MGTA01H3 Lecture Notes - Complete Control, Perfect Competition, Monopolistic Competition
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MGTA01H3 Full Course Notes
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Document Summary
Business: an organization that produces or sells goods or services in an effort to make a profit. Profit - the money that remains (if any) after a business"s expenses are subtracted from its revenues. Expenses - the money a business spends producing its goods and services and generally running the business. Revenues - the money a business earns selling its products and services. aka sales . Profit rewards the business owner(s) for taking the risks involved in investing their time and money. Can be large if business managed well. In canada"s economic system businesses exist to earn profits for owners who are free to set them up. In order for businesses to make profits, businesses must take into account the consumer"s wants & needs for that geographical region. Someone who can spot a promising opportunity and then create a plan for capitalizing on it can succeed.
