Nature of business Flashcards
What is the purpose of a business.
To provides goods and services to customers.
What is a good
Something that is tangible
What is a service
Something that is intangible
What is a need
Something you must have to survive
What is a want
Something you would like to have but don’t need
Reasons to start a business
Flexible hours/Be own boss/Keep all profit///Spot a business opportunity
What is an entrepreneur
An entrepreneur is an individual who has an idea for a business and starts the business based on this idea.
Characteristics that entrepreneurs may have
Initiative/Drive/Self belief/Risk taker/Passionate/Confidence
Factors of production
Land/Labour/Capital/Enterprise
What is an opportunity cost
The sacrifice you make when you decide to do something it is the thing you give up
Business sectors
Primary/Secondary/Tertiary
Business functions
Marketing/Operations/Human resources/Finance
What is business environment
Outside factors that can impact the business but are out of its control
