The business organization produces goods not for the charity rather for generating profits. In a dynamic and free-market economy, profit is only the major stimulating factor for new innovation and new products. The rate of profit in the economy gives a signal to producers to change their rate of output or to leave or to join the industry.
Functions of Profit in Managerial Economics Read More »
Generally, the businessman thinks that the excess of income over his expenditure is profit. Profit is, therefore, the net income of the firm. The organization combines different factors of production like land, capital, labor, raw materials, fuel, and energy, etc.
A Note on Theories of Profit Read More »
Managerial economics combines economic theories with decision science tools and as it is metrical and analytical it assists the managers to solve the complexity existed in the business. Managerial economics through its skills and techniques always ensure the solution to business decision-making problems that may be faced by every type of business organization. Managerial economics plays a key role in the business decision-making process.
Role of Managerial Economics in the Business Decision-Making Process Read More »
Managerial economics is developed from micro economic theories by taking those concepts and techniques that help managers to select strategic decisions/direction, efficiently allocate the available resources, and to respond effectively to strategic issues. Therefore, it is an application of economic theory into business practice/management.
Relationship between Managerial and Traditional Economics Read More »
In the most common understanding, research refers to the search for a new thing to increase the stock of knowledge or to increase the horizon of knowledge on different issues in different subjects. Some people consider research as movement and connect it with movement from the known to unknown. It is also called a voyage of discovery.
Meaning and Introduction to Research Read More »
Nepal formally is the Federal Democratic Republic of Nepal. It is a small mountainous country in South Asia. China lies to the north of Nepal and India lies in the east, west, and south of Nepal. It lies between latitudes 26022’ to 300 27’ north and longitudes 8004’ 880 12’ and east. The average east-west length is 885 kilometre and north-south width is 144 to 241 kilometres.
An Introduction to Nepal at a Glance Read More »
Financial management is concerned with the procurement of funds from various sources and making the effective allocation of financial resources into productive use. It is a decision-making process relating to investment financing, asset management, dividends and so on. Finance, therefore, occupies a prime place at every stage of operation of a business like production, marketing, distribution of returns, and so on.
Meaning and Importance of Financial Management Read More »
The scope of business economics is very wide and it is increasing day by day. The scope of managerial economics may deal with demand analysis and forecasting, production analysis, cost analysis, inventory management, advertising, pricing system, resource allocation, and so on.
Subject Matter and Area of Managerial Economics Read More »
Business economics/managerial economics is the application of economics in the field of business management. It means it is the use of economic theory and methods to decision-making problems that a firm may have to face. Managerial economics has been a separate science from traditional economics since the 1950s. After such, economists treat managerial economics as a young and growing science.
Concept and Features of Managerial Economics Read More »
There is a relation of economics with other sciences or other disciples. Sometimes economists learn from other sciences and sometimes they give different concepts used in other sciences as well. Economics is the subject matter that studies economic conditions, economic problems, economic circumstances, and economic behavior of society. In society, people are related and connected through different means and in different types of activities.
Relation of economics with other sciences Read More »