Why would knowledge of macro economy be important as a future manager?

Question

Why would knowledge of macro economy be important as a future manager?

Answer 1

If you are going to be an industry analyst you need to understand the larger picture, i.e., macroeconomics.  Managers can be all over the map.  I am big advocate of managers who have a background in psychology.   To understand that everyone appreciates a compliment.  Maybe not as much a pay increase; but, I have not met an employee who resented a compliment and being asked rather than being commanded to perform a task.  The employee knows he has to perform the task; but, I found when it was framed as question that the reaction of the employee was more positive.

Answer 2

Main thing why it is important - because you should react accordingly to changes in economy, all markets are tied to macro-level processes in economy, like disposable income, direction of economic development, etc.

So many decisions you make as manager affect future costs of your company and knowing macro-processes you make efficient (cost-minimizing and thus profit-maximizing) decisions about types of investments, volumes and frequencies of purchases, adopting product to needs of future market, etc.

This is question of survival for most companies in competitive environment in modern dynamical economy