Business Essentials Needs vs. Wants

What is Business? Any activity that seeks profit by providing goods or services to others Any activity that seeks profit by providing goods or services to others Goods: material things—stuff! Clothes, Video Games Goods: material things—stuff! Clothes, Video Games Services: tasks that people or machines perform—hair cuts, bike repaired Services: tasks that people or machines perform—hair cuts, bike repaired Businesses provide people with the opportunity to become wealthy! Businesses provide people with the opportunity to become wealthy!

Needs vs. Wants Needs: food, shelter, and clothing Needs: food, shelter, and clothing Wants: things you wish you could have! Wants: things you wish you could have! Most people have unlimited wants for goods and services Most people have unlimited wants for goods and services Resource: anything that is used to make or obtain what people need or want Resource: anything that is used to make or obtain what people need or want Resources are limited! Resources are limited! Wants are unlimited! Wants are unlimited!

Businesses’ Motivations Profit: money left over after a business has paid for the cost of producing its goods or services Profit: money left over after a business has paid for the cost of producing its goods or services Competition: contest between businesses to win customers Competition: contest between businesses to win customers

Business and You Consumer: person who purchases goods or services— YOU! Consumer: person who purchases goods or services— YOU! Businesses must be aware of your needs and wants Businesses must be aware of your needs and wants Wage Earner: businesses hire people to work to make products or perform a service AND provides you with money to spend Wage Earner: businesses hire people to work to make products or perform a service AND provides you with money to spend

Business Ethics and Social Responsibility Ethics: set of moral principles by which people conduct themselves personally, socially, or professionally Ethics: set of moral principles by which people conduct themselves personally, socially, or professionally Business Ethics: how a business should conduct itself Business Ethics: how a business should conduct itself Example: you are able to return a damaged product Example: you are able to return a damaged product Social Responsibility: duty to do what is best for the good of society Social Responsibility: duty to do what is best for the good of society Example: factory invests in equipment to prevent polluting the air and water we use Example: factory invests in equipment to prevent polluting the air and water we use

Business’ Keys to Success Employees: provide skills, knowledge, labor, and experience needed to make a business productive Employees: provide skills, knowledge, labor, and experience needed to make a business productive According to Henry Ford, “You can take my factories, burn up my building, but give me my people and I’ll build the business right back up again.” According to Henry Ford, “You can take my factories, burn up my building, but give me my people and I’ll build the business right back up again.”YOU

Human Resources Process of finding, selecting, training, and evaluating employees Process of finding, selecting, training, and evaluating employees Career Idea – Human Resource Manager Career Idea – Human Resource Manager Career Cluster – Business Management and Administration Career Cluster – Business Management and Administration

Works Cited Textbook: Introduction to Business,5 th Edition, Betty Brown and John Clow, Publishing Company – Glencoe McGraw-Hill