Vocab
The relationship between the price
of a good or a service and the benefits that
it offers its customers.
What is value?
From the mid-1700s to the mid-1800s, technology fueled a period of rapid industrialization. Factories sprang up in cities, leading to mass production and specialization of labor.
What is the Industrial Revolution?
When a business incurs expenses that are greater than its revenue.
What is a loss?
In late 2008, the U.S. economy plunged into a deep financial crisis. The value of the stock market plummeted, companies collapsed, and the unemployment rate soared. The president, Congress, and the Federal Reserve took unprecedented steps—including a massive economic stimulus package—to encourage a turnaround. By the end of the year, the stock market had lost more than a third of its value, and 11.1 million Americans were out of work. Housing prices fell precipitously, and foreclosure rates reached record levels. As fear swept through the banking industry, many businesses and individuals could not borrow money to meet their needs. Economic turmoil in the United States spread quickly around the world, fueling a global economic crisis.
What is the economic environment?
The service that allows computer users to easily access and share information in the form of text, graphics, video, apps, and animation.
What is the internet?
Any organization or activity that
provides goods and services in an effort to
earn a profit.
What is business?
During the second half of the 1800s, large-scale entrepreneurs emerged, building business empires that created enormous wealth, but often at the expense of workers and consumers.
What is the Entrepreneurship Era?
The overall sense of well-being experienced by either an individual or a group.
What is quality of life?
As global competition intensifies, leading-edge companies have focused on long-term customer satisfaction as never before.
What is competitive environment?
Business transactions conducted online, typically via the internet.
What is e-commerce?
The money that a business earns in
sales (or revenue), minus expenses, such as
the cost of goods and the cost of salaries.
Revenue 2 Expenses 5 Profit (or Loss).
What is profit?
In the early 1900s, major businesses focused on further refining the production process, creating huge efficiencies. The assembly line, introduced in 1913, boosted productiv-ity and lowered costs.
What is the Production Era?
Business-like establishments that employ people and produce goods and services with the fundamental goal of contributing to the community rather than generating financial gain.
What are nonprofits?
The U.S. economy works within the context of the global environment. The worldwide recession has dampened short-term opportunities, but China and India continue their rapid economic development.
What is the global environment?
An international economic and political movement designed to help goods and services flow more freely across international boundaries?
What is free trade?
People who risk their time, money, and other resources to start and manage a business.
What are entrepreneurs?
After World War II, consumers began to gain power. As goods and services flooded the market, the marketing concept emerged: a consumer-first orientation as a guide to business decision making.
What is the Marketing Era?
Four fundamental elements: natural resources, capital, human resources, and entrepreneurship in which businesses need to achieve their objectives.
What are factors of production?
The recent digital technology boom has transformed business, establishing new industries and burying others.
What is the technological environment?
Any tools- especially computers, telecommunications, and other digital products- that businesses can use to become more efficient and effective.
What is business technology?
The quality and quantity of goods and services available to a population.
What is standard of living?
With the technology boom in the 1990s, businesses began to look beyond the immediate transaction, aiming to build a competitive edge through long-term customer relationships.
What is the Relationship Era?
The measurable characteristics of a population. Factors include population size and density, as well as specific traits such as age, gender, and race.
What are demographics?
The U.S. population continues to diversify. Consumers are gaining power, and society has higher standards for business behavior. Sustainability has become a core marketplace issue.
What is the social environment?
An international trade agreement that has taken bold steps to lower tariffs and promote free trade worldwide.
What is the General Agreement on Tariffs and Trade(GATT)?