UB - Needs/Wants, Goods/Services, Wealth Creation

Question 1

• What are Needs?
• What are Wants?

Answer 1

• Necessities for survival (e.g. food)
• Unnecessary for survival; desirable (e.g. phone)

Question 2

• What are Goods?
• What are Services?

Answer 2

• Tangible(physical) products sold by a business.
• Intangible (non-physical) experiences sold by a business

Question 3

Give 4 reasons as to why businesses want to understand needs and wants?

Answer 3

1. Finding a gap in market
2. To decide on the right target market
3. Increasing sales and profits
4. Growth

Question 4

Name and describe the 4 types of Goods

Answer 4

• Durable - long lasting, reusable
• Non-Durable - don’t last, single use
• Consumer - consumed by private individuals
• Capital