MGTA01H3 Chapter Notes - Chapter 1: Planned Economy, Canadian Business, Oligopoly
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MGTA01H3 Full Course Notes
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Document Summary
A business is defined as an organization that produces or sells goods in an effort to make a profit. The most efficient businesses identify consumer"s wants and needs and develop goods and services that meet that demand, no business can survive when there is no demand for its goods and services. An economic system is the way in which a country allocates a nation"s resources among its citizens, differ in the way which they manage factors of production. Factors of productions are the resources that businesses use to produce goods and services: labour, capital, entrepreneurs, natural resources, and information resources: Labour: human resources, is the mental and physical capabilities and talents of people. Capital: the financial resources required to operate an enterprise. Entrepreneurs: an individual who organizes and managers labour, capital and natural resources to produce goods and services to earn a profit, but who also runs the risk of failure.
