GMS 402 Final: [GMS 402] - Final Exam Guide - Comprehensive Notes fot the exam (56 pages long!)
29 Nov 2016
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The manager: a person who directs resources to achieve a stated goal. >purchases inputs to be used in the production of goods and services such as the outputs of a rm. >in charge of making other decisions such as product price or quality. Economics: the science of making decision in the presence of scarce resources. >scarcity implies that by making once choice you give up another. Resources: anything used to produce a good or service, or more generally to achieve a goal. Managerial economics: the study of how to direct scarce resources in the way that most ef encetly achieves a managerial goal. There are six basic principles that compromise effective management. You must have well de ned goals be cause achieving different goals entails making different decision. Overall goal of most rms is to maximize pro ts or the rms value.
