Mathematics can be used to furnish knowledge-based advice for SME. This is possible on a construction of a model relating socioeconomic variables to the success/failure dependent variables of the SME. For an already established SME, a forecast of future success/failure could be made on autoregressive basis. Preemptive measures can be put in place according to the forecast.
Six Sigma which is used by many medium businesses uses a lot of maths/statistics.
If you add all the projections, and budgets, these often use simple (Last year+% increase) or more sophisticated maths such as decision tress or expected value. Salesforce compensation modelling is another area. I could go on and on.
Mathematics may be used to predict the fortunes or woes of a business. This is based on the records over time of the business. Analysis of such records could yield the desired forecasts. Amounts of money borrowed or lent by simple and compound interests can be computed. Levels of inventories can be estimated or predicted. Economic order quantities can be determined. The list is endless.
It well be known that, many economic process and approaches utilize mathematics to analysis data and make an appropriate decision.
Quality control, Process and product optimization, mathematical programming based decision making etc....all play a role in any type of business venture.
Dear Osamn,
Mathematics is the servant of all sciences, in particular, all domains of business. In fact, there are some branches in pure mathematics and applied mathematics. Not all types of mathematics are needed to get expert in business. But Statistics, probability theory, and operation research courses are essential topics to study business at all levels.
Regards
Mathematics is a vital tool in the field of Econometrics when it is combined with economic theory and statistics especially in a causal research design.Regression can then be run which relies heavily on mathematics as a tool to predict performance of a construct.
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