CHAPTER 1
WHAT IS A BUSINESS
A BUSINESS IS RECOGNIZED AS AN INSTITUTION THAT IS ABLE TO IDENTIFY AND
OPPORTUNITY OR GAP IN THE MARKET TO SATUSFY CONSUMER NEEDS OR WANTS BY
ROVIDING GOODS AND SERVICES WITH THE AIM TO MAKE A PROFIT
o GOODS: TANGIBLE ITEMS THAT CONSUMERS PURCHASE AT A SET PRICE
o SERVICES: AN ACT, AMENITY OR BENEFIT THAT CONSUMERS PURCHASE/HIRE
INORDER TO MEET THEIR NEEDS AND WANTS
o PROFIT: THE MONEY LEFT OVER AFTER THE BUSINESS HAS PAID AL ITS EXPENSES
BUSINESS MANAGEMENT TASKS
PLANNING
LEADING
ORGANISNG
CONTROLLING
CONTRIBUTION OF THE BUSINESS ON THE MODERN
SOCIETY
THE CREATION OF A PRODUCT HAS TO BE TRANSFORMED FROM ITS INITIAL STATE INTO THE
FINAL PRODUCT
THE PRODUCTIONAND USE OF THE PRODUCT MUST INVOLVE HUMANS
THE ULTIMATE GOAL OF THE BUSINESS SHOULD BE TO EARN A PROFIT
CONTINUED
THE BUSINESS SECTOR PLAYS AN IMPORTANT ROLE IN DIRECTLY AND INDIRECTLY CREATING
JOBS
o GDP (GROSS DOMESTIC PRODUCT) IS THE AMOUNT OF GOODS SND SERVCIES
PRODUCED IN A COUNTRY WITHIN A YEAR
ACCORDING TO STATS, THE FOLLOWING INDUSTRIES CONTRIBUTE LARGELY TO SOUTH
AFRICAS GDP
o FINANCE AND BANKING
o GOVERNMENT SPENDING
o MANUFACTURING
o IMPORTS AND EXPORTS
o MINING HAS SINCE DROPPED
o AGRICULTURE
INORDER FOR BUSINESSES TO BE SUCCESSFUL, THEY NEED TO DEMEND ON OTHER
BUSINESSES
THEY SHOULD ALSO FOCUS ON THE FOLLOWING ROLES
CONSUMER NEEDS AND WANTS
CONSUMER NEEDS ARE BOTH PHYSICAL AND PSYCHOLOGICAL
WHAT IS A BUSINESS
A BUSINESS IS RECOGNIZED AS AN INSTITUTION THAT IS ABLE TO IDENTIFY AND
OPPORTUNITY OR GAP IN THE MARKET TO SATUSFY CONSUMER NEEDS OR WANTS BY
ROVIDING GOODS AND SERVICES WITH THE AIM TO MAKE A PROFIT
o GOODS: TANGIBLE ITEMS THAT CONSUMERS PURCHASE AT A SET PRICE
o SERVICES: AN ACT, AMENITY OR BENEFIT THAT CONSUMERS PURCHASE/HIRE
INORDER TO MEET THEIR NEEDS AND WANTS
o PROFIT: THE MONEY LEFT OVER AFTER THE BUSINESS HAS PAID AL ITS EXPENSES
BUSINESS MANAGEMENT TASKS
PLANNING
LEADING
ORGANISNG
CONTROLLING
CONTRIBUTION OF THE BUSINESS ON THE MODERN
SOCIETY
THE CREATION OF A PRODUCT HAS TO BE TRANSFORMED FROM ITS INITIAL STATE INTO THE
FINAL PRODUCT
THE PRODUCTIONAND USE OF THE PRODUCT MUST INVOLVE HUMANS
THE ULTIMATE GOAL OF THE BUSINESS SHOULD BE TO EARN A PROFIT
CONTINUED
THE BUSINESS SECTOR PLAYS AN IMPORTANT ROLE IN DIRECTLY AND INDIRECTLY CREATING
JOBS
o GDP (GROSS DOMESTIC PRODUCT) IS THE AMOUNT OF GOODS SND SERVCIES
PRODUCED IN A COUNTRY WITHIN A YEAR
ACCORDING TO STATS, THE FOLLOWING INDUSTRIES CONTRIBUTE LARGELY TO SOUTH
AFRICAS GDP
o FINANCE AND BANKING
o GOVERNMENT SPENDING
o MANUFACTURING
o IMPORTS AND EXPORTS
o MINING HAS SINCE DROPPED
o AGRICULTURE
INORDER FOR BUSINESSES TO BE SUCCESSFUL, THEY NEED TO DEMEND ON OTHER
BUSINESSES
THEY SHOULD ALSO FOCUS ON THE FOLLOWING ROLES
CONSUMER NEEDS AND WANTS
CONSUMER NEEDS ARE BOTH PHYSICAL AND PSYCHOLOGICAL
