People In Business Flashcards
What is a business?
An organisation set up to provide goods and services.
What is the primary goal of commercial organisations?
To make a profit.
What are social enterprises?
Not for profit organisations.
What characterizes private sector businesses?
Individually owned.
What characterizes public sector organisations?
State owned.
Who are stakeholders?
Different groups of people directly affected by how a business operates.
Name three internal stakeholders.
- Employees
- Owners
- Managers
Name three external stakeholders.
- Customers
- Suppliers
- Governments
Who are entrepreneurs?
People who take the initiative to turn an idea into a business.
What is the role of investors in a business?
To provide needed financial resources.
What is owner’s/equity capital?
Money exchanged in return for partial equity in the business.
What is loan capital?
Loans which need to be repaid with interest.
What are grants?
Gifts of money which don’t need to be repaid as long as certain conditions are met.
What are the rights of employers?
- Hiring employees when needed
- Directing employees to work as needed
- Dismissing employees fairly
What are the responsibilities of employers?
- Providing written contract of employment
- Paying wages as agreed
- Providing safe working conditions
- Complying with employment laws
