1. WHEN I THINK OF “BUSINESS”, WHAT TYPE OF BUSINESS DO I THINK OF FIRST? WHY DID YOU THINK OF THAT BUSINESS?

2. CREATE A BUSINESS PROJECT GROUPS OF 3

3. DAY 1 TYPES OF BUSINESSES

4. 1.MANURACTURING BUSINESS 2.WHOLESALING BUSINESS 3.RETAILING BUSINESS 4.SPECIAL TYPES OF BUSINESS

5. Manufacturing Business Also called a manufacturer Also called a manufacturer Converts materials into goods suitable for use and then sells those goods to others Converts materials into goods suitable for use and then sells those goods to others 2 categories: 2 categories:  Industrial Goods – sold to other manufacturing business  Metal and plastic parts  Lumber  Heavy Machinery

6. Manufacturing Business  Consumer Goods – products eventually bought by the public  Anything you purchase at a store Small manufacturers sometimes produce consumer goods and sell directly to the public Small manufacturers sometimes produce consumer goods and sell directly to the public T-shirts, baked goods, or jewelry T-shirts, baked goods, or jewelry

7. Manufacturing Business Large manufacturers usually do not sell directly to customers Large manufacturers usually do not sell directly to customers They sell to wholesalers They sell to wholesalers

8. Wholesaling Businesses Also called a Wholesaler Also called a Wholesaler Purchase goods in large quantities from manufacturers Purchase goods in large quantities from manufacturers Resale those goods in smaller quantities to retailers Resale those goods in smaller quantities to retailers Known as middlemen, go-betweens, distributors, intermediaries because they provide a link between manufacturers and retailers Known as middlemen, go-betweens, distributors, intermediaries because they provide a link between manufacturers and retailers Wholesalers don’t generally sell to the public Wholesalers don’t generally sell to the public

9. Retailing Businesses Also called a Retailer Also called a Retailer Purchase goods from Wholesalers and resells them directly to customers, who are end buyers/users Purchase goods from Wholesalers and resells them directly to customers, who are end buyers/users Examples: Stores, Shops, Boutiques Examples: Stores, Shops, Boutiques In most states, retailers must have a special permit (Reseller’s permit) to purchase goods tax free from wholesalers and collect sales tax from the end buyers In most states, retailers must have a special permit (Reseller’s permit) to purchase goods tax free from wholesalers and collect sales tax from the end buyers A business that is either a wholesale or a retail business is called a Trade Business A business that is either a wholesale or a retail business is called a Trade Business

10. Service Businesses Provides services to customers for a fee Provides services to customers for a fee Provide a wide variety of professional, technical, and everyday services that people need and want Provide a wide variety of professional, technical, and everyday services that people need and want Examples: Engineering, legal, medical, accounting, auto repair, babysitting, landscaping, dry cleaning, garbage pickup Examples: Engineering, legal, medical, accounting, auto repair, babysitting, landscaping, dry cleaning, garbage pickup Most states have licensing requirements for people who provide services such as doctors, dentist, engineers, lawyers, day care providers, etc. Most states have licensing requirements for people who provide services such as doctors, dentist, engineers, lawyers, day care providers, etc.

11. Special Types of Businesses Farming is a special type of business. It is a combination of manufacturing and retailing. Often sold to wholesalers and directly to the consumer Farming is a special type of business. It is a combination of manufacturing and retailing. Often sold to wholesalers and directly to the consumer Mining is another special business. Also called an extraction business. Mining is another special business. Also called an extraction business. Mining takes resources from the environment and converts them into a form that can typically be sold to manufacturers Mining takes resources from the environment and converts them into a form that can typically be sold to manufacturers Copper mining, oil drilling, converting sea salt to table salt Copper mining, oil drilling, converting sea salt to table salt

12. Startup Business Trends During the 1950’s and 60’s, America experienced a boom in franchising. During the 1950’s and 60’s, America experienced a boom in franchising. A Franchise is an arrangement in which an established company sells the right for others to use the company’s name and operating plan to sell products or services. A Franchise is an arrangement in which an established company sells the right for others to use the company’s name and operating plan to sell products or services. Franchising became popular in the service and retail industries, particularly among fast food restaurants. Franchising became popular in the service and retail industries, particularly among fast food restaurants. What is the best-known franchise in the world? What is the best-known franchise in the world? McDonalds McDonalds

15. Group Break-out Session Take 15 minutes Take 15 minutes Brainstorm on the type of business you want to create Brainstorm on the type of business you want to create Write your ideas on the paper provide for you Write your ideas on the paper provide for you