Consists of the inputs, processes, and outputs of a business.
Materials, people, money, information, machines, and other productive factors.
Convert these inputs into products customers want.
the products produced and the satisfactions to employees and the public.
Operations or Production
Converting inputs into outputs for customers.
General Factors Affecting All Businesses
1. Access to a capable, well-trained, stable work force.
2. Availability of adequate and affordable supplies and services.
3. Availability, type, use, and cost of transportation.
4. Taxes and government regulations.
5. Availability and cost of electricity, gas, water, sewerage, and other utilities.
Sell goods to the ultimate consumer.
Convert materials into products in considerable volume for others to sell to ultimate consumers.
Provide a service for customers, have some characteristics of both retailers and producers.
Are products that customers buy often routinely, quickly, and in any store that carries them.
Are goods that customers buy infrequently, after shopping at only a few stores.
Are bought infrequently, often at exclusive outlets after special effort by the customer to drive to the store.
Attract Business-oriented activities, as government, financial businesses, and head offices of large firms are usually located in the downtown area.
Found in various locations are usually best for customers who have brand or company loyalty.
Vary in size and are designed to draw traffic according to the planned nature of the stores to be included in them.
are those that generate heavy traffic in a shopping center.
Manufacturing or Production
usually involves making or processing materials into finished goods.
are the buildings, machines, and other equipment, and furniture and fixtures needed to produce and distribute a product.
is the use of modern communication media such as telephones, fax machines, computers, modems, and fax/modems, and scanners, to work from an office, home or any location.
has the facilities laid out according to the sequence of operations to be performed.
Groups the facilities doing the same type of work.