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

Trade

Definition and Types

Trade is the buying and selling of products and services to satisfy the needs of the population. There are two main types of trade:

• Domestic trade
• International trade

Elements of Trade

• Sellers: Individuals or companies that have goods or services they want to sell.
• Buyers: Individuals or companies that buy products.
• Goods: Products that are bought and sold for money.
• Markets: Places where commercial transactions take place (e.g., physical markets, farmers' markets, online marketplaces).

Characteristics of Trade Today

• Large quantities of goods are in constant movement between different regions.
• There is a worldwide network of trading partners.
• Trade, along with transportation, provides jobs for people.
• It is dominated by an ever-

Sources of Entrepreneurial Dilemmas

Ethical dilemmas are complex situations involving apparent conflicts between moral imperatives, where adhering to one may transgress another.

Internal and External Pressures

These pressures can create internal conflicts for entrepreneurs.

Shifting Societal Values

Changes in societal values, mores, and norms can also contribute to ethical dilemmas.

Ethical Code of Conduct

An ethical code of conduct is a statement of ethical practices or guidelines to which an enterprise adheres.

Organizational Barriers to Ethical Behavior

1. Systems: Resistance to established systems can lead to individuals creating their own methods, potentially bypassing ethical guidelines.
2. Structures: Dissatisfaction with the company structure can lead

Y=C+I+G

Y=Co +\- @(Y-To) + Io + Go and/or +Xn

Y=Co+\- 1/@ - @To+Io+Go and/or + Xn 

Y - 1/@ = Co - @To +Io + Go and/or + Xn

Y(1-@) = Co - @To + Io + Go and/or + Xn

Y=Co - @To + Io + Go and/or + Xn

                 1 - @

C= Co + 1/@*d --- taxes

  = Co + @ (y-Io) --- no taxes

yd= y- To

K = 1/1-mpc

k= 1/mps

DI= c+s

APC = C/DI

APS = S/DI

MPC = 1 / 1-@

MPS = 1 / @

Multiplier = 1 / 1-mpc or 1/mps

xn = x-m

Ca = C +/- mpc * tx

Sa = S +/- mps * tx

Aggregate Demand - Total value of real aggregate output that both sectors of the economy are willing to purchase at some AVG price.

AD = L(p)

Investment rates, future business expectations, Technology, Degree of excess capacity, Business Taxes

Aggreagate Supply- Total value of real Aggregate output that will be... Continue reading "Aggregate demand and aggregate supply cheat sheet" »

Key Factors Influencing Tourism Participation

Determinants explain why some countries have a high propensity to participate in tourism, whereas other countries show a lower one. Determinants can be classified into the following categories:

• Economic: Disposable income, GNP per capita, private consumption, cost of living, tourism prices, exchange rate differentials, promotional expenditure, and prices of other destinations.
• Sociological: Motivations, travel preferences, perceptions of destinations, paid vacations, past experience, and images of destinations.
• Demographic: Life span, physical capacity, health and wellness, etc.
• Political: Political and social environment, barriers and obstacles, restrictions, rules and laws, war, terrorism, accessibility,

CLOSE ECONOMY WITHOUT PUBLIC SECTOR:

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... Continue reading "Key Concepts of Marketing and Market Analysis" »

Applicant (solicitante): A person who applies or requests something; a candidate. Application form (solicitud de): A document to be filled out by an applicant.

Apply for a job (solicitar un trabajo): apply for a position; reply to employment advertisement. Be in charge of (estar a cargo de): having control of (sth); be responsible for.

Be responsible for (ser responsable de). Bonus (sobre sueldo): extra pay. Boss (jefa): manager. Casual job (trabajo temporal): temporary job. Day shift (turno de día): daytime work period.

Dismiss (despedir): sack; fire an employee. Dismissal (despido): the act of being fired from a job. Duties (deberes): job functions / tasks. Earn one's living (ganarse la vida): to earn the money needed for food, clothing, etc.... Continue reading "Employment Terminology and Definitions" »

TM's Marketing Mix and Its Impact on Sales Targets

The marketing mix plays a crucial role in TM achieving its sales targets. TM offers a wide range of products, including hardware, home appliances, electronics, furniture, automotive parts, and office supplies. This extensive product range caters to diverse consumer needs, expanding its customer base and sales potential.

TM's primary aim is to offer the lowest prices in the market. This pricing strategy is supported by lean production methods, just-in-time (JIT) practices, and outsourcing to minimize costs. By offering competitive prices, TM attracts consumers and maintains a competitive edge.

TM effectively promotes its low prices and extensive product range through various marketing channels,... Continue reading "TM's Marketing Mix and Unique Selling Proposition: A Case Study" »

Defining Operations Management (OM)

Operations Management (OM) manages the resources and the transformation processes needed to produce the company's products and services. It involves managing people, machines, and information. OM is the business function responsible for planning, coordinating, and controlling the resources needed to produce products and services for a company.

Key Decisions Operations Managers Make

Operations managers must plan the production schedule. This entails deciding how much to produce and in what order. This information is used:

• To make purchasing and staffing decisions.
• Operations managers must manage inventory.
• They must arrange the inventory in the warehouse.
• Operations managers must also manage quality levels.

The Transformation

Fixed Costs

Fixed costs are the costs of production that a business has to pay regardless of how much it produces or sells. Fixed costs exist even if there is no output. These costs remain unchanged in the short run. They can change, but these changes happen independently from the level of output.

Scale of Operations

Scale of operations is the maximum output that can be achieved using the available resources. It can be increased in the long term.

Variable Costs

Variable costs are the costs of production that change in direct proportion to the level of output or sales. These include commission earned by staff, raw materials, packaging costs, etc. In theory, if there is no production, then variable costs equal zero.

Contribution

Contribution refers... Continue reading "Business Operations: Costs, Ventures, and Integration" »