Marketing Assignment: Goals And Economic Decision Making (Essay Sample)
How do a company's goals, constraints, incentives and market rivalry affect its economic decision-making? To what extent does a Christian have different goals, constraints, and incentives compared to a non-Christian?source..
Goals And Economic Decision Making
How a company's goals, constraints, incentives and market rivalry affects its economic decision-making.
Economic decisions are made by optimizing individual principles of economics. To understand a company's success or failure, we need to analyze decision-making based on its principle of market economy and strategic actions (Gitman, Juchau & Flanagan, 2015). Understanding managerial economics is important because it influences the decision-making process. The manager's role is critical in the decision-making process because their duties include delegating tasks, making decisions regarding purchases, inputs used in the production process (Gitman, Juchau & Flanagan, 2015).
Making an economic decision is important because it means making choices when resources are limited; manager needs to allocate resources to meet the overall goal (Gitman, Juchau & Flanagan, 2015). At big firms, different department has different goals, for example, the marketing department needs to create more awareness using specific resources to maximize sales or increase market share. A financial department goal is to focus on financial growth by allocating each department incentive to achieve the desired goals (Hahn et al., 2014).
Market constraints can hinder managers from achieving the set goals of increasing its market share. Some of the common constraints include limited technology and prices of inputs used for production (Hahn et al., 2014). Managers need to make critical decisions on which type of technology to use the amount of input to be purchased, how much to produce and how to react to competitors (Hahn et al., 2014). To understand how the three factors of constraints, incentive, and market rivalry affect the economic decision, it is important to analyze these factors.
In a company incentive influence, how resources are utilized and how much effort workers can put, to meet its objective. The manager needs to have a clear understanding how to maximize production using incentives. Managers need to construct incentive by under
YOU MAY ALSO LIKE
You Might Also Like Other Topics Related to goal:
- Benefits Of Summer School: Your Academic GoalsDescription: In what ways will summer school help you achieve your academic goals? How many credits do you plan to take this summer?...2 pages/≈550 words | 2 Sources | MLA | Literature & Language | Essay |
- Jornal Entries Goals Week 11: The Roles Of A Nursing PractitionerDescription: Nursing practitioners are those nurses who have been registered and undergone additional training to enable them to provide similar services to doctors...3 pages/≈825 words | 2 Sources | APA | Health, Medicine, Nursing | Essay |
- SMART Goals Research: Goal, Format, ReflectionDescription: It's important to mention at this time that organization's also use the S.M.A.R.T. goal format to assist in reaching its strategic plans and objectives. ...2 pages/≈550 words | 2 Sources | APA | Business & Marketing | Essay |