Factors of production

What are the resources needed during production?

The factors of production.

Name the 4 factors of production

Land, Labour, Capital and Enterprise

What is land?

all natural resources used to produce goods and services. physical land or natural resources from the earth.

What is labour?

Human workers or human effort involved in production. may need qualifications & skills.

What is capital?

The manmade aids to production e.g. tractors, factory machinery.

What is enterprise?

When entrepreneurs innovate and take a risk in organizing the other factors of production for profit.

Example of land

water, oil, coal

Example of labour

Barista - producing & distributing coffee.

A waiter who brings your food to you.

Example of capital

conveyer belts, computers, coffee machines.

Example of enterprise

Arnold Clark - selling cars.

Steve Jobs - founder of Apple.