BUSINESS B

Notes

BUSINESS BASICS 1.1 Introduction to Business Management •What is a business? A decision-making organization that may or may not be for profit. It involves exchanging goods and services to satisfy the needs and wants of people, organizations, governments, etc. An enterprise is a group of people working toward an objective, usually profit. •Main inputs in a business INPUT → OUTPUT capital → goods labor/manpower → services land → create value transformation (business processes) → results (products/services) •Business sectors (or economic sectors) Primary: harvesting natural resources (e.g., mining, agriculture, livestock, drilling, logging), regulated and protected by the government. Secondary: manufacturing raw materials into finished or component goods; finished goods are exported or sold domestically, while component goods are sold to tertiary sector companies. Tertiary: services and retail, such as retail sales, transportation, entertainment, restaurants, media; relies on primary and secondary sectors for inputs. Quaternary: intellectual activities or innovation, including government, education, libraries, scientific research, and information technology. ...