Create an account
Major Types of Businesses
not-for-profit (nonprofit organizations)
Goods producing businesses
Multiple Environments of business
Legal & Regulatory Environment
Major Functional Areas of Business Enterprise
a. Research & Development
b. Manufacturing, Production and Operations
c.Marketing, Sales Distribution & Customer Support
d. Finance & Accounting
e. Human Resources
f. Business Services (acct, law, kanking, real estate)
Free-Market systems (capitalism)
Planned Systems (socialism)
Nationalization (gov assums owndership of company Privatization (services once performed by Gov now private)
Economic Measures & monitors
Leading indicators - suggest change may happen
Lagging indicators - provide confirmation that something occurred. & Price Inceses
Gross Domestic Product
the total market value of all final goods and services produced annually in an economy
the study of the economic behavior and decision making of small units, such as individuals, families, and businesses
situation with so many buyers and sellers that no single buyer or seller can individually influence market prices.
balance of payment
the difference between the amount of money that comes into a country and the amount that goes out of it
Economies of scale
as a company produces larger numbers of a particular product, the cost of each of these products goes down
Top 6 reasons companies trade internationally
1. focus on their strengths (do what they are good at)
2. expand market (grow)
3. pursuing economics of scale
4. acquire materials goods and services (stuff we don't have)
5. keeping up with customers (be where client is)
6. keeinng up with competitors
ITO International Trade Organization
World Trade Organization, International Monetary Fund (IMF), World Bank
World Trade Organization
Prevents discriminatory policies, reduces parriers, makes policies more predictable, helps less developed countries and discourages unfair practices i.e. dumping.
IMF International Monetary Fund
Monitors global financial developments, provides SHORT term loans to countries & provides tech advice and training.
addresses poverty, health, education in developing countries. Not directly involved in international trade
Factors influencing ethical behaviors
cultural differences, knowledge, organizational behaviors (code of ethics)
consumer needs and interests - the right to be informed, the right to choose which product & the right to be heard
All employees dislike work and will avoid it unless threatened, A set of negative assumptions about employees based on the premise that people do not like work and will try to avoid it.
assumes that employees enjoy meaningful work, are naturally committed to goals, capable of creativity and seek out responsibility under right conditions
achievement, recognition, responsibility, work itself personal growth (pay not one)
Herzberg's two-factor theory
model that divides motivational forces into satisfiers - motivators & dissatisfiers - hygiene
MBO (Mgt by Objectives)
company wide process that empowers employees and involves them in goal setting planning, implementing and reviewing
Supply Chain Mgt
connected systems that coordinate the flow of goods from suppliers to final customers
Ouchi's approach to motivation based on seven principles, comes from japanese management, and stresses long term employment; collective decision making; individual responsibility; slow evaluation and promotion; implicit; informal control with explict, formalized control; moderately specialized career paths; and a holistic concern for employees [ including family ]
Theory X emphasize authority and Theory Y emphasizes grown and self direction.
employee satisfaction depends on the perceived ratio of inputs to outpouts. (pay to work)
Power to the owners: Amended Wagner Act - employees have right to not participapnte in unions and gives states the freedom to pass right-to-work laws.
Power to the Union members: Amends Taft-Hartley act- to control union corruption- union have to file annual rpts with US Dept of Labor
Collective Bargaining Process
Prepare to meet, meet, reach agreement, vote and ratify, sign contract
Factors that influence consumer behavior
culture, socioeconomic class, reference groups, situational factors, self-image
A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each (toyota with scion, lexus, etc)
New product development process
Generate ideas, screen ideas, analyse potentioal, develop prototype, test mkt, commercialize product
Please allow access to your computer’s microphone to use Voice Recording.
Having trouble? Click here for help.
We can’t access your microphone!
Click the icon above to update your browser permissions and try again
Reload the page to try again!Reload
Press Cmd-0 to reset your zoom
Press Ctrl-0 to reset your zoom
It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.
Please upgrade Flash or install Chrome
to use Voice Recording.
For more help, see our troubleshooting page.
Your microphone is muted
For help fixing this issue, see this FAQ.
Star this term
You can study starred terms together