Business Economics involves- * 1 point
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Answer:
Business economics is a field of applied economics that studies the financial, organizational, market-related, and environmental issues faced by corporations. Business economics encompasses subjects such as the concept of scarcity, product factors, distribution, and consumption.
Business Economics is the study of all the factors which affect the working, management, and prosperity of a business or firm. The scope of Business Economics is large as it deals with both internal factors within the business as well as factors that are beyond the business owner's control.
Main Types of Business
1. Sole Trader.
2. Partnership.
3. Limited Company.
4. Public Limited Company.
Business economics plays an important role in decision-making in an organization. Business economics helps in establishing relationships between different economic factors, such as income, profits, losses, and market structure. This helps in guiding managers in effective decision making and running the organization.
The main features of business economics: It includes the relationship between various factors of production, input-output analysis, capital-labour ratio, optimum production, break even analysis etc. These economic concepts help business managers in solving the problems related to production.