production, manufacturing, goods & services Flashcards
what is production?
Transformation of resources into a final product
what are needs?
basic requirements for human survival
what are goods?
Physical products, such as mobile phone, packet of crisps or a pair of shoes
what is manufacturing?
the use of raw materials to make physical products
what are consumer goods?
goods that are produced for final consumption
what are intermediate goods?
components that may be used by manufacturers
what are capital goods?
tools, machinery and equipment used in the production of other goods
what are direct services?
personal services with the aim of being directly provided to customers
what are commercial services?
services provided to help with the distribution of products
what are the aids to trade?
transport, warehousing, communication, advertising, banking, insurance
what are the factors of production?
land, labour, capital, enterprise
what is land?
all the natural resources used in the production of goods
what is labour?
all the work course involved in the production of goods & services
what is capital?
finance provided by the owners of a business
what is enterprise?
the activity of starting and running a business
