Modeling of Time Delayed Processes in Business Economics

Abstract

The growth of mutual dependence and interconnection of markets of both national economies and multinational groups in the form of globalization processes is a typical characteristic of the current economic development. The turbulent environment of rapidly developing markets creates conditions for an increase in competition among econ tX )( omic entities, which is one of the main reasons for better allocation of factors of production and more efficient manufacturing, leading to improved competitiveness in the global market. In business practice, there are a number of phenomena characterized by changes and dynamics. Understanding the dynamics of these changes is crurial for the management decision-making since consumer behaviour changes in time these days. Therefore, we may perceive a company in a given context as a dynamic system with multiple elements and connections. In the business environment, we may consider production, consumption, investments and others to be static variables. A model of such a dynamic system is usually based on a system of differential equations describing changes of the static vector in time. This type of equations has been increasingly used in modelling of changes and motion in various scientific fields.