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2. Managerial Economics Case Study 1: Economic Analysis of Organization ABC Organization ABC was one of the leading organizations in manufacturing soaps. After a certain point of time, the organization found that there was an increase in its cost and reduction in profits. However, the economy of the nation was at boom. Apart from this, the manufacturing industry was also enjoying high profits. Questions: Q1. Which economic theory is used to solve the problem in the case study? Q2. Which economics concept is used in this case study?

3. Case Study 2: Kingfisher Airlines Pricing Strategies Kingfisher Airlines (KFA), India-based airline group, is a wholly owned subsidiary of United Breweries (UB) Group. The parent organization is India’s largest producer of beer and established its operations in India in 2005. Questions: Q1. What pricing strategy was followed by Kingfisher to complete in the aviation industry? Was it competition or cost-based strategy? Q2. Do you think that pricing acts as a differentiating factor in the aviation industry?

4. Case Study 3: The Business Cycle of ABC Country ABC country was facing a downturn in its economy. All the economic factors, such as production, prices, savings, and investment, of the country started decreasing. In the initial phases of downturn, businessmen were not able to recognize it. Questions: Q1. What are the phases of business cycle explained in the case study? Q2. What are the main causes of recession in ABC country?

5. Case Study 4: Russian Economy from 1990 to 2007 The Russian Federation (Russia) faced several economic problems when it was formed after the dissolution of Union of Soviet Socialist Republic (USSR) or the Soviet Union. Therefore, Boris Yeltsin the first President of Russia implemented various measures for the economic growth of Russia, such as stabilization policies and economic restructuring. These measures helped the Russian economy to become market-focused economy from a centrally planned economy. Questions: Q1. What are the measures adopted by Boris Yeltsin to overcome inflation? Q2. What are the measures used by a government for controlling inflation?

6. Case Study 5: Competition in Magazine Industry Earlier, there were only few organizations operating in the magazine publication industry. At that time, it became a trend to provide free gifts, audio and video CDs, DVDs, and scented candles, to customers along with magazines. The concept of free gifts was introduced to increase customer base. Questions: Q1. What type of market structure is prevailing in the magazine industry? Why? Q2. What are the problems faced by organizations in the magazine industry due to ligopoly?

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