Terms & Concepts Flashcards
Organization
A group of persons coming together to achieve a particular goal
Enterprise
An initiative or business activity
Entrepreneurship
The willingness of an individual or group to undertake risks
Barter
A system of exchange without the use of money
Profit
A valuable return
Loss
A inexpensive return
Break-even
A position of zero profitd
Trade
The activity of exchange involving buyers and sellers
Economy
The network of economic agents and trading activities in a country, involving, producers,consumers,households and firms
Exchange
The giving up of one thing for another with or without the use of money
Producer
The economic agent that makes the good or generates the service
Good
A tangible product, it can be touched and stored for use at a later date
Service
An intangible product or series of related activites
Market
A physical or virtual situation where buyers and sellers interact to trade
Commodity
A good traded in bulk
Capital
Physical inputs into the production process
Labour
The amount of physical, mental and social effort used to produce goods and services in an economy
Specialization
The focus of effort on a particular task leading to expertise in the area
Division of labour
The dividing of a job into different tasks or specializations, to be performed by different persons
Globalization
The opening up of markets internationally, leading to a reduction of trading barriers among countries and greater access to goods and services
Production
The process of being manufactured
Consumption
The action of using up a resource
Wants
Something you desire to have
Need
Something that you must have to live
