COMPLETE EXAM REVIEW Notes 市场营销概要1.docVIP

COMPLETE EXAM REVIEW NOTES UNDERSTANDING CANADIAN BUSINESS Business: Any activity that seeks to provide goods and services to others while operating at a profit. Profit: The amount a business earns beyond what it spends for salaries and other expenses. Entrepreneur: A person who risks time and money to start and manage a business. Revenue: The total amount of money a business takes in during a given period by selling goods and services. Non- profit Organization: An organization whose goals do not include making a personal profit for its owners or organization. Social Entrepreneurs: are people who use business principles to start and manage non-profit organizations and help countries with their social issues. The Importance of Factors of Production to the Creation of Wealth Factors of Production: The resources used to create wealth Land: natural resources Labour: workers Capital: This includes machines, tools, buildings, or whatever else is used in the product of goods. It does not include money; is used to buy factors of production. Entrepreneurship: people and policies which promote new ventures Knowledge: a skilled and educated work force Information Technology (IT): Technology that helps companies change business by allowing them to use new methods. Economics: The study of how society chooses to employ resources to produce goods and services and distribute them for consumption among competing groups and individuals. Macroeconomics: The part of economics that looks at the operation of a nation’s economy as a whole. Microeconomics: The part of economics that looks at the behavior of people and organizations in a particular markets. Adam Smith: Wrote “Wealth of Nations” in 1776, where he put forward many of the ideas behind the modern free market economic system known as Capitalism. Invisible hand: A phase coined by Adam Smith to describe the process that turns self-directed gain into social and economic benefits for all. Capitalism: An economic system in whi