Instructor Manual
Business Essentials, Global Edition, 13th edition
by Ronald Ebert, Ricky Griffin
TU
TO
R
G
U
R
U
, TABLE OF CONTENT
PART 1: THE CONTEMPORARY BUSINESS WORLD
The US Business Environment
Understanding Business Ethics and Social Responsibility
Entrepreneurship, New Ventures, and Business Ownership
Understanding the Global Context of Business
PART 2: MANAGING THE BUSINESS
Managing the Business
TU
Organizing the Business
Operations Management and Quality
PART 3: PEOPLE IN ORGANIZATIONS
TO
Employee Behavior and Motivation
Leadership and Decision Making
Human Resource Management and Labor Relations
PART 4: PRINCIPLES OF MARKETING: BUILDING RELATIONSHIPS WITH
R
CUSTOMERS FOR COMPETITIVE ADVANTAGE
G
Marketing Processes and Consumer Behavior
Developing and Pricing Products
U
Distributing and Promoting Products
PART 5: MANAGING INFORMATION FOR BETTER BUSINESS DECISIONS
R
Information Technology (IT) for Business
The Role of Accountants and Accounting Information
U
PART 6: THE FINANCIAL SYSTEM AND ISSUES IN FINANCIAL MANAGEMENT
Understanding Money and the Role of Banking
Managing Business Finances
, Chapter 1: The U.S. Business Environment
Chapter Overview
Many students come to an introduction to business class not quite sure what it’s all about. The
course has something for everyone, from those who have been in the business world a while to
those just getting started. As the book unfolds, you’ll develop an understanding of the
foundations of business and will be able to apply what you already know (or what you are
starting to learn) about business to many aspects of the course.
TU
This first chapter dives right into the world of business, explaining what business is, what its
main goals and functions are, and how the external environments of business affect the success
and failure of any organization.
Learning Objectives
TO
1-1. Define the nature of U.S. business, describe the external environments of business, and
discuss how these environments affect the success or failure of organizations.
1-2. Describe the different types of global economic systems according to the means by
which they control the factors of production.
R
1-3. Show how markets, demand, and supply affect resource distribution in the United States,
identify the elements of private enterprise, and explain the various degrees of
G
competition in the U.S. economic system.
1-4. Explain the importance of the economic environment to business and identify the factors
used to evaluate the performance of an economic system.
U
1-5. Learn about the skills you will gain through this text.
R
LIST OF IN-CLASS ACTIVITIES: INSTRUCTOR’S CHOICE
Activity Description Time Limit
U
1. Icebreaker: What Do You Students assess their level of
Know About Business? knowledge about business and set
their own learning goals for the class. 20 min.
2. Small Group Discussion: Students consider how parts of the
Scanning the Environment external environment affect 25 min.
businesses and industries.
3. Up for Debate: Comparing Teams of students discuss types of
30 min.
Economic Systems economic systems.
Cop
, CHAPTER OUTLINE
Learning Objective 1-1:
Define the nature of U.S. business, describe the external environments of business, and
discuss how these environments affect the success or failure of organizations.
Business, Profit, and the External Environment
Are businesses large, successful corporations, once-great but struggling companies, multinational
giants, or local supermarkets and family-owned operations?
TU
A. Business and Profit
A business is an organization that provides goods and services to earn profits. Profits are the
difference between a business’s revenues and expenses.
1. Consumer Choice and Demand: In a capitalistic system like that of the United States,
consumers have freedom of choice. In turn, businesses must take into account consumer
demand as shown through wants and needs in their pursuit of profits.
TO
2. Opportunity and Enterprise: Opportunity involves goods or services that consumers
need or want, especially if no one else is supplying them or if existing businesses are
doing so inefficiently or incompletely.
3. The Benefits of Business: Businesses produce most of the goods and services consumed,
R
employ most working people, create most innovations, and provide opportunities for new
businesses to serve as suppliers. Further, businesses contribute to the quality of life and
the standard of living in a society. Businesses provide incomes, taxes to support
G
government, support to charities and community leadership.
B. The External Environments of Business
The external environment consists of everything outside an organization’s boundaries that
U
might affect it. Managers must understand their environment to understand how to operate
and compete within it. Businesses can also influence their environments. Six major
dimensions of the external environment are:
R
1. Domestic Business Environment. The domestic business environment refers to the
environment in which a firm conducts its operations and derives its revenues. It includes
customers, suppliers, and competitors.
U
2. Global Business Environment. The global business environment refers to the inter-
national forces that affect a business; various factors including international trade
agreements, international economic conditions, and political unrest affect the global
environment at both the general and immediate levels. International market opportunities,
suppliers, cultures, competitors, and currency values can impact any business.
3. Technological Environment. The technological environment generally includes all the
ways by which firms create value for their constituents; technology includes human
Cop
Business Essentials, Global Edition, 13th edition
by Ronald Ebert, Ricky Griffin
TU
TO
R
G
U
R
U
, TABLE OF CONTENT
PART 1: THE CONTEMPORARY BUSINESS WORLD
The US Business Environment
Understanding Business Ethics and Social Responsibility
Entrepreneurship, New Ventures, and Business Ownership
Understanding the Global Context of Business
PART 2: MANAGING THE BUSINESS
Managing the Business
TU
Organizing the Business
Operations Management and Quality
PART 3: PEOPLE IN ORGANIZATIONS
TO
Employee Behavior and Motivation
Leadership and Decision Making
Human Resource Management and Labor Relations
PART 4: PRINCIPLES OF MARKETING: BUILDING RELATIONSHIPS WITH
R
CUSTOMERS FOR COMPETITIVE ADVANTAGE
G
Marketing Processes and Consumer Behavior
Developing and Pricing Products
U
Distributing and Promoting Products
PART 5: MANAGING INFORMATION FOR BETTER BUSINESS DECISIONS
R
Information Technology (IT) for Business
The Role of Accountants and Accounting Information
U
PART 6: THE FINANCIAL SYSTEM AND ISSUES IN FINANCIAL MANAGEMENT
Understanding Money and the Role of Banking
Managing Business Finances
, Chapter 1: The U.S. Business Environment
Chapter Overview
Many students come to an introduction to business class not quite sure what it’s all about. The
course has something for everyone, from those who have been in the business world a while to
those just getting started. As the book unfolds, you’ll develop an understanding of the
foundations of business and will be able to apply what you already know (or what you are
starting to learn) about business to many aspects of the course.
TU
This first chapter dives right into the world of business, explaining what business is, what its
main goals and functions are, and how the external environments of business affect the success
and failure of any organization.
Learning Objectives
TO
1-1. Define the nature of U.S. business, describe the external environments of business, and
discuss how these environments affect the success or failure of organizations.
1-2. Describe the different types of global economic systems according to the means by
which they control the factors of production.
R
1-3. Show how markets, demand, and supply affect resource distribution in the United States,
identify the elements of private enterprise, and explain the various degrees of
G
competition in the U.S. economic system.
1-4. Explain the importance of the economic environment to business and identify the factors
used to evaluate the performance of an economic system.
U
1-5. Learn about the skills you will gain through this text.
R
LIST OF IN-CLASS ACTIVITIES: INSTRUCTOR’S CHOICE
Activity Description Time Limit
U
1. Icebreaker: What Do You Students assess their level of
Know About Business? knowledge about business and set
their own learning goals for the class. 20 min.
2. Small Group Discussion: Students consider how parts of the
Scanning the Environment external environment affect 25 min.
businesses and industries.
3. Up for Debate: Comparing Teams of students discuss types of
30 min.
Economic Systems economic systems.
Cop
, CHAPTER OUTLINE
Learning Objective 1-1:
Define the nature of U.S. business, describe the external environments of business, and
discuss how these environments affect the success or failure of organizations.
Business, Profit, and the External Environment
Are businesses large, successful corporations, once-great but struggling companies, multinational
giants, or local supermarkets and family-owned operations?
TU
A. Business and Profit
A business is an organization that provides goods and services to earn profits. Profits are the
difference between a business’s revenues and expenses.
1. Consumer Choice and Demand: In a capitalistic system like that of the United States,
consumers have freedom of choice. In turn, businesses must take into account consumer
demand as shown through wants and needs in their pursuit of profits.
TO
2. Opportunity and Enterprise: Opportunity involves goods or services that consumers
need or want, especially if no one else is supplying them or if existing businesses are
doing so inefficiently or incompletely.
3. The Benefits of Business: Businesses produce most of the goods and services consumed,
R
employ most working people, create most innovations, and provide opportunities for new
businesses to serve as suppliers. Further, businesses contribute to the quality of life and
the standard of living in a society. Businesses provide incomes, taxes to support
G
government, support to charities and community leadership.
B. The External Environments of Business
The external environment consists of everything outside an organization’s boundaries that
U
might affect it. Managers must understand their environment to understand how to operate
and compete within it. Businesses can also influence their environments. Six major
dimensions of the external environment are:
R
1. Domestic Business Environment. The domestic business environment refers to the
environment in which a firm conducts its operations and derives its revenues. It includes
customers, suppliers, and competitors.
U
2. Global Business Environment. The global business environment refers to the inter-
national forces that affect a business; various factors including international trade
agreements, international economic conditions, and political unrest affect the global
environment at both the general and immediate levels. International market opportunities,
suppliers, cultures, competitors, and currency values can impact any business.
3. Technological Environment. The technological environment generally includes all the
ways by which firms create value for their constituents; technology includes human
Cop
