3. Transferrable
KNOWLEDE ABOUT INSTITUTION
Component Discipline Transferability
Organizational
Design and
management
Management, Public
administration,
Economic
High
Institutional Design Political Science,
Economic, Law
Medium
Basis of
Legitimization
Political Science Medium
Social and Cultural
Factors
Sociology,
Anthropology
Low
4. Introduction
Macro Economy
Micro Economy
Differences between Economy and Business
1) Products & Services
2) Manufacturing & Extraction
3) Production & Servicing
5. Basic Concepts of Economy
Key Words of Economy
Need & Want
Products & Services
Supply & Demand
Supply Side Economy
Demand Side Economy
Social Welfare/ Social Democratic Way
6. History of Economic Age
Raw Material – to Search the Market for sale
Technology – Industrial Revolution
IT Tech - Networking
Information Era
Colonial System , Imperialism
3 M
1) Merchant
2) Missionary
3) Military
7. ECONOMIC SYSTEMS
Controlled Economic System (CES)
Capital Economic System (CES)
Planed Economic System – Socialist Economic System
Market Economic System – Free Market
Mixed-Economic System - Management ES
indication on Government intervention – in Economy
8. Economic System
Optimum Allocation of Resources
base on Products & Services
(3) Basic Causes of Decision to ES
1) What amount are produce – Price Theory
2) How are produce – Production Theory
3) For Whom – Distribution Theory
9.
10.
11. Three Different Indicators
GDP – Gross Domestic Products
GNP- Gross National Products
GNH – Gross National Happiness
HDI – Human Development Index
GDP GNP
o In border
o Total Products and Services
o Domestic (internal)
o in one period
o All national & All Foreigner
in & out border
Total Products and Services
National (internal & external)
in one period
Only National or citizens
12. HUMAN DEVELOPMENT INDEX (HDI)
3 L
Life Expectancy
Living Standard
Literacy
Gross National Happiness – GNH
1) Sustainable development
2) Cultural value
3) Nature environment
4) Good Governance
13. PERFORMANCE MEASUREMENT
A recognized technique for drawing up goals is to use
the SMART criteria…
S – Specific
M – Measurable
A – Agreed
R – Realistic
T – Timed
14. SYNERGY - Energy
The idea, often mistaken, that by adding two
businesses together the combination is worth more
than the sum of the two individual businesses.
Usually characterized as :
2 + 2 = 5
SWOT Analysis,
This is the shorthand for a system of business
analysis that involves listing organizational issues
under these headings.
15. Economy
Management of Resource Distribution
Main Causes are two things.
Resources are Limited
Human Desire are Non-limited.
In Politics, Federalism are
Resource Sharing, Tax Sharing, Budget Sharing,
Power Sharing
18. MONEY
Function of Money
1) Medium of Exchange
2) Store of Value
3) A standard unity of Account
4) Standard of deferred payment
Profit
Total Income – Total Cost = Net Profit
19. Goods & Services
Goods - Tangible things
Services - In tangible things
Services Sectors
1) Transportation
2) Communication
3) Commence or Trade
4) Banking System
5) Education
6) Entertainment
7) Health Services
20. Factors of Production
1) Land
2) Labour
3) Capital
4) Technology
5) Enterprise
6) Entrepreneurs or Entrepreneurship
Input ---------- Output
Communism (Formula)
Nature + Labour Power = Value
21. Types of Goods
Raw Material & Finished Goods
Changeable
Example ; Rice, Bamboo, Iron…. Etc
Semi-finished goods
Consumer Goods & Producer Goods
Durable Use Goods & Single Use Goods
Perishable Goods & Non-perishable Goods
22. Mass Production
Specialization
Division of Labour
Standardization
Are use as Basic Principles.
To produce the large amount of Quantity.
Owner are use the mass production process for the
lowest cost of production.
23. Division of Labour
Do you have the Division of Labour in your
Environment?
WHY ?
Write down to Skill Labour.
24. Mass Production (Needs)
Modern Hi-tech machinery
Advance Technology and Instruments
ADVANTAGES
Low Cost
High Quantity
High Quality
Initiated Ford’s Car industry – so called Fordism.
25. Price
Marketing Mix (4P)
1) Product
2) Place
3) Price
4) Promotion
Price is cost for product.
Cause of changing price is the competition of Market.
Market Economy have INVESIBLE HAND. (Adam Smith)
26. Trends of Production
Comparative Advantages
Competitive Advantages
David Ricardo –
Globalization – Outsourcing
27. International Trade
communicate between Producer & Consumer
Basis factor effect
Geographical Condition
Economic Development
Government Policy
Other Factors
Such as Behaviors of Human
28. Industrial Development Factors
Internal & External Market
Labor Intensive
Forest Resource
Agricultural Resource
Mineral Resource
Technology Advantage
Well Transport way
(Related with Geographical Condition and
Economic growth)
29.
30.
31.
32.
33.
34.
35.
36.
37.
38.
39.
40. The second problem is
that 80 % of China’s
imported oil goes
through the Straits of
Malacca
They fear that the USA
or India in the future
could use that as a
chock point and cut of
China’s import of Oil.