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Economic Calculus and Weak Signals: Prevention Against Foggy Bottom

Author

Listed:
  • Zbyslaw Dobrowolski
  • Grzegorz Drozdowski
  • Monika Dobrowolska
  • Janusz Sobon
  • Dariusz Sobon

Abstract

Purpose: Investment decisions are taken based on an economic calculation, considering the analysis of a diverse and partially unpredictable economic environment. Each enterprise's economic calculus is treated as a decision based on rationality and serves as an instrument to support the investment measure's selection. Despite different studies, there is a research gap in the usage of weak signals in economic calculus. Meanwhile, the spectacular collapses of well-recognised firms resulted from weak identification of coming failures. Approach/Methodology/Design: The authors carried out an integrative literature review to generate new knowledge on the usage of weak signals in economic calculus insights in this paper have emerged iteratively. Findings: Based on an integrative literature review, the authors offer the potentially radical generalisation that firms must use weak signal analysis during the process of economic calculus creation. Practical Implications: The article brings several valuable information that can be the base material and reference to further research. Study results can be a starting point of discussion and analysis on each firm, both from the public and private sectors. Originality/Value: The original study aims to initiate discussion and further research weak signal analysis in economic calculus. It is the first such research.

Suggested Citation

  • Zbyslaw Dobrowolski & Grzegorz Drozdowski & Monika Dobrowolska & Janusz Sobon & Dariusz Sobon, 2021. "Economic Calculus and Weak Signals: Prevention Against Foggy Bottom," European Research Studies Journal, European Research Studies Journal, vol. 0(2 - Part ), pages 165-174.
    • Handle: RePEc:ers:journl:v:xxiv:y:2021:i:2-part1:p:165-174
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    References listed on IDEAS

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    More about this item

    Keywords

    Business economics; management; risk; uncertainty; public administration.;
    All these keywords.

    JEL classification:

    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration
    • M2 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics
    • G0 - Financial Economics - - General
    • Z0 - Other Special Topics - - General

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