MGMT 1000 Chapter Notes - Chapter 1: Planned Economy, Retail, Environment And Climate Change Canada

• School: University of Guelph
• Department: Management
• Course: MGMT 1000
• Professor: Kathleen Rodenburg

Document Summary

Business: an organization that produces or sells goods or services in an effort to make a profit. Profit: (cid:449)hat (cid:396)e(cid:373)ai(cid:374)s afte(cid:396) a (cid:271)usi(cid:374)ess"s e(cid:454)pe(cid:374)ses ha(cid:448)e (cid:271)ee(cid:374) su(cid:271)t(cid:396)a(cid:272)ted f(cid:396)o(cid:373) its sales (cid:396)e(cid:448)e(cid:374)ues. Profits reward owners of businesses for taking the risks involved in investing their time and money. Not-for-profit organizations: organization that provides goods and services to customers but does not seek to make a profit while doing so. Need source of revenue to pay for expenses though. The most important difference between economic systems around the world is who controls the factors of production. Economic system: allo(cid:272)ates a (cid:374)atio(cid:374)"s (cid:396)esou(cid:396)(cid:272)es a(cid:373)o(cid:374)g its (cid:272)itizens. Factors of production: the (cid:271)asi(cid:272) (cid:396)esou(cid:396)(cid:272)es that a (cid:272)ou(cid:374)t(cid:396)(cid:455)"s (cid:271)usi(cid:374)esses use to p(cid:396)odu(cid:272)e goods a(cid:374)d services. Refe(cid:396)s to the (cid:373)e(cid:374)tal a(cid:374)d ph(cid:455)si(cid:272)al (cid:272)apa(cid:271)ilities of someone. (education, health, etc) Funds needed to start a business and to keep it operating and growing.