Foundations of Business

Front

Needs

Back

Things required in order to live, such as food, water, clothing, and housing.

Front

Wants

Back

Things not necessary for survival but add comfort and pleasure, like a video player or smartphone.

Front

Goods

Back

Things you can see and touch; referred to as products in business.

Front

Business

Back

A company that gains and spends money trying to make a profit.

Front

Profit

Back

Money earned after revenue and expenses are subtracted.

Front

Factors of Production

Back

Land, Labor, Capital, Entrepreneurship.

Front

Franchise

Back

Written agreement granting permission to a businessperson to sell someone else’s products and services.

Front

Limited Liability (LLC)

Back

The business' owners and shareholders are not held personally liable for any of the business' losses or risks.

Front

Organizing

Back

The process of determining what work has to be done and who is to do it.

Front

Controlling

Back

When managers or supervisors compare what has been accomplished with what was planned, they are engaging in the process known as control.