Question

Define business economics what are characteristics bus economics

Answer 1

Economics is a branch of analysis which employs application of economic concepts, theories ,methods to solve problem faced by any business firm and to formulate rational business decisions .

RELEVANCE OF BUSINESS ECONOMICS

1.Estimation of product demand

2. Forecasting future demand.

3.Deciding input combinations

4.Estimation of cost of product

5.Determination of price of product.

6.analyse the market sturctures.

7.profit estimation and planning.

8.Expenditure estimation.

9.Estimation of output.

10.Cost reduction.