BUSINESS ENVIROMENT
TABLE OF CONTENS
Task 3.1-2. market structures determine the pricing and output decisions of businesses and the way in which market forces shape organisational 2
How to Maximize Profit Using Total Revenue and Total Cost 2
Market structures 3
Market forces 5
Task3.3 the business and cultural environments shape the behaviour of a selected organisation 6
Task 4.1. the significance of international trade to UK business organisations 7
Task 4.2.the impact of global factors on UK business organisations 9
Task 4.3. the impact of policies of the European Union on UK business organisations 12
Labour impact 12
Economic impact 13
References 15
Task 3.1-2. market structures determine the pricing and output decisions of businesses and the way in which market forces shape organisational
How to Maximize Profit Using Total Revenue and Total Cost
When do a business profit allways is an importance target,so that the firm makes many decisions to achieve its main objective is profit maximization.Some decisions are critical to the survival of the firm.A firm’s output decision should be seen in both the short- run , when some factors of production are fixed and the long-run, when all factors of production can be varied.
In the short-run, a firm’s average cost (SRAC) curve is U-shaped, due to diminishing returns beyond a certain output level. In the short- run, a firm will maximise its profits where MR = MC.In the long- run, a firm’s minimum achievable average costs at any level of output can be depicted by a long- run average cost (LRAC) curve.
The shape of the LRAC depends on whether there are increasing, constant or decreasing returns to scale.
Total profit equals total revenue minus total cost. In order to maximize total profit, the firm must maximize the difference between total revenue and total cost. The first thing to do is determine the profit-maximizing quantity. Substituting this quantity into the demand equation
Task 3.1-2. market structures determine the pricing and output decisions of businesses and the way in which market forces shape organisational 2
How to Maximize Profit Using Total Revenue and Total Cost 2
Market structures 3
Market forces 5
Task3.3 the business and cultural environments shape the behaviour of a selected organisation 6
Task 4.1. the significance of international trade to UK business organisations 7
Task 4.2.the impact of global factors on UK business organisations 9
Task 4.3. the impact of policies of the European Union on UK business organisations 12
Labour impact 12
Economic impact 13
References 15
Task 3.1-2. market structures determine the pricing and output decisions of businesses and the way in which market forces shape organisational
How to Maximize Profit Using Total Revenue and Total Cost
When do a business profit allways is an importance target,so that the firm makes many decisions to achieve its main objective is profit maximization.Some decisions are critical to the survival of the firm.A firm’s output decision should be seen in both the short- run , when some factors of production are fixed and the long-run, when all factors of production can be varied.
In the short-run, a firm’s average cost (SRAC) curve is U-shaped, due to diminishing returns beyond a certain output level. In the short- run, a firm will maximise its profits where MR = MC.In the long- run, a firm’s minimum achievable average costs at any level of output can be depicted by a long- run average cost (LRAC) curve.
The shape of the LRAC depends on whether there are increasing, constant or decreasing returns to scale.
Total profit equals total revenue minus total cost. In order to maximize total profit, the firm must maximize the difference between total revenue and total cost. The first thing to do is determine the profit-maximizing quantity. Substituting this quantity into the demand equation
References: https://www.gov.uk/european-territorial-cooperation-programmes www.gov.uk/government/policies/encouraging-businesses-to-manage-their-impact-on-the-environment/activity Kotler P and Lane Keller K (2005) Marketing Management 12e (Pearson Education, New Jersey) http://www.ukessays.com/coursework/example-business-coursework.php#ixzz2mv07E4NJ -VinaCapital, ‘Investing policy’, viewed 18 November 2013, Appendix http://www.globalchange.com/images/stories/vietnam_3__data_only.012.jpg http://www.ons.gov.uk/ons/resources/scta0_tcm77-261527.png http://www.ons.gov.uk/ons/resources/sctitisfig3_tcm77-301965.png