EC-907
Natural resources, human resources, and capital goods.
What is economic resources?
A rivalry between two or more businesses to attract scarce customer dollars.
What is competition?
The monetary reward a business owner receives for taking the risk involved in investing in a business.
What is profit?
Classifications of business risk.
What is hazard risks, operational risks, strategic risks, and financial risks?
What is direct competition?
The gov't owns and controls basically all means of production and distribution.
What is communism?
The other two names for a private enterprise.
What is a market economy, or a market system?
Happens if expenses are greater than income.
What is no profit?
The possibility of loss (failure) or gain (success) inherent in conducting business.
What is business risk?
Focusing on price to attract scarce customer dollars.
What is a price competition?
The other name for socialist countries.
What are welfare states?
Answer the questions of a private enterprise economic system.
What is individuals and businesses?
You or someone else paying for electricity to make jewelry.
What are operating expenses?
Can only cause business losses, not gain.
What are hazard risks?
Selling identical products to many buyers.
What is perfect competition (pure competition)?
The basic economic questions.
What is what will be produced, how will products be produced, and how will products be allocated?
Weaknesses of the system.
What is companies lay off workers or even go out of business resulting in periods of unemployment?
Showing owners the difference between what they've spent to produce the product and what they got by selling it.
What is gross profit?
People getting sick from eating your restaurant's food.
What is reputation damage?
What are regulated monopolies?
A level of existence that barely supports life.
What is subsistence?
The activities of an entrepreneur.
What are making all decisions, and take all the risks involved in starting a business?
Benefits for business owners.
What is making a profit?
Businesses can't control many financial risks, including inflation and interest rate fluctuations.
What are external financial risks?
Things like special features, trained personnel, great customer service.
What is a non-price competition?