Question

In: Economics

Q1. Explain why real estate management institutions are important for various stakeholders.

  1. Q1. Explain why real estate management institutions are important for various stakeholders.

Solutions

Expert Solution

stakeholder is a term used for the entrepreneur who undertakes various dealings and risk,seek opportunities in aim to maximize profits.stakeholders are risk takers.in the market there are various sector of business such as

  • pharmaceutical sector
  • banking sector
  • real estate sector
  • automobile sectors
  • power and technological sector

an investor invest in such kind of investment by making an optimized portfolio.

importance of real estate management institutions-

  1. PROVIDE CONSULTANCY AND ADVISE- these institutions provide the effective news based on the market situation whether the current scenario is right to enter in the market or exit from the market.
  2. BALANCING PORTFOLIO- these institutions are helpful in balancing the overall portfolio of the investors.it diversify the amount to be invested and thus if one sector faces recession then the other might be helpful in covering up the loss.
  3. GROWTH OPPORTUNITY- the real estate sector have been a eminent method for investment whether invested in residential or commercial property,therefore these institute provide effective way of growth opportunity for the capital.
  4. STABLE SECTOR-real estate is the stable sector in the economic crisis it provide the possession of asset and recovers its loses easily when the economy is in recovery phase.
  5. PREVENTION FROM DEPRECIATION- real estate is a sector which hardly faces any depreciation instead it has shown an increment in the invested value.

after going through the above context we can observe the importance of real estate sector and concerned institutions.


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