Running Head: MANAGERIAL ECONOMICS 1
Managerial Economics
Name
Course
Date
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MANAGERIAL ECONOMICS
Managerial economics
Introduction
In the modern-day businesses, the different challenges that are encountered are likely to
be addressed through the application of the right approaches that may contribute towards the
right decision making (Duan, Edwards & Dwivedi, 2019. Problem-solving is one of the concerns
in the various businesses that call for the integration of the microeconomics as well as
macroeconomic principles. Understanding the nature of a specific business-related challenge
makes it easy for the managerial team in a given business to come up with the most appropriate
strategy that may make it easy for the reduction of the effects of the issue in question. The
managerial team in most organization is equipped with the skills that make it easy for the
assessment of a specific challenge and coming up with the most effective practice that may make
it easy for the members of the team to collaborate and come up with the right solution.
Managerial economics, by definition, is the stream in the management field that deals on solving
most of the challenges in businesses and arriving at the right decision through the application of
macroeconomics principles as well as the theories that directly relate to the dynamic industry.
There are different areas in which the field of business has shown a significant
application of managerial economics to assist in the attainment of most of the positions that they
may want within the speculated time. The increase in the number of businesses in the modern-
day communities as well as the need to come up with the right solution to the issues that are
experienced in the performance of the companies is the main reason for the most investors to
emphasize on the application of managerial economics. The need to provide quality services and
products to a diverse community served by a business is the other reason that has assisted in the
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creation of the forum that deals with the application of managerial economics in the various
organizations.
Background
Leadership and management in a business are the main elements that assist in the
realization of the primary objectives that the company may have. With the right managerial
approaches, the chances of success in an organization are improved since the team can come up
with the right tools that may facilitate the needed change. In addition to this, the managerial team
is able to select a suitable device that may make it easy for the accomplishment of a specific task
through the application of most of these approaches. Based on the fact that a significant number
of organizations operates in a field that needs the provision of products through the use of a
reasonable number of raw materials, the application of the limited resources in any company
requires that the managerial team controls the used help to ensure that maximum profit is
attained in the organization. As a result of this, the various organizations with a stable executive
team have been able to elevate the level of profit as well as reducing the cost that they may
experience in the production of most of the products that the company deals with in its operation.
Communication in most parts of a business makes it easy for the members of a team to
share experiences on the areas that they need to address. Over the past years, the use of the most
effective communication approach in an organization has made it easy for most companies to
decide on the right way to manage its operations and ensure that the products that are offered are
in a position to meet the needs of the organization. In addition to this, the pricing approach is
dependent on the assessment that the management may do to decide on the right strategy that
may be considered to facilitate the need in the organization.
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The development and application of technology in most of the businesses in modern-day
economics have made it easy for the accomplishment of most of the needs in the organizations.
With the right technology, the managerial team in an organization is able to arrive at the right
choice that may assist in the reduction of the challenges experienced. The following section
addresses the issue of technology and its application in managerial economics to bring about the
needed change that the various businesses may need to accomplish within the speculated time
and to attain the position that the executive team may want.
Technology and managerial economics
Managerial economics has, for a long time, benefited as a result of the application of the
right technology. Through technology, the executive team, as well as the involved stakeholders,
can examine the areas that an organization can need to consider to ensure that there is an
adequate improvement in the way the assessment of the practices of the organization are carried
out to ensure that there is a positive change in the way the organization performs (Dutta, 2018).
With the right technology put in place, the members of an organization are able to explore most
of the challenges that may come and have a significant influence on the way the organization
performs. The rate of production is able to improve when the right technology is put into
consideration in the involved organization. As one of the roles of managerial economics, the
assessment and integration of technology involve the evaluation of the relationship between the
impute and the expected output based on the intended outcome. With this knowledge, the
management can decide on the approaches that are needed to bring about the innovation that can
be considered to ensure that the minimal operations within the organization can be increased to
bring about the expected results.
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The understanding of the dynamic environment in which the organization is, in most
cases, improved by the application of technology. For the different advancements in technology
across both the profit and non-profit organizations, economic growth and technological
advancement are interconnected where the level of technology is a determinant of the speculated
economic growth in the involved organization. Most organizations that are concerned with the
economic development as well as the use of the most appropriate resources in managing the
objectives that the organization may have. Managerial economics, based on the attitude that the
executive team shows towards the application of technology is able to ensure that the resources
applied in the production of specific products are able to increase the level of revenue in the
organization and at the same time reduce the possible barriers that may make it hard for the
company in question to arrive at the main objectives within the speculated time.
Benefits of technology
The assessment of related organizational progress is one of the concerns that make it easy
for the team to come up with the good practice that may assist in addressing any occurring
challenges that may affect how the company in question operates. The application of technology
in managerial economics has several benefits that may make it easy for the attainment of the
position that the administrative team may aim at attaining. One of the services is that it facilitates
the communication between the members in the organization as well as making it easy for the
organization to learn about the areas in production that need additional efforts to ensure that
some of the barriers are addressed (Norris & Vaizey, 2018).
The other benefit in involving technology in managerial economics is that it assists the
involved team to determine some of the instances in which the operations of the dynamic
organization could have resulted in unexpected challenges that may hinder the performance of
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the active organization. It is worth noting that through technology, the rate of collaboration
among the members of an organization is increased, thus increasing the level of productivity.
Through this collaboration among the members of the organization and the managerial team, the
chances of coming up with the right solution that addresses the common barriers are reduced,
thus elevating the level of performance of most profit and non-profit organizations in a specific
economy. The relationship between the federal government and the different organizations is
further improved based on the integration of technology. As a result of this, the government is
not only able to increase the level of productivity in the organizations through the creation of
appropriate policies, but the rate at which the challenges people in the various organizations face
are quickly addressed (Bai & Sarkis, 2020).
In managerial economics, technology application helps in the provision of an insight in
which the organizations can complete based on the operation of other companies in the related
field. Through the data that the managerial team can collect based on the assessment conducted,
they can determine the areas that they are doing it right as well as the areas in production that
need more attention to ensure that the dynamic organization can remain relevant in the
problematic areas of operation. In addition to this, the organizations are able to predict the right
approaches that are needed to assist in the improvement of the level of competition in the areas
that the company operates. With this insight, the chances of success that the company obtains are
able to increase this making it easy for the improvement of the economic status in the nation.
Managerial team and technology
Although different stakeholders are involved in determining the right technological tool
that an organization needs to consider to bring about the necessary change, the managerial team
has the most crucial role that may assist in the improvement of overall performance. The
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executive team, about managerial economics, is involved in the assessment of the right
technology that the organization can consider to assist in the reduction of the level of expenses as
well as the resources needed in the development of a significant product that can make a change.
The managerial team further plays a role in the provision of the required training that may
increase the level of knowledge that all may have in the completion of the involved tasks. Based
on the level of expertise that the members in a specific area may have, they are able to work in
accordance to the policies of the organization to create a platform that resolves most of the
challenges experienced in a specific area of operation.
The creation of the right tool in an organization depends on the assessment of the
operations in the organization based on the economic performance in the involved community
(Gunawan & Serlyna, 2018). through the use of technology, the rate of communication
approaches that may exist between the different stakeholders working in any modern-day
organization makes it easy for all to increase the level of performance as well as the relationship
that exists between the various stakeholders working towards the accomplishment of a specific
goal. To come up with the right procedure that may make it easy for one to arrive at the needed
position, it is worth noting that the integration of the right technology makes it easy for the
selection of the most effective practice that may make it easy for the increased rate of production
and distribution of different products that the organizations in the involved sector offer.
The level of interaction between the managerial team from one department and other
areas in an organization is improved through the integration of the right technology. Over the
recent past, most organizations have shown a positive attitude towards the creation of the correct
practices that may increase the level of interaction to make it easy for them to have an insight on
the possible barriers that may hinder the level of goal accomplishment in the organization. When
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the management takes time to focus on the good practice that may be considered to bring about
the needed change, the level of prosperity in the involved organization significantly increases
thus making it easy for the companies to reduce the chances of failure.
Challenges faced
Although the application of technology in the managerial economics has over the past
years assisted most of the companies to reduce the chances of errors, there are different
challenges that may make it hard for the attainment of the position that the organization may
need to attain. One of the challenges that are faced in the integration of technology in managerial
economics is in relation to the involved cost. A number of organizations working in the various
sectors may argue that the selection of a technological tool that is intended to address its
challenges may be relatively costly to implement. In addition to this, the cost that is needed to
train members of an organization regarding the benefits of a specific tool is relatively high, thus
making it challenging for most organizations to obtain them and apply towards the improvement
of the rate of performance.
The other challenge that is experienced in relation to this is that the level of appreciation
that the members of an organization may show towards the technological tools that are aimed at
improving the level of success is relatively high. When the members of a specific organization
offer some degree of resistance towards the change that is aimed at increasing the level of
performance, it becomes hard for the organizations to elevate the level of management as well as
the degree at which most of the problems it experiences are addressed. Due to the minimal
knowledge that the community may have regarding the effectiveness of a specific technology
that is used in the organization, the level at which they show positive appreciation and attitude
towards it may significantly reduce.
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The failure to develop a plan in reference to the implementation of the technology is the
other critical challenge that may make it hard for the implementation of the changes that are
needed to improve the performance of the economic position of various organizations. Since the
management needs to ensure that the right training is offered, the failure to provide the proper
insight regarding the possible barriers as well as the effects of a specific implementation may
make it hard for the stakeholders to show a positive attitude towards the application of
technology in managing the different organizational, economic needs.
Recommendations
From the challenges mentioned above, there are several approaches that can be put in
place to make it easy for the reduced barriers that may hinder the implementation of technology.
Effective planning is one of the practices that may make it easy for the managerial team to create
more changes that may address the challenges that may be experienced in the organizations as
well as making the technology applied more likely to handle most of the existing gaps. In
addition to this, it is worth noting that planning may make it easy for the increased perception
that the community may have regarding the possible effects of the technology that is
implemented in the managerial economics sector.
Based on the effectiveness of the training approach that is offered to the members of the
organization, one can conclude that with the right measures of ensuring that the members of the
organization can develop a positive attitude towards the improve performance in the
organization. The managerial team can, in that case, analyze the right approach to address the
minimal knowledge and exposure that exists regarding the effects of technology in increasing the
economic status as well as the possible consequences of the collaboration between the members
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of the organization in ensuring that the needed change is easily attained within the speculated
time and using the available resources.
Conclusion
Summing up, technology application is an influential element in the managerial
economics sector since it aims at ensuring that most of the required products are produced and
distributed within the speculated time. Understanding the specific needs is one of the factors that
makes it easy for the development of the right tools that may make it easy for the
accomplishment of the managerial tasks that the organization may assign to its members. There
are several approaches that are considered in most areas that may depend on technology in
deciding the right method that needs more attention to ensure that the decision made is likely to
have a notable impact on not only the financial position of the organization but the economic
growth in the involved area.
The managerial team is needed to ensure that it shows positive collaboration with the
other groups to make it easy for the creation of the right solution on most of the barriers that may
make it hard for the attainment of most of the goals. Diversity must be considered before making
the right decision that may be aimed at increasing the managerial economics that may assist in
the reduction of the possible barriers that may affect the overall performance when creating the
measures that are needed to make the right change in the rate of production as well as the
widespread distribution of most of the products that are required in order to increase the level of
productivity as well as improved economic status in the general community.
References
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Duan, Y., Edwards, J. S., & Dwivedi, Y. K. (2019). Artificial intelligence for decision making in
the era of Big Data–evolution, challenges and research agenda. International Journal of
Information Management, 48, 63-71.
Dutta, A. (2018). TLP for Managerial Economics 2017-2018.
Norris, K., & Vaizey, J. (2018). The economics of research and technology (Vol. 33). Routledge.
Bai, C., & Sarkis, J. (2020). A supply chain transparency and sustainability technology appraisal
model for blockchain technology. International Journal of Production Research, 58(7),
2142-2162.
Gunawan, H., & Serlyna, S. (2018). Impact of Information Technology Investment to Financial
Performance on Banking Sector. Journal of Applied Managerial Accounting, 2(1), 41-46.
