Describe the Three Basic Types of Management Skills, and Relate

question 163

Essay

Describe the three basic types of management skills, and relate these skills to the tasks performed by different levels of management.

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Definitions:

Profit-maximizing

The method a company uses to identify the pricing and production volume that maximizes profit.

Marginal Product

The additional output that is produced by using one more unit of a factor of production, all else held constant.

Elasticity

Elasticity measures the responsiveness of the quantity demanded or supplied of a good or service to a change in its price or other factors like income.

Resource Demand

The demand for resources (labor, capital, land) that are used to produce goods and services.