Enterprise Components, Operations, and Growth Strategies
Components of the Enterprise
The enterprise is composed of several key elements:
- Capital:
- Instrumental Capital: Technical assets that remain in the company long-term and are necessary for its operations. This includes rights related to patent applications or trademarks.
- Materials: Raw materials, finished goods, and work in progress needed to complete the production cycle.
- Financial Capital: Liquid financial resources that make up the treasury of the company.
- Human Element: People who contribute their
Causes and Effects of the 1929 Stock Market Crash
Causes of the New York Stock Market Crash of 1929
To understand the causes of the New York Stock Market crash, we must consider the differences between the real economy and the financial economy. The real economy responds to the smooth running of enterprises, i.e., their productivity and market acceptance. The financial economy is the share prices of companies on the stock exchange. There must be a balance between the two, but this is not always the case. Actions may be overvalued because of speculation
Read MoreBusiness Funding and Financial Resources
Funding
To carry out the activity of the company, it needs means of payment that allow them to make investments, and this is called the funding source. Funding refers to the liquid assets or means of payment available to the company to meet its cash needs. It can be classified as follows:
- Short-term funding source: When the term of repayment is less than a year.
- Long-term funding source: When the term of repayment is higher than a year.
- Internal financing: Profits, distributed quotas, and amortization.
Monopoly, Oligopoly, and Macroeconomics: Key Concepts
Monopoly: Understanding Single-Seller Markets
A monopoly market is one in which a single firm or producer of a particular good or service is the only supplier of it. Whenever we refer to a monopoly, we are talking about monopoly supply. As there is only one bidder in the market, the offeror controls the demand. The demand function it faces is the market demand. A monopoly is stronger when there are fewer substitute goods for the monopoly product. The monopoly of the market determines the price and
Read MoreSupply Chain Management: Strategies and Best Practices
Topic 1: Supply Chain Management Fundamentals
SCMT Processes
- Plan: Develop a course of action that best meets sourcing, production, and delivery requirements.
- Source: Procure raw materials, goods, and services to meet planned or actual demand.
- Make: Transform raw materials or semi-finished products into a finished state.
- Deliver: Distribute the finished products or services, including handling customer order fulfillment.
- Return: Receive returned products and provide post-delivery customer support.
Objective
Read MoreUnderstanding Market Dynamics: Supply, Demand, and Equilibrium
Understanding Market Dynamics
The market is a set of offers of certain goods or services that are accompanied by their respective demands. These are also called marketplaces or institutions in which certain goods or services are exchanged for money. When the exchanges are performed using money, market players are called applicants (buyers) and sellers or suppliers.
Two Types of Markets
- Market for goods and services: The applicants are the families, and the bidders are businesses.
- Factor market: The