leading indicator
(noun)
Leading indicators are indicators that usually change before the economy as a whole changes.
Examples of leading indicator in the following topics:
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Economic Indicators
- Indicators that predict the status of the economy three to twelve months into the future are called leading economic indicators.
- If such a leading indicator rises, the economy is likely to expand in the coming year.
- To predict where the economy is headed, we obviously must examine several leading indicators.
- Finally, if you want a measure that combines all these economic indicators, as well as others, a private research firm called the Conference Board publishes a U.S. leading index.
- To get an idea of what leading economic indicators are telling us about the state of the economy today, go to the "Business" section of the CNN Money website (CNNMoney.com), and click first on "Economy" and then on "Leading Indicators."
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Free Enterprise
- Scatter graph of the People's Republic of China's GDP between years 1952 to 2005, based on publicly available nominal GDP data published by the People's Republic of China and compiled by Hitotsubashi University (Japan) and confirmed by economic indicator statistics from the World Bank.
- Explain how free enterprise leads to the economic system of capitalism
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Informed Decisions
- The decisive actions are taken and additional actions are taken to prevent any adverse consequences from becoming problems, which can lead to the processes of problem analysis and decision-making to begin all over again.
- MIS not only indicates how various aspects of a business are performing, but also why and where.
- Technology enables fast access to vast quantities of information, which can lead to better decision-making.
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Herzberg's Two-Factor Theory
- The Two-factor theory indicates that one set of factors at work cause job satisfaction, while another set of factors cause dissatisfaction.
- However, Herzberg added a new dimension to this theory by proposing a two-factor model of motivation, based on the notion that the presence of one set of job characteristics or incentives leads to worker satisfaction at work, while another and separate set of job characteristics leads to dissatisfaction at work.
- This theory suggests that to improve job attitudes and productivity, administrators must recognize and attend to both sets of characteristics and not assume that an increase in satisfaction leads to decrease in unpleasurable dissatisfaction.
- However, the absence of such gratifying job characteristics does not appear to lead to unhappiness and dissatisfaction.
- Herzberg argues that both motivation and hygiene are equally important, but that good hygiene will only lead to average performance, preventing dissatisfaction, but not, by itself, create a positive attitude or motivation to work.
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Management Levels: A Hierarchical View
- Examples of top-level managers include a company's board of directors, president, vice-president and CEO; examples of middle-level managers include general managers, branch managers, and department managers; examples of low-level managers include supervisors, section leads, and foremen.
- Supervisors, section leads, and foremen are examples of low-level management titles.
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Entrepreneurship and the Economy
- If entrepreneurship remains as important to the economy as ever, then the continuing failure of mainstream economics to adequately account for entrepreneurship indicates that fundamental principles require re-evaluation.
- The supposition that entrepreneurship leads to economic growth is an interpretation of the residual in endogenous growth theory and as such is hotly debated in academic economics.
- Identify the characteristics of an entrepreneurial economy and the factors that lead to it
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Industrial Purchasing Behavior
- 1990s: Hamanaka and the copper market Rogue trader Yasuo Hamanaka, Sumitomo Corporation's chief copper trader, attempted to corner the international copper market over a ten year period leading up to 1996. [6] At one point during this "Sumitomo copper affair," Hamanaka is believed to have controlled approximately 5% of the world copper market. [6] As his scheme collapsed, Sumitomo was left with large positions in the copper market, ultimately losing US$2.6 billion. [7] In 1997 Hamanaka pleaded guilty to criminal charges stemming from his trading activity and was sentenced to an eight year prison sentence.
- 2008: Porsche and shares in Volkswagen During the financial crisis of 2007-2010 Porsche cornered the market in shares of Volkswagen, which briefly saw Volkswagen become the world's most valuable company. [8] Porsche claimed that its actions were intended to gain control of Volkswagen rather than to manipulate the market: in this case, while cornering the market in Volkswagen shares, Porsche contracted with naked shorts—enabling it to perform a short squeeze on them. [9] It was ultimately unsuccessful, leading to the resignation of Porsche's chief executive and financial director and to the merger of Porsche into Volkswagen.
- For example, if you had taken one dollar to a store in the 1950s, you would have been able to buy a greater number of items than you would today, indicating that you would have had a greater purchasing power in the 1950s.
- 1990s: Hamanaka and the copper marketRogue trader Yasuo Hamanaka, Sumitomo Corporation's chief copper trader, attempted to corner the international copper market over a ten year period leading up to 1996. [6] At one point during this "Sumitomo copper affair," Hamanaka is believed to have controlled approximately 5% of the world copper market. [6] As his scheme collapsed, Sumitomo was left with large positions in the copper market, ultimately losing US$2.6 billion. [7] In 1997 Hamanaka pleaded guilty to criminal charges stemming from his trading activity and was sentenced to an eight year prison sentence.2008: Porsche and shares in VolkswagenDuring the financial crisis of 2007-2010 Porsche cornered the market in shares of Volkswagen, which briefly saw Volkswagen become the world's most valuable company. [8] Porsche claimed that its actions were intended to gain control of Volkswagen rather than to manipulate the market: in this case, while cornering the market in Volkswagen shares, Porsche contracted with naked shorts—enabling it to perform a short squeeze on them. [9] It was ultimately unsuccessful, leading to the resignation of Porsche's chief executive and financial director and to the merger of Porsche into Volkswagen.2010: Armajaro and the European cocoa marketOn July 17, 2010, Armajaro purchased 240,100 tonnes of cocoa.
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Brevity
- Research indicates that white-collar workers in the United States generally spend 20 percent or more of their work time reading.
- I announce in my business writing workshops that five elements lead to successful business writing: brevity, clarity, correctness, courtesy, and power.
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O Tannenbaum and Schmidt
- As the diagram indicates, many managers in Kerry's situation employ two means to make decisions like this: intuition and analysis.
- And, as Peter Drucker observed, too much fact can create stagnation and "analysis paralysis": "(A)n overload of information, that is, anything much beyond what is truly needed, leads to information blackout.
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Two Spices for the Business Kitchen
- In fact, a study by the London business School indicated that "for every percent of sales invested in product design, a company's sales...rise by an average of three to four percent."
- Joyfulness at work, in turn, can lead to greater creativity, productivity, and collaboration.