*Unfinished*Chapter 1- Introduction To People In Business Flashcards
What is Business?
A business is any organisation set up to provide goods and services. A business can be commercial or non-commercial
What does a commercial business do?
A commercial business provides goods and services to make a profit for the owners
What does a non-commercial business do?
Non-commercial businesses exist to meet some needs other than making a profit
What are stakeholders?
Stakeholders are the different groups of people who are directly affected by how a business is run
What are Entrepreneurs?
Entrepreneurs are people who take the initiative to turn an idea into a business
What are investors?
Investors are the people who provide a business with the finance it needs
What is owners’ capital?
Owners’ capital is money invested by people or companies. In return they become part owners of the business and are entitled to a share in future profits. This is also known as equity capital.
What is loan capital?
Loan capital is finance provided by banks or other lenders and has to be repaid, with interest, within a certain period of time
What are Grants?
Grants are gifts of money that do not have to repaid as long as certain conditions are met, such as creating a certain number of new jobs
Who are employers
Employers recruit staff to work for them
What rights to employers have?
Recruiting employees, directing employees and dismissing employees fairly
What responsibilities to employers have?
Providing a written contract of employment, providing safe working conditions, paying wages as agreed in the contract of employment and complying with all employment laws
