To integrate economic theory with business practice. To apply economic concepts: and principles to solve business problems. 3. To employ the most modern instruments and tools to solve business problems. 4. To allocate the scarce resources in the optimal manner. 5. To make overall development of a firm 6. To help achieve other objectives of a firm like attaining industry leadership, expansion of the market share etc. 7. To minimise risk and uncertainty 8. To help in demand and sales forecasting 9. To help in operation of firm by helping in planning, organising, controlling etc. 10. To help in formulating business policies. 1. To help in profit maximisation. Business economics is useful because: It provides tools and techniques for managerial decisions, (ii) lt gives answers to the basic problems of business management, (iii) It supplies data for analysis and forecasting, (iv) It provides tools for demand forecasting and profit planning, (v) It guides the managerial economist. Thus, Business economics offers a number of benefits to business managers. It is useful to individuals, society and government.