MGTA01H3 Chapter Notes - Chapter 1: Profit Motive, Voice Of The Customer
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MGTA01H3 Full Course Notes
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Business - an organized effort to provide something that people want and will pay for, in order to make a profit. Customer people who need or want and can/are willing to pay for what a business provides: businesses generate revenue from sales. Revenue money that flows into a business when it sell product or service to customer. Labour theory of value: the value of any item is equal to the value of the labour used to produce it. The profit motive distinguishes businesses and nfp, without the explicit intent to make a profit, a business does not exist. Not for profit organisation may provide products or services and collect revenue, but not intended to make a profit. All organisations satisfy our needs and wants through the creation of products: products the result of human, mechanical, or natural processes, public sector organisations organisation owned by government. The profit motive: vice or virtue pg 13.