Business Recommendations Based on Economic Projections

Business Recommendations Based on Economic Projections

In this time of economic uncertainty, the automotive industry has taken a major hit. In December 2008, President George W. Bush granted a $17.4 billion bailout for Chrysler and GM. This bailout was in the form of loans and the “terms of these loans required the automakers to restructure and become profitable soon” (Rogers & Allen, 2008.) The economic future of the once strong automobile industry has changed directly related to the present economic conditions. Predicting economic futures accurately is essential to ensure the individual organizations choose the best business alternatives. Economic forecasts are used to generate accurate business decisions based on potential fluctuations that may occur in the economy.

Milestone 1

The authors are going to review the data for Big Drive Auto. The data was provided in the Big Drive Auto Scenario located on the student Web site. From this data, the authors will provide pricing strategy recommendations, recommendations for non-price barriers to entry, and ideas for product differentiation for the organization.

Milestone 1: Business Recommendations Based on Economic Projections

The economic future of an industry may change depending on various economic conditions. Predicting economic futures is an essential skill when choosing between business alternatives. This Learning Team project prepares you to make informed management decisions based on what you know about the economy.

For this project, your team must write a paper that offers recommendations for a company to make business decisions based on potential changes that may occur in the economy over the next 5 years.

• Choose an organization for your final project. You may choose the Big Drive Auto Scenario located on your student Web site, or an organization of your choosing in which you may obtain the same type of data as the provided scenario. If you choose this option, make sure it is a publicly traded...