COMPUTER APPLICATIONS FOR BUSINESS UNIT 1 – THE ECONOMY AND YOU Chapter 1 Vocabulary

Vocabulary terms and the decision-making process related to basic economic concepts from Unit 1, Chapter 1.

wants

Things that a person does not have to have to survive, but would like to have

needs

Things that you must have in order to survive

goods

Physical products

services

Tasks that businesses perform for consumers

resources

Items that people can use to make or obtain what they need or want

business

Any commercial activity that seeks profit by providing goods and services to others in exchange for money

profit

The money left over after a business has paid the cost of providing its goods and services

competition

The contest between businesses to win customers

market research

The gathering and analysis of information on the size, location, and makeup of a product market

consumer

Person who uses goods and services

decision making process steps

1. Identify the situation 2. Identify possible courses of action 3. Determine the pros and cons 4. Make a decision 5. Evaluate your decision