Studied by 1 person
economic factors of production
The ________ are labour (employment), land /nature and capital.
Perishable
________: The service relevant resources are assigned for service delivery during a definiteperiod in time.
Simultaneous
________: Services that are are rendered and consumed during the same period of time.
Rights Legally
________ is a secured right to produce (or sell) a particular good (under a particular.
value system
A(n) ________ is the network of organizations and the value producing activities involved in the production and delivery of an offering.
Gratification
________: the elimination of a craving or a desire to seek relief from a perceived or real depravation.
basic shelter
Existence needs are the needs that are necessary to secure human life, such as food, clothing and ________.
Elective needs
________ are a variety of different needs which are not immediately necessary for life.
Minimum principle
________ (Minimization): A given result achieved with the lowest possible use of resources.
scarce resources
Economics is about managing ________ to meet unlimited needs.
economic goods
Production: A firm produces ________.
Consumer goods
________: Used by households (consumers)
Tangible goods
________: Goods that can be touched Eg.
Services Goods
________: are consumed as they are produced.
Gratification
the elimination of a craving or a desire to seek relief from a perceived or real depravation
The ‘make or buy decision
which activities to do ‘in-house and which to outsource
Partnering
deciding who to work with and the nature of these relationships
needs that are necessary to secure human life, such as food, clothing and basic shelter
Existence needs
Instead, the goal is to achieve or exceed a general standard of living
Elective needs
Need
Feeling that something is missing
Want
Need aligned with will to act on it
Demand
Want becomes operational in the market
Supply
A firm supplies goods to the market
Production
A firm produces economic goods
INDIVIDUAL NEEDS
Each individual decides when and in what order to satisfy given needs
Collective needs
The more individuals who want to satisfy similar needs, the greater the problem for society
Free Goods
Unlimited Free Eg
Economic goods
Limited availability (scarce) Not free Eg
Tangible goods
Goods that can be touched Eg
Intangible
goods Goods that cannot be touched Eg
Consumer goods
Used by households (consumers)
Capital goods
Used by enterprises
Services Goods
are consumed as they are produced
Perishable
The service relevant resources are assigned for service delivery during a definiteperiod in time
Cocreated
Product that is created by working with one or more others service, provider
Simultaneous
Services that are are rendered and consumed during the same period of time
Unique
A service that is one-time generated, rendered and consumed and can never be exactly repeated
value added
the amount by which the value of an article is increased at each stage of its production, exclusive of initial costs
Value Chain
the categories of activities within an organisation, which, together, create a product or service
Uses of Value Chain
A generic description of activities, Identifying activities where the organisation has particular strengths or weaknesses, Analysing the competitive position of the organisation, identifying sources of sustainable competitive advantage, Looking for ways to enhance value or decrease cost in value activities (e.g
Minimum principle (Minimization)
A given result achieved with the lowest possible use of resources
Maximum principle (Maximization)
Produce the maximum possible result with a given allocation of resources
Note 
Flashcard (50)