Do you have to know microeconomics to be succesful in business?Like mc = mr or avc shutdown and stuff people are successful in business without knowledge of mc=mr and stuff/

Expert Answers
pohnpei397 eNotes educator| Certified Educator

Great question.

First of all, you need to define what you mean by succeeding in business.  If you mean being a successful manager at an established company, I'd say no -- management and administration aren't really dependent on microeconomics.

Can you run a small business without knowing this stuff?  Yes, but it's safer to know the rules of microeconomics so that you can be sure that you're not making dumb mistakes and costing yourself money.

But overall, knowledge of academic microecnomics is not the most important thing for business success.  It seems more important to be able to have a feel for what people want to buy, how to get them to demand your product, how to make them feel welcome in your establishment, etc.  If you look at the links, you'll see that they don't emphasize microeconomic knowledge but more of what I've been talking about in this last paragraph.

readerofbooks eNotes educator| Certified Educator

While knowledge is never a negative thing and it certainly won't hurt a person in business to know microeconomics, it is not absolutely necessary. It would be more important for a person to be intellectually sharp, socially aware, able to read the times and ethos of a community, and work efficiently. I would argue that if a person has most of these qualities, many of the principles of microeconomics would come naturally. With that said, if a person wants to go into business, and has the opportunity to learn microeconomics, why not do it? Or a person can even pick up a book or two and start reading and learn the basic ideas in no time!