Explain the aspects of operational or internal issues

Explain the aspects of operational or internal issues.

E

Expert

Verified

The following aspects may consider being fall under internal issues.

1. Forecasting and Demand analysis: The demands for the firm’s product would vary in response to change into price, income of consumer and his taste that are the determinants of demand. A determinants study of the demand is essential for forecasting future demand of the product.

2. Cost analysis: Evaluation of cost is an essential part of managerial problems. All the factors causing variation of cost should be found out and allowed for this management to arrive at cost estimates. It will helps for more effectual planning and sound pricing practices.

3. Pricing Decisions: The firms intend to profit that depends upon the correctness of pricing decisions. The pricing is a significant area of managerial economics. Theories about price fixation help the firm to handle the price fixation problems.

4. Profit Analysis: All business firms working for profit and this is a significant measure of success. If firms working under conditions of uncertainty. Profit planning become essential under the conditions of uncertainty.

5. Capital budgeting: The business managers should take very significant decisions relating to the firm’s capital investment. The manager has to compute correctly the profitability of investment and to properly assign the capital. Success of the firm depends on the appropriate analysis of capital project and selecting the best one.

6. Supply and Production analysis: Analysis of production is narrower in scope than cost analysis.
Production analysis is proceeds within physical terms whereas cost analysis proceeds into monitory term. Significant aspects of supply analysis are: curves and functions, supply schedule and law of supply, factors influencing supply and elasticity of supply …

   Related Questions in Managerial Economics

  • Q : Requirement of equal paying amounts A

    A requirement of equal pay for workers along with equal amounts of education, responsibility, and experience is termed as the doctrine of: (1) marginal productivity. (2) non-exploitation. (3) central wage planning. (4) comparable wort

  • Q : Income effect of a change in wage rates

    When comparing such labor supplies in this illustrated figure, this is clear that the income effect of a change within wage rates is: (w) positive for Morgan and negative for Chandra. (x) more powerful than the substi

  • Q : Pure economic rents Pure economic rents

    Pure economic rents for different parcels of land do not reflect differences within their: (1) marginal productivities. (2) fertility. (3) quantities of valuable minerals and ores. (4) amounts of capital improvements. (5) relative capability to reduce

  • Q : Illustrates the Forward Planning in

    Does managerial economic as a tool for Forward Planning? Explain this term briefly.

  • Q : Marginal resource cost to hiring Hulk

    Hulk counsels five clients at a time within exercise groups at Beefcake Body Builders. Hulk hourly wage is $17, and also Beefcake charges Hulk’s clients $20 for every hour-long fitness session. When fitness counselors are hired from competitive labor mar

  • Q : Explain short term Demand forecasting

    Explain short term Demand forecasting.

  • Q : Most wage elastic at prevailing wages

    Demand is probable to be most wage elastic at prevailing wages for: (1) carpenters. (2) neurosurgeons. (3) computer programmers. (4) teenage employees of fast food restaurants. (5) economists. Can someone explain/h

  • Q : Model of purely competitive resource

    The model of purely competitive resource markets describes how: (1) U.S. income distribution patterns are determined. (2) wages are determined in the United States. (3) resource prices would be determined in efficient markets. (4) competition leads to

  • Q : Competitive Labor Markets Need

    Competitive equilibria in competitive labor markets need: (w) P = MR = AVC. (x) VMP - P is maximized. (y) VMP = MRP = MFC = w. (z) output is at a break-even level. (q) MPP = P. Can anybody suggest me the proper exp

  • Q : What are the scopes of managerial

    What are the scopes of managerial economics?

©TutorsGlobe All rights reserved 2022-2023.