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Inbound marketing is a concept of dealing with customers and a methodology for acquiring and maintaining customers. It’s based on being helpful, human and customer-oriented in all phases of the customer acquisition process, and includes techniques and channels based on Internet, like social media marketing, search engine optimization, email marketing, and content marketing.
Inbound marketing focuses on building trust relationships with customers and employees and aligning all the incentives with the organization ...
Read More »Business Storytelling is a part of inbound marketing that focus on the creation of content that is emotional and easy to remember.
Using inbound marketing, businesses focus on creating trust relationships with prospects and customers. Brands create useful content that address real problems of the audience. Good content attract potential customers and create a trust relationship with the brand.
Useful content and storytelling replace pitches and slogans. Customers look for for information that allows...
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Goodhart’s Law states that individuals can anticipate the effects of a policy when evaluating the outcome of its actions, thus manipulate the policy.
When the focus is set in only one measure, people optimize that single measure.
A good example is the so-called “Cobra Effect”. In India,...
Read More »The real exchange rate measures the price of foreign goods relative to the price of domestic goods.
Mathematically, the real exchange rate is the ratio of a foreign price level and the domestic price level, multiplied by the nominal exchange rate.
Formally:
R = (E.P*)/P
Where:
R: real exchange rate
E: nominal exchange rate
P*: foreign price level
P: domestic price level
While the nominal exchange rate measures the relation between the value of two currencies The real...
Read More »This article teaches you how to calculate the NPV (Net Present Value) using Excel. The Excel function to calculate the NPV is “NPV”.
The NPV, or Net Present Value, is the present value, or actual value, of a future flow of funds. The present value of a future cash flow is the current worth of it. To know the current value, you must use a discount rate. The NPV includes not only the positive cash flows, or inflows, but also all expenditures, including the...
Read More »Substitute goods are those goods that can satisfy the same necessity, they can be used for the same end.
Cross elasticity is the percentage change in quantity demanded for a good that occurs in response to a percentage change in price of anther ...
Read More »Perfect Substitute Goods are those goods that can satisfy the same necessity in exactly the same way. A substitute good can be used in place of another. If the consumer can choose between buying one substitute good or another, she will buy the cheaper one.
The Stakeholder Theory is a theory of organizational management that states that companies could archive better performance by taking all stakeholders into account, not only shareholders. Stakeholders are clients, suppliers, employees, the government and the society where the company operates...
Read More »Macroeconomics studies the behavior of economic aggregates. Macroeconomic variables are associated with economic aggregates: a country, a region, the population of a country, all companies in a country. For example, the aggregate production of a country is formed with the production of all its...
Read More »The elasticity of production, also called the output elasticity, is the percentage change in production divided the percentage change in the quantity of an input used for that production. For example, if a firm increases the number of workers by 10%, and the number of products produced per month...
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