Economics for Leadership: Macroeconomic Research Project Analysis

This research project examines the intricate relationship between macroeconomic factors and their influence on organizational performance. The project begins with an introduction that emphasizes the interconnectedness of business and the economy, highlighting how external economic indicators impact business operations and how organizations can adjust to mitigate these effects. The body of the project delves into specific macroeconomic challenges, such as recessions, and analyzes their impact on businesses, using the AD-AS model to justify demand fluctuations. It also explores globalization, discussing its advantages and disadvantages, including the potential for larger companies to disrupt market dynamics. Furthermore, the project examines monetary policies, including how contractions can reduce money supply and customer income, subsequently affecting product demand. The project concludes with recommendations for organizational strategies to cope with macroeconomic influences, such as input outsourcing, increased marketing expenditure, contingency plans, and customer loyalty programs. The study highlights the significance of the external environment on business decisions, particularly sales and revenue, and suggests how modifications can lessen the negative impacts. The project includes references to support the analysis and findings.

ECONOMICS
RESEARCH
PROJECT
Macroeconomic influence on
organisation

INTRODUCTION
 Business and
economy are
intertwined.
 External factors
and economic
indicators influence
business
operations.
 Organizational
adjustment can
lessen the effects.

RECESSIONS AND
IMPACTS
 Recessions are lack
of aggregate
demand.
 AD-AS models
justifies the lack of
demand for the
company.
 Client businesses
are the channel
that link recession
with the operation
of the company.

GLOBALIZATION
 It is a process to
make use of the
global market.
 Has its merits and
demerits.
 Demerits such as
emergence of large
scale company can
throw this company
out of market.

MONETARY POLICES
 These are policies to
regulate money supply
and other economic
indicators.
 Contraction can reduce
money supply and
income of the
customers.
 Demand for the products
can in turn reduce.
 Quantity theory of
money.

RECOMMENDATIONS
 Input outsourcing.
 Increased marketing
expenditure.
 Contingency plans.
 Customer loyalty
programs.

CONCLUSION
 Study shows the link
between the
external
environment and
business decisions.
 Mainly influences
the sales and the
revenue.
 Impacts can be
lessened by
modifications.

REFERENCE
 Ramasamy, R., & Abar, S. K.
(2015). Influence of
macroeconomic variables on
exchange rates. Journal of
economics, Business and
Management, 3(2), 276-281.
 Nielsen, K. J., Lander, F., &
Lauritsen, J. M. (2015). The
relationship between
macroeconomic and industry-
specific business cycle indicators
and work-related injuries among
Danish construction
workers. Occup Environ
Med, 72(4), 271-276.
 Grum, B., & Govekar, D. K. (2016).
Influence of macroeconomic
factors on prices of real estate in
various cultural environments:
case of Slovenia, Greece, France,
Poland and Norway. Procedia
Economics and Finance, 39, 597-
604.
 Keller, E. (2018). Noisy business
politics: lobbying strategies and
business influence after the
financial crisis. Journal of European
Public Policy, 25(3), 287-306.
 Abdoh, W. M. Y. M., Yusuf, N. H. M.,
Zulkifli, S. A. M., Bulot, N., &
Ibrahim, N. J. (2016).
Macroeconomic Factors That
Influence Exchange Rate
Fluctuation in ASEAN
Countries. International Academic
Research Journal of Social
Science, 2(1), 89-94.

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