IGCSE Business - Section 1 Key Terms

Front

What is a ‘need’?

Back

A good or service essential for living.

Front

What does ‘want’ mean in business?

Back

A good or service people would like to have

Front

Which of these best defines ‘scarcity’?

Back

Lack of sufficient products to satisfy wants

Front

‘Opportunity cost’ refers to:

Back

The next best alternative given up

Front

Specialisation means:

Back

Concentrating on what one does best

Front

Which of these best describes the ‘economic problem’? Options: There are more jobs than workers, There is not enough money in the economy, Unlimited wants but limited resources, Everyone wants to work

Back

Unlimited wants but limited resources

Front

What are the four resources used to produce goods called?

Back

Factors of production

Front

Division of labour means:

Back

Breaking the job into tasks for different workers

Front

What is added value?

Back

Difference between selling price and material cost

Front

What is the primary sector?

Back

Extracting natural resources