1. UGBS 101 Introduction to Business Administration
Session 2 – Definitions and Concepts
Lecturer: Dr. Daniel Quaye, UGBS
Contact Information:
Dr. Daniel Quaye, UGBS

2. Session overview
The course provides a basic understanding of the concepts and definitions of business.
It gives a general understanding of the management issues in business as well as the types of business one can proceed into.
Dr. Daniel Quaye, UGBS

3. What is Business?
A business is an organized, profit-seeking activity that provides goods and services designed to satisfy customers’ needs (Bovee, Thill and Mescon 2010).
A business is any organization that strives for profits by providing goods and services that meet customer needs (Fry, Stoner and Hattwick 1998).
Dr. Daniel Quaye, UGBS

4. The objective of Business
To make a profit.
Business is a way of life.
Business provides opportunities for gaining other forms of satisfaction.
Dr. Daniel Quaye, UGBS

5. Historical development of Business in Ghana
Business in Pre-colonial Ghana.
Business in Post-colonial Ghana
Business in Modern Ghana
Dr. Daniel Quaye, UGBS

6. Goods Producing Businesses vrs. Service Businesses
Characteristics of Goods Producing Businesses
Goods producing businesses produce tangible goods by engaging in activities such as manufacturing, construction, mining and agriculture.
It is difficult to start a goods-producing business without substantial investment in building, machinery and equipment.
Goods-producing businesses are capital-intensive
Dr. Daniel Quaye, UGBS

7. Service
A service is defined as an intangible product, performance of which mainly requires human effort or work.
Examples include, banking, health care and restaurants.
Dr. Richard Boateng, UGBS

8. Characteristic of Services
Services are intangible.
Service performance (delivery) and consumption are inseparable. 
Services are perishable 
Performing services is highly labour-intensive.
Services tend to be heterogeneous.
Services are performed rather than produced.
Dr. Richard Boateng, UGBS

9. The Economic and Social roles of Businesses
It is impossible to evaluate the overall contributions and importance of businesses. The simple reason for this being that their contributions vary. Some contributions that stand out though include;
Dr. Richard Boateng, UGBS

10. Cont. They provide jobs They introduce new products
They inject a considerable of money into the economy
They add greatly to the rich variety of goods and services available to consumers
Contribute to society’s values and stability
Are a rich source of new ideas and innovations in products and services,
Dr. Richard Boateng, UGBS

11. Reading materials
Introduction of Business Administration Distance Education Manual- Dr Daniel Quaye.
Madura, Jeff (2007), Introduction to Business Administration, South-Western College
Dr. Richard Boateng, UGBS