Category Archives: Management

Criticisms of the Lancaster model

The main criticisms of Lancaster’s model are that not all characteristics can be measured objectively. Di¡erent consumers may see the same product or brand as representing the same characteristics but in di¡erent proportions. The notion of substitution between similar but … Continue reading

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WILLIAMSON’S MANAGERIAL UTILITY MODEL

Williamson (1963) sought to explain ¢rm behaviour by assuming senior managementseeks to maximize its own utility function rather than that of the owners. Managers¢nd satisfaction in receiving a salary, knowing they hold a secure job, that they are important, have power … Continue reading

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WILLIAMSON’S MANAGERIAL UTILITY MODEL

Williamson (1963) sought to explain ¢rm behaviour by assuming senior managementseeks to maximize its own utility function rather than that of the owners. Managers¢nd satisfaction in receiving a salary, knowing they hold a secure job, that they are important, have power … Continue reading

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Criticisms of the Lancaster model

The main criticisms of Lancaster’s model are that not all characteristics can be measured objectively. Di¡erent consumers may see the same product or brand as representing the same characteristics but in di¡erent proportions. The notion of substitution between similar but … Continue reading

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CHARACTERISTICS APPROACH TO CONSUMER BEHAVIOUR

Lancaster’s (1966) approach to consumer behaviour developed indi¡erence curve analysis. He argued that consumers not only make choices between quantities of distinct goods but also between similar goods with di¡erent combinations of characteristics. Motor cars all have four wheels but … Continue reading

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Types of Sales Organization

Organization is an entity designed to identify and group the work to be performed defining and delegating the authorities and responsibilities and establishing relationships to enable the people within the organization to work with efficiency and effectively towards the attainment … Continue reading

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Components of information processing systems

Employees in an organization input data. The Information system processes that data and makes it ready for interpretation and analysis. Input                         Input means collecting raw data. Input can be manual or automated but entering the correct input is essential for … Continue reading

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MIS Application Areas

The various areas where MIS can be used are detailed here. Financial Management Information System A financial MIS gives information which is  related to function to employees in an organization. It integrates financial and operational information from various sources into one … Continue reading

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UNCERTAINTY AND SECURITY OF SUPPLY

Vertical integration may reduce the uncertainties faced by non-integrated ¢rms. Thecontroller of a ¢rm is a boundedly rational individual making decisions with imperfectinformation in an uncertain environment. The controller may be called on to react tounexpected or unforeseen events. Vertical … Continue reading

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PRODUCTIVITY DIFFERENCES

A ¢rm may wish to compare its performance over time and make comparisons withcompetitor enterprises both at home and overseas. To do this it can make use ofproductivity measures. Productivity di¡erences between plants, ¢rms, industries andcountries have been much explored … Continue reading

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Process of Executive Development

1. Ascertaining development needs. 2. Appraisal of the present management level. 3. Inventory of management manpower. 4. Individual development programme. 5. Establishment of training and developmental programme. 6. Evaluation. 1. Ascertaining developmental needs—The organization at the time of planning should … Continue reading

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Objectives of Merit Rating

Merit rating is one of the  important tools of business administration. The performance appraisal may be classified into two categories— a) Administrative Purpose b) Self-improvement a) Administrative purposes—The following administrative purposes may be served by an effective merit rating programme— 1) Promotion—It … Continue reading

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Merit Rating

Employees differ in their abilities and aptitudes. There is always some difference in the quality and quantity of work done by different employees. It is variably difficult to eliminate such differences. Hence it is necessary for the management to know … Continue reading

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Executive Development

The executive development is a process of systematic and continuous learning and growth designed to introduce changes in behaviour in individuals by cultivating their mental abilities. According to Micheal J. Jucius, “ED is the programme by which levels of executives who direct, control … Continue reading

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Principles of Training

A successful training programme presumes that sufficient care has been taken to discover areas in which it is needed most and to create the necessary environment for its conduct. Certain general principles need to be considered while organizing a training … Continue reading

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