Purpose of business
Things that all people need to live
What are needs?
Includes physical space and natural resources, such as rivers, seas and mines
What is land?
This sector is concerned with using natural resources
What is extracting (primary industry)?
A business owned by 1 peron
What is a sole proprietorship?
Limits the risks for a shareholder to the amount that person invested in a company.
What is limited liability?
Things that are not essential but desired
What are wants
Consists of physical and mental effort of employees
What is labour?
This sector gives something of value to people, but not physical goods
What is the service sector (services)?
A business association between 2 or more owners of an enterprise
What is partnership?
Business that is easiest to start.
What is sole proprietorship?
To make profit and address needs and wants
What is the purpose of business
Includes all those items that go into producing other things and money
What is capital?
This sector is concerned with making and assembling products
What is a Manufacturing industry (manufacturing and production)?
A business that becomes a legal body, separate in law from its owners
What is a company?
Two business types that offer unlimited liability.
Partnership and Sole Proprietorship.
Process of making a product or service more attractive
What is adding value?
taking natural resources form the earth to make goods
extraction
Someone who puts business idea into practice
Who is an entrepreneur?
A business where an established enterprise grants a licence to sell a well-known product or service.
What is franchise?
a person who leases a company name to another
What is a franchiser?
Because of it we need to make choices, as there are limited resources
What is scarcity?
Businesses that "Collect something"
What is mechandising?
Wealth and resources of a region in terms of production and consumption of goods and services
What is economy?
Business type that is required to create a "Article of Incorporation"
What is a corporation?
When 2 independent businesses set up a new enterprise. "Joint _________."
What is joint venture?