This paper presents impacts of business policies on economic growth and gives advices for creating a strategic plan. A strategic plan is used to set business priorities, inform the decisions, and guide the business operations of various organizations. The strategic plan ensures that every member of an organization plays their role in the achievement of a common goal that effectively accommodates the changes in both internal and external business environments. It’s also used as a communication tool to inform all the stakeholders of the business objectives and the action plan for achieving those objectives. To develop an effective business plan, it’s important that all aspects of internal and external business environment are taken into consideration. This is due to the fact that these factors such as inflation, interest rate, the Gross Domestic Product, and trade balance significantly affect the ability of the organization to attain its set objectives according to the business plan.
Monetary policies are used by the government to regulate the value of a country’s currency such that it remains stable at all times. The monetary policy is also concerned with a reduction in the rate of unemployment which significantly affects a country Gross Domestic Product. Therefore, a country that wishes to achieve economic milestones should be in a position to change its monetary policies so as to control important factors such as the rate of inflation. Changing these policies gives the country full control over various nominal variables such as the exchange rate and money supply so as to increase the rate of economic growth especially with regard to imports and exports. As a result, the monetary policies set by a country have consequences on the economic growth of that country.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- The History of Changes in GDP
- Impacts of Business policies of Economic growth
- The Influence of monetary policy
- Describe how trade deficits or surpluses can influence the growth of productivity and GDP
- Discuss the importance of the market for loanable funds and the market for foreign-currency exchange to the achievement of the strategic plan
- The achievability of the strategic plan
- Conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This text examines the strategic plan of an organization, considering the impact of economic factors such as GDP, savings, interest rates, and trade balances on the plan's effectiveness. The author analyzes the historical trends in these factors and their projected future values, as well as the impact of business policies and monetary policy on economic growth.
- Economic Growth and GDP
- Business Policies and their Impact on Growth
- Monetary Policy and Economic Development
- Trade Deficits and Surpluses
- Market for Loanable Funds and Foreign-Currency Exchange
Zusammenfassung der Kapitel (Chapter Summaries)
- Introduction: This chapter introduces the concept of a strategic plan and its importance in achieving business objectives, highlighting the influence of internal and external factors on its success.
- The History of Changes in GDP: This chapter explores the historical trends in GDP, savings, interest rates, and employment in the United States, providing data and forecasts for the next five years.
- Impacts of Business Policies of Economic growth: This chapter discusses the role of government policies in promoting economic growth, including the impact of monetary and fiscal policies on demand and supply.
Schlüsselwörter (Keywords)
The key terms and concepts explored in this work include strategic planning, economic growth, GDP, savings, interest rates, business policies, monetary policy, fiscal policy, trade deficits, surpluses, and foreign currency exchange.
- Quote paper
- Washington Mutwiri (Author), 2019, Impacts of business policies on economic growth. Achieving a strategic plan, Munich, GRIN Verlag, https://www.grin.com/document/504835
