The nature of Business activity

what is a business

a business is a organisation that provides goods or services

what are some sources of business ideas

business experience

adapting existing products

original ideas

personal experience

observation

what makes a good business idea

-solve a problem

-cheaper/better

-simple

-meets needs

-anticipates a change

-can be bought into the arket quickly

what is capital

equipment used to provide goods or services e.g tech/machinery

what is enterprise

skills of the people involved in the business

what is land

physical land and natural resources

what is labour

skills and number if employees

what is a market

a place where buyers and sellers meet to exchange goods and services

what is a business environment

The surrounding conditions in which the business operates

what is a competitive business environment

how a business competes with others to attract and keep customers

what does dynamic mean

business activity is constantly changing and businesses have to repsond to these changes to remain competitive

what are business functions

purchasing

logistics

production

marketing

sales

personell or human resources

finance or accounts

what is business interdependance

how the function of a business are linked together and how they affect each other