โ Scribed by James Stotter
No coin nor oath required. For personal study only.
business cycle forecasting through the use of key economic indicators-can play an important role in competitive intelligence. Familiarity with key indicators leads to an understanding of how different parts of the economy interact. Tracking these can be as simple as taking a daily look at the front-page of the Wall Street Journal. "Elasticity"-how sensitive one variable is to a change in another variable--is a useful tool for defining markets and forecasting responses to price changes. For example, algebraic equations can be used to forecast whether a price increase (or decrease) will produce a proportionately greater decrease (or increase) in quantity demanded. "Arc elasticity" can be used to determine the elasticity over a given price range (or arc). When demand is elastic, total revenue-the price at which a given quantity is sold times that quantity-declines as prices are increased and increases as prices fall. The opposite is true of inelastic demand. Knowing the elasticity of demand for your products and your competitors' products is a key to determining pricing strategy. Income elasticity is a similar tool, with income substituted for price. Also usehl for CI is determining the boundaries of an industry or market by calculating cross elasticity of demand. 9 1996 Jolui Wdey & Sons. lnc. *Percentage change i n the price of a product. **Percentage change in quantity demanded of a produce.
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## This exploratory investigation into the intersection of competitive intelligence (CI) and human resource management (HRM) begins by reviewing the concept of competitive intelligence which includes the acquisition, analysis, and dissemination of information. To do so, relevant theoretical perspe