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

Forecasting Market Methods: Long and Short Term

A company’s production schedules, planned manning levels, and financial budgeting are all related to the sales forecast. A too optimistic forecast can lead to excess stocks being accumulated, over-production and high manning levels, and over-borrowing or inefficient deployment of financial resources. A pessimistic forecast can lead to large opportunity costs and frustration among potential buyers because of late or no delivery. Firms adopt various approaches to sales forecasting, but the basic approach is to (according to T. Proctor):

Stage 1.

Make an environmental forecast regarding inflation, employment, interest rates, consumer spending and saving, and business investment.

Stage 2.

Make a forecast... Continue reading "Market Forecasting Methods: Short & Long Term Techniques" »

EXAM REVIEW 2

Chapter 12

• A country’s standard of living depends on its ability to produce goods and services. Its ability depends on PRODUCTIVITY.
• Y = real GDP = quantity of output produced L = quantity of labor so productivity = Y/L (output per worker)
• Real GDP per capita: Y/Population
• What determines PRODUCTIVITY?

1. Physical Capital per Worker:

1. What is Physical capital? The stock of equipment and structures used to produce goods and services is called [physical] capital, denoted K.
2. Productivity is higher when the average worker has more capital (machines, equipment, etc.).

1. Human Capital per Worker (H):

1. What is Human Capital? The knowledge and skills workers acquire through education, training, and experience
2. Productivity is higher when the average worker

Key Economic & Fiscal Policy Terms

Understanding the language of economics and government finance is crucial. This glossary defines essential terms related to fiscal policy, budgeting, and economic theory.

Appropriations Bill

A legislative bill that sets money aside for specific government spending.

Automatic Stabilizer

A government program designed to automatically adjust based on changes in GDP and a person's income, helping to stabilize the economy.

Balanced Budget

A financial plan where government revenue and spending are equal.

Budget Deficit

A situation in which the government spends more money than it collects in revenue.

Budget Surplus

A situation in which the government collects more money in revenue than it spends.

Classical Economics

An economic

UNIT 4: Employee Relations

1. The Role of Employee Relations

A strong communication policy in employee relations helps to:

• Improve organizational culture and understanding of the organization's goals.
• Keep employees informed about goals, activities, and challenges.
• Encourage employee input, information sharing, and feedback.
• Communicate important events and decisions quickly.
• Establish a positive and productive work culture.

2. Organizational Change

Effective employee communication is crucial during organizational change. PR professionals can:

• Lead employees through dialogue and address concerns.
• Help management simplify complex initiatives for better employee understanding and support.

3. Employee Relations Tools

• House Magazines: Periodicals fostering

Company Dimension and Financing

This analysis examines the economic and financial structure of Tangoe, a company that has experienced continuous growth over the past decade, despite a decrease in non-current assets in 2014. The increase in total assets has been primarily financed by current liabilities.

Current Assets

Current assets have increased by almost 20%, mainly driven by growth in both Cash and Accounts/Trade Receivables.

• Cash: Increased by 8,000 thousand dollars, representing 43% of total current assets and 23% of total assets in 2014.
• Accounts Receivable: Experienced significant growth/decrease (receivables).

Capital and Revenue

The company's capital has fluctuated in recent years. In terms of sales and revenues, Tangoe has seen a clear... Continue reading "Financial Analysis of Tangoe" »

Stage 1: Has a Need (Thirsty)

(HAS A NEED) Stage 1: The consumer is "thirsty", desire to cool down ... "the spark of life" (de Goizueta, 2000: stomach quota). Multimedia advertising policy, PLV 4.84% (solo medios) sobre ingresos.

Stage 2: Decides How to Satisfy It

(DECIDES HOW TO SATISFY IT) Stage 2: Inside or outside the home? Be available at all times and in all places (Woodruff, 1960: an arm’s reach of your desire). Route to the universal market: 8% coste de la ruta al mercado.

Stage 3: Decides What to Buy

(DECIDES WHAT) Stage 3: "Buying mission" — immediate need (bar, vending machine, traditional). Purchase for consumption later (routine purchase, super; load purchase; hyper). Multi-format product policy.

Stage 4: Decides Where to Buy

(DECIDES... Continue reading "Consumer Purchase Stages and Big Data in Marketing" »

Mastering Professional Business Enquiries

Crafting Effective Business Enquiries: Part 2

This section provides various ways to phrase common elements in a business enquiry, focusing on clarity and professionalism.

1. Requesting Information on Touring Bikes

• Enquiry about touring bikes
• Touring bikes information request

2. Referencing Your Advertisement

• We read your advertisement about racing bicycles in the December issue of Cyclist.
• We saw your ad about racing bicycles in the latest issue of Cyclist, and we have a great interest.

3. Introducing Your Company

• We are a large retail company.
• We are a large retailer.

4. Requesting Documents

• We would like to receive...
• We kindly request you to send us...

5. Specific Document Requests

• Your updated catalogue and a list

Product Fundamentals in Marketing

Defining a Product

A product is a combination of both tangible and intangible components. As products become more commoditized, companies increasingly deliver value through customer experiences.

• Core Customer Value: The main need fulfilled by the product.
• Actual Product: Includes elements like brand name, quality level, and packaging.
• Augmented Product: Encompasses additional services and benefits offered.

Product Classifications

Products can be categorized in various ways, including physical goods, services, events, and places. They are also broadly classified as consumer products or industrial products.

Consumer Products

These are products bought by final consumers for personal consumption. They are typically categorized... Continue reading "Product, Service, and Branding Essentials for Marketing Success" »

Efficiency Ratios

Inventory Turnover

Determines if sales are sufficient to turn over or utilize inventory effectively. It indicates whether too much or insufficient inventory is being purchased.

Assets Turnover

A higher Assets Turnover Ratio (ATR) suggests that the company's management is utilizing its assets efficiently to generate sales.

Receivables Turnover

A higher receivables turnover indicates that a company is more efficient than its competitors in collecting its accounts receivables.

Profitability Ratios

Return on Sales (RoS)

"For every dollar sold, the company earns x profit." Measures operational efficiency.

Return on Equity (RoE)

"For every dollar invested by shareholders, the company earns x profit." Measures profitability relative to shareholders'... Continue reading "Key Financial Ratios for Business Performance Analysis" »