MGTA01H3 Chapter 1: Chapter 1 notes (from the book)
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MGTA01H3 Full Course Notes
Verified Note
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Document Summary
Business: an organization that seeks to earn profits by providing goods and services. Profit: what remains after a business"s expenses are subtracted from the revenue(sales) Expenses: money spent on running the business itself. Revenues: the money earned by the business as they sell their products or services. Profits are rewards earned in return of the risk, time and money that the business owners spent. Profits are very large if the business is managed well. Most profitable companies in 2005: rbc, manulife, imperial oil. Non profitable organizations such as hospitals, churches, and universities, are not businesses. They provide services but not for a profit. In order for a business to flourish, the owner/managers must take into account what the consumers" needs are. A business will not survive if there is no demand for the products/services it is offering.
