POB UNIT 1 Flashcards
What is the definition of a business?
A business uses resources and activities to create goods or provide services that meet daily needs and wants that supports society.
What are the objectives of a business for business owners?
Business owners aim to make a profit and find personal satisfaction.
What are the objectives of a business for employees?
Employees need work to earn an income.
What is the objective of a business for society?
Businesses should provide goods and services that meet people’s needs and wants. create jobs, and generate wealth for society.
What are the factors of production in a business?
The factors of production include land/material, labour, capital, and entrepreneurship
What is “land/material” as a factor of production?
It refers to all natural resources/tangible inputs used in the production process, like raw materials.
What does “labour” mean in the context of production?
Labour means the physical and mental work people do to create goods and services.
What is capital in a business?
Capital refers to the money a business needs to operate, which can come from owner investments, loans, or profits, used to buy raw materials, pay employees, or expand.
What is entrepreneurship in a business?
It refers to the risk-taking by the owner in operating the business. Entrepreneurs can either manage the business themselves or hire professional managers to run it on their behalf.
How do workers depend on a business’s financial success?
Workers depend on the business’s financial success because their future careers and incomes depend on it.
What is the role of workers’ unions in a business?
Workers’ unions promote teamwork, improving productivity, and corporate reputation, and reducing conflict and absenteeism.
What do suppliers provide to businesses?
Suppliers provide materials, goods, and services that businesses need. They must stay updated on new products and services in the market.
What do customers expect from businesses?
Customers expect businesses to provide goods and services that meet their changing needs and wants, requiring businesses to update and innovate their offerings.
What is the relationship between businesses and the government/economy?
Businesses help the economy grow by producing goods and services, generating taxes that support government programs like healthcare and housing.
How do welfare organizations interact with businesses?
Welfare organizations allow businesses to demonstrate social responsibility by donating, volunteering, or providing professional services to organisations.
