ECTS credits: 6
Lectures: 2
Exercises: 1

Course objective:

The aim is to inform the students about the fundamental knowledge regarding company economics, to adopt the economic way of thinking and drawing conclusions, with an emphasis on the activities within the logistics system.

Course contents:

Introduction: the concept of business economics as a scientific discipline, methods and techniques. Economic theory and analysis. Functions of production and costs. Framework conditions for micro-subject development. Technological advancement and economic development and their impact on the position of business entities. Theory of companies and entrepreneurship: theory, objectives and values of a company (enterprise), the concept of an entrepreneur and entrepreneurship, actors within a company and their relations, operating principles, company functions and assets, performance indicators. Organization of a company: the concept of organization, organization theory, organizational structure. Business operations: operating principles, business policy, planning, company funding, company assets, business enterprises in the market, controlling operations, risk management. Cost theory: concept and importance of costs, nature and types of costs, basic features of costs - fixed and variable costs, locations and cost centres, cost remanence and elasticity, cost dynamics, marginal costs, total and average costs, methods for separating costs. Calculating cost price: the concept and calculation elements, types of calculations, division calculation, addition calculation, combined calculation, costs, revenues and capacity utilization, application of cost theory in the pricing policy in various market situations. Calculations in production and commercial activities. Business results: expenditure, revenues, business performance (profit and loss), analysis of financial reports, determining company value, measuring business performance - productivity, efficiency, profitability. Business policy at company level. Decision-making within the company in the conditions of market uncertainty. Corporate management. Business economics: economics of resources (work, objects of work and constant means). Economics of work process. Economics of functions. Investment economics: preparation of an investment project, evaluation and implementation of an investment project.

Competences:

General: acquiring basic theoretical knowledge and practical experiences from the business economics necessary for operative company management, as well as recognition of strategic potentials in the development. Specific: getting to know certain methods of measuring relative and financial success of company business, tools for planning business success, and applicable knowledge in the domain of management, separation, and usage of expenditures in business decision-making.

Learning outcomes:

Having passed the exam, the student will be able to: 1. properly define the company as a system 2. analyze and evaluate the operation of a company on the market 3. explain and conceptually define certain types of expenses, locations and cost centres, their dependence on the level and changes in capacity utilization 4. perform identification, formulation, and solution of practical problems of costs in price policy and different market situations; 5. argumentate the approach to research of logistic company operation, business result and possible limitations; 6. propose and predict the performance and performance indicators in a company; 7. compare economics of business, resources, business process and functions 8. prepare investment project documentation The aforementioned learning outcomes contribute to the learning outcomes of the study programme: - Explain the properties and functions of a logistics system. - Describe the organization of a logistics procurement and supply system. - Analyse relevant management indicators in the logistics system. - Apply computer support in resolving logistics issues.