WANTS AND NEEDS

I WANT It  Individual  Group  Family  Business  Public

Needs  Basics: Food, shelter, clothing.  Business and Government provide needs at affordable prices  Termes: Goods and Services

Examples GoodsServices

Limited Resources  Unlimited wants (designing rooms)  Business promotes different items to meet wants  More goods produced=  Resources limit wants

Decision Process  1. Identify the Problem  2. List alternatives  3. Determine the pros and cons  4. Make the best decision  5. Evaluate your decision

Assignment  Work in groups  Decide between two similar products (wants)  Example: Ferrari or Lamborghini  Use the decision making process to decide on what you will end up buying

Continued  Same groups  Decide between to basic needs  Clothing, shelter, food  No brand names for clothes  Try to find cheapest types  No mansions <200,000  Generic food

Business  Here to supply needs and wants  Also people get wealthy  Sam Walton  Develops goods and services  Market research

Production  Opportunity  Evaluates demand  Funding?  Setting up and maintaining production  Final product  Marketing  Safety

Motivations  $$$$  Need to stay competitive  High sales, low costs  Bank of America  Keep up with change  Fads

Chicken or the Egg  Business provides goods and service  People want goods and services

Consumers  Mostly users of goods and service  Increase supply; Decrease supply  Business responsibility

Making money  Businesses need employees  People need money  Businesses pay employees

Assignment  Design a Flow Chart  Diagram how money gets into your pocket  Then determine how money gets back into a business  Label each step

Money ↓ Business→Products →Profit → Buys goods and services ↓ Employee ↓ Buys goods or services ↓ Business