Macroeconomic Environment effects on Microeconomic Factors

Macroeconomic Environment effects on Microeconomic Factors

Introduction

We will be reviewing the example of change in macroeconomic factors effecting the individuals, firms and industries through microeconomic factors.

Discussion

Changing economic variables in China and McDonald's expansion strategies

(Answer to Question 1)

Chinese economy received a boom after lifting of trade barriers. The production increased raising the GDP and also favored the income of the people. Exports increased and so as foreign inflows which boosted the economy. The people of China with the prosperity improved their lifestyles which gave rise to new marketing and expansion avenues. Chinese bought more cars and improved ...