IN A MODERN SOCIETY

EDI PRASETYO NUHROHO

Dr. Harsono, M.Sc - PPM . FE-UGM 1
@ 07.01
Our responsibility is not only to make and
deliver products to customer but, mainly we
contribute significantly and continuously to
renew the economic wealth all the time.
(Al Fayeed, Sr)

Dr. Harsono, M.Sc - PPM . FE-UGM 2

@ 07.01
Simply to think by Business Players:
Business is an
organization that provide goods or
services to earn profit

Production-Distribution-Consumtion activities
Transformational & transactional processes
Market mechanism (Demand-Supply issues)
Entrepreneurialships and innovation
Economy-legal-social and political issues
International & Cross-Cultural issues
Property and protection issues

Dr. Harsono, M.Sc - PPM . FE-UGM 3

@ 07.01
Economic system – A nation’s system for
allocating its resources among its citizens
PRODUCTION FACTORS
NATURAL RESOURCES – LABOR – CAPITAL
– TECHNOLOGY-INFORMATION
ENTREPRENEUR

OWNERSHIP – DISTRIBUTION - UTILIZATION

Dr. Harsono, M.Sc - PPM . FE-UGM 4

@ 07.01
 UNDER THE SYSTEM OF…..
Planned economy – Economy that relies on a
centralized government to control all or most
factors of production and to make all or most
production and allocation decision
Market economy – Economy in which
individuals control production and allocation
decision through Supply and Demand

Capitalism - Market economy that provides for

private ownership of production & encourages
entrepreneurship by offering profit as an
incentive Dr. Harsono, M.Sc - PPM . FE-UGM 5
@ 07.01
Mixed market economy – Economy system
featuring characteristics of both planned and
market economies
Socialism – Planned Economic system in
which government own and operates only
selected major sources factors of production

PURE COMPETITION
MONOPOLY - OLIGOPOLY
Dr. Harsono, M.Sc - PPM . FE-UGM 6
@ 07.01
MAJOR GOAL : Stability, Full employment, Growth
ECONOMIC PERFORMANCE :
GNP – The value of all goods & services produced by an
economic system in a year regardless of where the
factors of production are located
REAL GNP – GNP adjusted for inflation and
changes the value of a country’s currency

GDP – The value of all goods & services

produced in a year by a nation’s economy
through domestics factors of production
Dr. Harsono, M.Sc - PPM . FE-UGM 7
@ 07.01
What countries must do to get high productivity, low
inflation economy

BOOST INVESTMENT SPENDING

RESTRUCTURE CORPORATIONS
OPEN FINANCIAL MARKETS
DEVELOP VENTURE CAPITAL
ENCOURAGE AN ENTREPRENEURIAL CULTURE
INCREASE THE PACE OF DEREGULATION
ADJUST MONETARY POLICY
Dr. Harsono, M.Sc - PPM . FE-UGM 8
@ 07.01
HAL-HAL APA YANG DIHARAPKAN OLEH
PARA PELAKU USAHA DI INDONESIA
ATAS PERAN PEMERINTAH UNTUK
MENGKONDISIKAN DAN MEMFASILITASI
TUMBUH DAN BERKEMBANGNYA IKLIM
UNTUK MENDUKUNG KEGIATAN USAHA
YANG SEHAT

Dr. Harsono, M.Sc - PPM . FE-UGM 9

@ 07.01