The Purpose & Nature of Business (1.1)

Select two best reasons as to why somebody would start a business:

A car is an example of a [blank_start]good[blank_end]

A doctor would be an example of a [blank_start]service[blank_end]

The four factors of production are: - Land - Labour - Capital - Enterprise

[blank_start]Enterprise[blank_end] is the art of bringing together the factors of production in order to produce a good or service.

What is the non-monetary opportunity cost of attending college?

What is the definition of opportunity cost?

You can purchase one of the following: a candy bar, a soda or a magazine. You rank your choices as: 1) The candy bar 2) The magazine 3) The soda What is the opportunity cost of buying the candy bar?

A famous economic saying is, "there is no such thing as a free lunch". What does this statement mean?

Who determines your opportunity cost?

The [blank_start]primary[blank_end] sector is the first stage of production. It produces raw materials for other businesses and sectors to use. An example would be farming.

The [blank_start]secondary[blank_end] sector takes raw materials and makes them into manufactured goods and products. An example would be a food processing plant.

The [blank_start]tertiary[blank_end] sector is also known as the service sector. It involves the selling of goods or providing a service.

Pestle stands for: P - [blank_start]Political[blank_end] E - [blank_start]Economic[blank_end] S - [blank_start]Social[blank_end] T - [blank_start]Technological[blank_end] L - [blank_start]Legal[blank_end] E - [blank_start]Environmental[blank_end]

An example of a political factor that could influence a business would be: