INTRODUCTION TO BUSINESS ADMINISTRATION

INTRODUCTION TO BUSINESS ADMINISTRATION BUSINESS - ALL PROFIT SEEKING ACTIVITIES AND ENTERPRISE THAT PROVIDE GOODS AND SERVICES NECESARY TO AN ECONOMIC SYSTEM. PROFITS - REWARD FOR BUSINESS PEOPLE WHO TAKE THE RISK INVOLVED TO OFFER GOODS AND SERVICES TO CUSTOMERS. NON PROFIT ORGANIZATION - ORGANIZATION THAT HAS PRIMARY OBJECTIVES SUCH AS PUBLIC SERVICE RATHER THAN RETURNING AN PROFIT TO ITS OWNER. FACTOR OF PRODUCTION - FOUR BASIC INPUT FOR A EFFECTIVE OPERATION; NATURAL RESOURCE,CAPITAL,HUMAN RESOURCES AND ENTREPRENEURSHIP. CAPITAL - PRODUCTION INPUTS CONSISTING OF TECHNOLOGY,TOOLS,INFORMATIONA AND PHYSICAL FACILITIES NATURAL RESOURCE - ALL PRODUCTION INPUTS THAT ARE USEFULL IN THE NATURAL STATES,INCLUDING AGRICULTURAL LAND,BUILDING SITES,FORESTS, AND MINERAL DEPOSITS. HUMAN RESOURCES - PRODUCTION INPUTS CONSITING OF ANYONE WHO WORKS, INCLUDING BOTH THE PHYSICAL LABOR AND TJE INTELLECTUAL INPUTS CONTRIBUTED BY WORKERS ENTREPRENEURSHIP - WILLINGNESS TO TAKE RISKS TO CREAT AND OPERATE A BUSINESS. PRIVATE ENTERPRISE SYSTEM - ECONOMIC SYSTEM THAT REWARDS FIRMS FOR THEIR ABILITY TO IDENTIFY AND SERVE THE NEEDS AND DEMANDS OF CUSTOMER. CAPITALISM - ECONOMIC SYSTEM THAT REWARDS FIRM FOR THE ABILITIY TO PERCEIVE AND SERVE THE NEEDS AND DEMANDS FOR CUSTOMER; ALSO CALLED PRIVATE ENTERPRISE SYSTEM. COMPETITION - BATTLE AMONG BUSINESSES FOR CONSUMER ACCEPTANCE. COMPETITIVE DIFERENCIATION - UNIQUE CONBINATION OF ORGANIZATIONAL ABILITIES, PRODUCTS, AND APPROACHES THAT SETS A COMPANY APART FROM COMPETITORS IN THE MINDS OF CUSTOMER PRIVATE PROPERTY - THE RIGHT TO OWN ,USE AND BEQUEATH LAND. BUILDINGS,MACHINARY,EQUIPMENT,PATENTS INDIVIDUAL POSSETIOS, AND VARIOUS INTANGIGLE KINDS OF PROPERTY. BASIC RIGHT WITHIN A PRIVATE ENTERPRISE SYSTEM - PRIVATE PROPERTY, COMPETITION, PROFITS, FREEDOM OF CHOICE. SIX ERAS IN THE HISTORY OF BUSINESS - 1-THE COLONIAL PERIOD(CLAINOLO) 2-THE INDUSTRIAL REVOLUTION 3- THE AGE OF THE INDUSTRIAL ENTREPRENEURS. 4-THE PRODUCTION ERA 5-THE MARKETING ERA 6-THE REALIONSHIP ERA COLONIAL ERA - PRIMARILY AGRICULTURE PRIOR 1776 INDUSTRIAL REVOLUTION - MASS PRODUCTION BY SEMI SKILLED WORKERS, AIDED BY MACHINES INDUSTRIAL ENTREPRENEURS - ADCANCES IN THECHNOLOGY ANDINCREASED DEMAND FOR MANUFACTURED FOODS, LEADING TO ENORMOUES ENTREPRENEURIAL OPPORTUNITIES. LATE 1800s PRODUCTION ERA - EMPHASIS ON PRODUCTING MORE GOODS FASTER, LEADING TO PRODUCTION INNOVATIONS SUCH AS ASSEMBY LINES 1920 MARKETING ERA - CONSUMER ORIENTATION, SEEKING TO UNDERSTAND AND SATISFY NEEDS AND PREFERENCE OF CUSTOMER GROUP.1950s -CONSUMER ORIENTATION -BRANDING -BRAND THE IDEA OF BRANDING BEGAN IN THIS ERA RELATIONSHIP ERA - BENEFITS DERIVED FROM DEEP, ONGOING LINKS WITH INDUVIDUAL CUSTOMER, EMPLOYEES, SUPPLIERS AND OTHER BUSINESSES. -TRANSACTION MANAGEMENT STRATEGIC ALLIANCE - PARTNERSHIP FORMED TO CREATE A COMPETITIVE ADVANTAGE FOR THE BUSINESSES INVOLVED; IN INTERNATIONAL BUSINESS, A BUSINESS STRATEGY IN WHICH A COMPANY FINDS A PARTNER IN THE COUNTRY WHERE IT WANTS TO DO BUSINESS. DIVERSITY - BLENDING INDIVIDUALS OF DIFFERENT GENDERS, ETHNIC BACKGROUNDS,CULTURE,RELIGIONS,AGES AND PHYSICAL AND MENTAL ABILITIES TO ENHANCE A FIRM'S CHANCE OF SUCCESS. OUTSOURCING - The relocation of production once done in the United States to foreign countries. OFFSHORING - the movement of some of a company's operations to another country NEARSHORING - OUTSOURSING PRODUCTION OR SERVICES TO LOCATIONS NEAR A FIRM'S HOME BASE, Moving jobs to vendors in countries close to the business's home country. VISION ( 21 TH CENTURY MANAGER) - THE ABILITY TO PERCIVE MARKETPLACE NEEDS AND WHAT AN ORGANIZATION MUST DO TO SATISFY THEM CRITICAL THINKING - ABITITY TO ANALYZE AND ASSESS INFORMATION TO PINPOINT PROBLEM OR OPPORTUNITY. CREATIVITY - CAPACITY TO DEVELOP NOVEL SOLUTION TO PERCEIVED ORGANIZTIONAL PROBLEMS. WHAT IS THE DIFERENCE BETWEEN TRANSACTION MANAGMENT AND RELATIONSHIP MANAGEMENT - TRANSACTION MANAGEMENTE IS AN APPROACH THAT FOCUSES ON BUILDING,PROMOTING AND SELLING ENOUGH PRODUCTS TO COVER COSTS AND EARN PROFITS. rELATIONSHIP MANAGEMENT IS THE COLLECTION OF ACTIVITIES THAT BUILD AND MAINTAIN ONGOING TIES WITH CUSTOMER AND OTHER PARTIES. BUSINESS ETHIC - REFERT TO THE STANDARS OF CONDUCT AND MORAL VALUES INVOLVING DECISIONS MADE IN THE WORK ENVIROMENT.