Economics for Business

Economics for Business

EXECUTIVE SUMMARY
This report is all about Economic business which is important to handle the internal and
external factor in the market. In the market there are two concepts are important demand and
supply. Demand refers to the buyers wants to purchase the goods and services and supply refers
to availability of goods and services in the market. There are various factors that affect the
demand and supply of the product such as technological changes, substitute goods and
complimentary goods. UK government provide some stimulus package and retail subsidies in
order to influence customer retail spending.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
Table of Contents.............................................................................................................................3
INTRODUCTION...........................................................................................................................1
TASK1.............................................................................................................................................1
Supply and demand analysis and their factor..............................................................................1
TASK 2............................................................................................................................................7
UK governmental and economic policies to aid economic recovery from loss of consumer
retail spending:.............................................................................................................................7
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Business economics is a process that studies the market related and issue of
environmental in the organization, and also show the relationship of entity with labour, capital
and market. it is the main concept for the business because it linked with real business. They
focus on issues and problems related to business entity. In the UK various companies is
connected with economics. In association of applied economics policy makers in the mission of
organization to provide leadership (Supply and demand, 2018). This report is based on retail
industry that shows the affect of economic factor on the consumer spending. In this report there
is important factor of market demand and supply is used to find the shifting of their curve
whether it is positive or negative. There is also analysis of economic policies which is used to
influence the consumer retail spending in the UK.
TASK1
Supply and demand analysis and their factor
In the retail industry, both Market factor demand and supply play an important role in the
need and requirement of consumer.
Demand analysis- It is an economic principle refer to a customer desire for purchasing
goods and services and willingness to pay a price for a particular goods and services at a given
place. In the analysis of this retailer understand the demand of specific product for the customer
in the target market (Krugman, P. and Wells, R., 2017). For the new business enter into market
they have to analysis the market for their product that they can expand their market or not and
increase their profit maximization. In this there is negative relation between quantity demand and
price because if price increase demand is decrease and if price decrease then demand will
increase. Marketer can do the analysis by taking various steps-
 Market identification- In the first step they target the market for company product. They
can satisfy the customer by taking feedback and also improving their planning which help
in fulfils their satisfaction level.
1