of sales team.

7. What is relationship marketing?

Relationship marketing is the establishing of long-term, stable relationship with a...

Reconstructing the Gold Standard

After World War I, there was a widespread willingness to return to stable currencies through a gold standard or an equivalent system. This led to the Gold-Exchange Standard, where currencies were backed not only by gold but also by "hard currencies" (like the British Pound Sterling and the US Dollar) that were convertible into gold. A central question was at which parity to return. Significant differences in wartime inflation had left various currencies at different distances from their pre-war parity with gold.

The Challenge of Setting Parity

If a country wanted to return to its pre-war parity but its currency was inflated, it had to revalue its currency upwards. This required deflating the economy to attract...