Managerial Economics

Course Overview

Decision-making is the bedrock of management. Selecting the most optimal course of action that is in the best interest of the company, however, can be complex and often high-stakes. Managerial economics applies economic theory to “problems of choice” and can help improve decisions by factoring micro- and macroeconomic considerations in the analysis of the firm, market, consumers and competitors. This course introduces students to the principles of managerial economics, macroeconomics and economic fundamentals. Students will learn to utilise tools and techniques of economic analysis to build a business strategy and will explore concepts of supply, demand, efficiency, price and consumer income elasticity and market intervention. Further, they will understand the impact of the government’s economic policy on job markets, aggregate demand, price stability and economic growth. 

After completion of this course, students will be able to use managerial economic analytical frameworks to assess a firm’s actual and potential position to maximise its growth and profitability.

Cambridge Faculty: Khaled Soufani, Ph.D.

Dr. Khaled Soufani is the Senior Faculty in Management Practice (Finance), Director of the Executive MBA Programme and Director of the Middle East Research Centre Cambridge Judge Business School. He was awarded the Cambridge Judge Business School Teaching Award, 2013. Dr. Soufani has published extensively in the area of economics, financial management, corporate restructuring, M&A, private equity, venture capital and family business, and also the financial and economic affairs of small-medium sized enterprises, and is currently working on the characteristics, concepts and application process of the circular economy in developed and developing economies. 

Learning Outcomes

• Describe the main themes of managerial economics which are relevant to what business decision-makers need to take into consideration when conducting an analysis of the firm, market, consumers, and competitors.
• Utilise the main tools and techniques of economic analysis to think critically and analytically in order to help build a business strategy to remain competitive in the marketplace and to operate effectively over time.
• Build the foundational knowledge necessary to understand all other areas of business decision-making relating to finance, marketing, management practice and strategy.
• Analyse the different relationships that exist between the main concepts of managerial economics and decision-making in a firm, so that better and more informed business decisions are made to identify practical opportunities and deal with business challenges.