Exploring Business Chapter 1

buisness

any activity that seeks to provide goods and services to others while operating at a profit

goods

Tangible products such as computers, food, clothing, cars, and appliances.

Services

Intangible products (products that can't be held in hand) like education, healthcare, etc

How do you reach your consumer?

Using their preferred method of media

Entrepreneur

A person who risks time and money to start and manage a business

revenue

The total amount of money a business takes in during a given period by selling goods and services.

profit

The amount of money a business earns above and beyond what it spends for salaries and other expenses needed to run the operation

loss

Occurs when a business's expenses are more than its revenues.

risk

the chance an entrepreneur takes of losing time and money on a business that may not prove profitable

Standard living

refers to the amount of goods and services people can buy with the money they have

Stakeholders

All the people who stand to gain or lose by the policies and activities of a business and whose concerns the business needs to address.

Outsourcing

Contracting with other companies (often in other countries) to do some or all of the functions of a firm, like its production or accounting tasks.

nonprofit organization

an organization whose goals do not include making a personal profit for its owners or organizers

Five Factors of Production

1. Land
2. Labor
3. Capital
4. Entrepreneurship
5. Knowledge

What makes rich countries rich?

Entrepreneurship and Knowledge

What has completely changed the way people communicate with each other?

IT or Information Technology

Technology

Everything from phones, computers, mobile devices, medical imaging machines, robots, the internet, social media, and various software programs and apps that make business process more effective, efficient, and productive

Customer is the ....

KING

Demography

The statistical study of the human population with regard to its size, density, and other characteristics such as age, race, gender, and income.

buisness environment

Surrounding factors that either help or hinder the development of the buisness

climate change

the movement of the temperature of the planet up or down over time

Database

electronic storage file for information

e-commerce

the buying and selling of goods over the internet

Empowerment

giving frontline workers the responsibility, authority, freedom, training, and equipment they need to respond quickly to customer requests

Greening

the trend toward saving energy and producing products that cause less harm to the environment

identity theft

the obtaining of individuals' personal information, such as Social Security and credit card numbers, for illegal purposes

Productivity

the amount of output you generate given the amount of input

quality of life

The general well-being of a society in terms of political freedom, a clean natural environment, education, health care, safety, free time, and everything else that leads to satisfaction and joy.

Network and Computer Systems Administrator

Responsible for the day to day operations of computer networks