MGTA01H3 Chapter Notes - Chapter 1: Profit Motive
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MGTA01H3 Full Course Notes
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Document Summary
Business: an organized effort to provide the things customers need, want, and are willing to pay for; exists to satisfy customer needs and make profit. If there is an incentive at the end; otherwise, people will save their time, money, and energy. Any is carried over and use at another time or will be given away. In contrast, a business belongs to an owner who take his/her profit can use it however they wish: e. g. ) Universities, churches, hospitals, charities, governments: public sector organization: an organization that is owned by the government, while governments are not businesses (they don"t profit), they exist to provide services to citizens (education, health, security, etc. ). They mainly rely on taxes from the taxpaying public to fund these services. Thus, organisations that are owned or funded by government-raised taxes are called public sector organisations: e. g. ) Products: things that result from human or mechanical effort or as the result of a natural process.
