understanding business activity, 1 bussiness activity

Question 1

business activity

Answer 1

the process of producing goods and services to satisfy consumer demands

Question 2

need

Answer 2

a good service which is essential to living

Question 3

wantrez

Answer 3

a good or service which people would like, but is not essential for life

Question 4

economic problem

Answer 4

unlimited wants cannot be met because there are limited factors of production. this creates scarcity

Question 5

factors of production

Answer 5

the resources needed to produce goods and services- land, labour, capital and enterprise

Question 6

scarcity

Answer 6

there are not enough goods and services to meet the wants of the population

Question 7

opportunity cost

Answer 7

the benefits that could have been gained from an alternative use of the same resource

Question 8

specialization

Answer 8

people and businesses concentrated on what they are best at

Question 9

division of labour

Answer 9

production is divided into separate tasks and each employee does just one of those tasks

Question 10

consumer goods

Answer 10

productions which are sold to the final consumer. they can be seen and touched, for example computers and food

Question 11

consumer service

Answer 11

non-tangible products such a insurance service, transport.

Question 12

capital goods

Answer 12

physical goods such as machinery and delivery vehicles used by other businesses to help produce other goods and services