Unit 1.1 - 1.2
What is profit?
A business's ability to operate successfully and sustainably over time
Defining beliefs and principles that guide a business's actions and decisions
What are Core Values?
A business owned and operated by one individual with no legal separation between the owner and the business
What is a Sole Proprietorship?
Designing and delivering products or services that solve problems or meet needs in ways customers value
What is Value Creation?
A transaction in which both the buyer and seller willingly trade because each expects to benefit
What is Voluntary Exchange
The use of technology to perform tasks with minimal human labor
What is Automation?
A concise description of what a business aspires to become in the long term
What is a Vision Statement?
The network of businesses, people, activities, and resources involved in producing and delivering a product or services to the final customer
What is a Supply Chain?
Person who uses the product
What is a Consumer?
Obstacles that make it difficult for new firms to enter a market and compete with existing firms.
What are Barriers to Entry?
A business that seeks to earn profit while also achieving social or environmental goals
What is a Social Enterprise?
A production process focuses on customization and skilled labor, typically resulting in higher per-unit costs
Artisan Production
Generating revenue and profits by charging for the value of the business creates
What is Value Capture?
A business's ability to outperform rivals in the same market, leading to greater market share and higher profits
What is Compeititive Advantages?
The simplest version of a product that includes only essential features
What is Minimum Viable Product?
Individuals within a business, such as owners, managers, and employees
The stock of goods a business keeps on hand to sell
What is Inventory?
The product effectively solves a customer problem
A physical or virtual space where buyers and sellers interact to exchange goods and services
What is Market?
The possibility that a business will fail to generate enough revenue to cover its costs
What is Risk?
Intentional deception for personal or financial gain
What is Fraud?
Hiring another firm to perform tasks rather than handling them in-house
What is Outsourcing?
An organization that produces and sells goods or services
What is a Business?