Business Cycle (Business Cycle, KBManage)
All businesses face business cycles. Business cycle is the ‘periodic but irregular up and down movement in economic activity’. Business cycle model and terminology can be used in study and explain fluctuations in businesses and firms. There are four phases in a business cycle – Expansion, Peak , Recession and Trough.
BlackBerry (BlackBerry Not there yet, BBC)
According to the article ‘BlackBerry Not there yet’, BlackBerry now accounts for less than 1$ of sales in the world. In the other words, BlackBerry is in contraction or even at trough. There is no businesses and firms would like to stay in contraction or at trough, including BlackBerry. Blackberry now is looking for ways to get over this contraction.
BlackBerry used to be the one who dominated the smartphone industry, but now it is almost eliminated by the market. BlackBerry does not see future in making smartphones, but it sees future in selling more services and software to large buyers. BlackBerry hopes to get over the contraction and tough, then begins new expansion by adjusting its targeted segments.
In businesses, there is recession to expansion to recession to expansion again and again. Businesses, like BlackBerry and Apple aims to stabilize and minimize fluctuations through the business cycle.
Bibliography
- Business Cycle [JPG] Retrieved October 4, 2014, from https://www.kbmanage.com/concept/business-cycle
- Business Cycles. (n.d.). Inc.com. Retrieved October 4, 2014, from http://www.inc.com/encyclopedia/business-cycles.html
- Not there yet. (2014, September 27). The Economist. Retrieved October 4, 2014, from http://www.economist.com/news/business-and-finance/21620699-blackberrys-promised-comeback-has-not-yet-materialised-not-there-yet