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How can we use them to improve upon decision-making

Assignment Help Managerial Economics
Reference no: EM131974767

In chapters 4, 5 and 6, Froeb et al. highlighted the importance of marginal analysis, discounting future cash flows in the investment decisions, and the optimal pricing decisions.

Starting with the ways to analyze investments. What are they? How can we use them to improve upon decision-making? Which one is used more frequently and why?

Next, elaborate upon how managers can use available information to better manage expectations of sales and revenues growth.

Finally, can you think of real-world examples of organizations raising prices not enough? For example, have a look at "Did Netflix raise its prices enough?"

PS: Thus, the question includes three parts:

1. Investment and the ways to analyze investments.
2. Managing sales and expectations - elasticity
3. Real world examples

TEXTBOOK.

Froeb, L. M., McCann, B.T., Ward, M.R., Shor, M., Managerial Economics: A Problem-Solving Approach, 4th Edition
Print ISBN: 9781305259331, 1305259335
eText ISBN: 9781305483170, 1305483170

Verified Expert

Insight into the investment decisions is the key discussion of the report. What makes up the investment decisions what issues to be considered for is discussed in first part of the report. Secondly elasticities and implications to the sales and expectations discussed in second part. The third part of the report is just based on the discussion on real time cases. Netflix price rise is discussed here.

Reference no: EM131974767

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