Chapter 1 Flashcards
1
Q
Primary task/challenge for 21th century organisations:
A
recognize & respond to the needs of their stakeholders
2
Q
Entrepreneurship vs working for others:
Ups and Downs
A
Ups:
- freedom to succeed
- own decisions
- high possibility of wealth
- hire own staff
Downs:
- freedom to fail
- no paid vacations
- no health insurance
- no daycare
3
Q
Factors of production
Traditionally only four
A
- Land (natural resources)
- Labor (workers)
- Capital (machines, tools)
- Entrepreneurship (taking the risk)
- Knowledge MOST IMPORTANT
4
Q
What makes rich countries rich today?
A
combination of entrepreneurship and effective use of knowledge
5
Q
How can government promote business?
A
- Minizing corruption
- Allowing private ownership of business
- Minimizing interference with free exchange of goods and services
- Passing laws that enable businesspeople to write enforceable contracts
- Establishing a currency that’s tradable in the world markets
- Minimizing spending & keeping taxes and regulations to a minimum
6
Q
The evolution of US business:
A
- Argiculture Era
- Manufacturing Era
- Service Era
- Information-Based Era
7
Q
‘Most important factor of production in our economy is and will always be knowledge’,
Who said this?
A
• Peter Drucker
8
Q
Keeping strong employee in non-profit organization:
A
- Set ambitious, but realistic goals
- Allow all employees to work with the groups
they are serving - Give them a break
