Questions from General Economics


Q: When are increased profits in a manager’s personal interest?

When are increased profits in a manager’s personal interest?

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Q: What do you understand by the term ‘business strategy’? Explain

What do you understand by the term ‘business strategy’? Explain why different types of business will see strategic management in different ways? Give examples.

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Q: Assume that an independent film company, which has up to now

Assume that an independent film company, which has up to now specialised in producing documentaries for a particular television broadcasting company, wishes to expand. Identify some possible horizonta...

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Q: What are the advantages and disadvantages for a company in using the

What are the advantages and disadvantages for a company in using the stock market to raise finance for expansion?

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Q: In what sense can the stock market be said to be efficient

In what sense can the stock market be said to be efficient? Why is it unlikely to be perfectly efficient?

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Q: Compare and contrast the competitive advantages held by both small and big

Compare and contrast the competitive advantages held by both small and big business.

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Q: How has the weak economic climate since 2008 affected small businesses?

How has the weak economic climate since 2008 affected small businesses? Do you think it is easier or more difficult to set up a business during a recession? Explain your answer.

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Q: Virtually every good is scarce in the sense we have defined it

Virtually every good is scarce in the sense we have defined it, but are water and air exceptions? If they are not scarce, explain whether it would be possible to charge for them. Does the way in which...

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Q: Outline the Five Forces Model of competition. Identify both the strengths

Outline the Five Forces Model of competition. Identify both the strengths and weaknesses of analysing industry in this manner.

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Q: Distinguish between a business’s primary and support activities in its value chain

Distinguish between a business’s primary and support activities in its value chain. Why might a business be inclined to outsource its support activities? Can you see any weaknesses in doing this?

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