Macroeconomic environment in which the business operates, Operation Research

Provide a description of the macroeconomic environment in which the business operates noting:

a) The overall 'stability' of the political system/government of the country in which the business operates.

b) The general level of inflation, unemployment and 'average' interest rate of the country in which the business is physically located (and also the countries in which most customers live if different from the location of the firm).  Also discuss any recent changes in those variables.   Does the economy seem to be in a recession, boom or otherwise?.

c)  If 'your' business exports its products to other countries, provide some information about the (currency) exchange rate, discussing its current level, and recent changes in it.

Use the above information to comment on whether or not the overall macroeconomic conditions faced by the firm are likely to become more or less favourable over the coming years.  In this section you should consider such things as:

  • Whether your main products are likely to be 'normal' or 'inferior' and hence whether demand is likely to rise or fall during recessions and thus whether the economic climate of the countries in which most of your customers live is likely to reflect well or poorly on your sales
  • Whether you are likely to face problems getting access to key factors of production (e.g. are there skills shortages?), and whether this is likely to affect the businesses' future operating costs.
  • If your business exports its products OR if imports factors of production .... whether recent trends in exchange rates are likely to be good or bad for costs and/or revenues.
Posted Date: 3/29/2013 2:03:17 AM | Location : United States







Related Discussions:- Macroeconomic environment in which the business operates, Assignment Help, Ask Question on Macroeconomic environment in which the business operates, Get Answer, Expert's Help, Macroeconomic environment in which the business operates Discussions

Write discussion on Macroeconomic environment in which the business operates
Your posts are moderated
Related Questions
Six Operators are to be assigned to five jobs with the cost of assignment in Rs. given in the matrix below. Determine the optimal assignment. Which operator will have no assignment

The following equation gives Jane's linear demand curve for visits to a nearby national park.  Q is the number of visits per week and P represents the price of a pass (price per vi

An electro-mechanical product for use in a vehicle has been in widespread use for some time and has proved popular with customers, in terms of its operational performance and price

max z 60x1+50x2 Sab to 4x1+10x2 2x1+2x2 3x1+2x2 X1+x2. >_ o

sope of operations research in a detailed manner

Application of the chi Square Test   The  chi square distribution  has a number of applications are given  below: a.Chi Square test of goodness of fit. b.Chi square te

Uses  of Mean  Deviation Mean  Deviation  is rarely being used as a measure of dispersion. But  due to  easy  and  simplicity  in calculation. It  is rather  useful  in busin

Telephone calls arrive at a switchboard in a Poisson process at the rate of 2 per minute. A random one-tenth of the calls are long distance. (a) What is the probability of at least

A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper i

advantage of quality circle process