Economic Behaviors in Microeconomic Management

U.S. Economy is performing through sales revenues, profit margins and workforce size. Sales revenues are a positive sign of confidence and satisfaction based on prices of all sold goods and services. Each sales transaction is accumulated into the total of sales revenues which include cost of goods sold, business operations and other credit and debit items in a financial statement. Profit margin (Net Profit Margin) is a value of Net Income divided by Revenue timed 100. Net Income is a value of Revenue subtracted to Cost of Goods sold. If Revenue is bigger than Cost of Goods Sold, Net Income will be relatively a big value. A workforce size is a total of hired employees temporarily and full-time. A company can use economic metric or sales revenue per employee to evaluate how effectively salaries and rewards are impacted on each employee’s performance. A retailer can measure annual sales revenues based on hired employees at a specific store to determine business management plans. Among 50 states and cities in each state, the headquarters of a retailer can decide different sales programs and HR management strategies to achieve sales revenues, profit margin with a specific workforce size.