Chapter 1 - Introduction to Business

- Business is provide the goods and service to meet the needs and wants of customers

- providing goods and services to the people
- providing jobs for the people
- contributing to the wealth of the nation

Competition
a business is in indirect competition with another business when both businesses sell goods and services that satisfy the same needs and wants of customers. these goods and services may fall under different categories.
for example, cinemas face indirect competition from providers of escape room games as both satisfy customers' wants for entertainment.

Competition
a business is in direct competition with another business when they sell the same or similar goods and services.
for example, taxi companies and private-hire car companies are direct competitors as both provide private transportation on demand

goods are things that are tangible
can be seen or touched

services are not tangible but can be experienced

Good-producing businesses
- produce goods that are tangible
- produce goods with the use of resources such as machines and labour

Service-providing businesses
- provide services that are not tangible but can be experienced
- perform services when sellers interact with customers

Enterprise
refers to the ability to see opportunities and take risks that earn profits for the business. Entrepreneurs are people with an enterprising spirit who start ad run their own businesses.

Capital
refers to buildings, equipment and machinery which are used to produce goods and services.
it also includes the money needed to start the business

Land
refers to natural resources such as sea, forest, minerals, petroleum, as well as the land itself.
land is needed to grow crops and build factories to produce goods and services for customers.

Labour
refers to the effort of the people involved in the production of goods and services.
for example, waiters, chefs and restaurant managers from the labour force of a restaurant. office staff, engineers and construction workers from the labour force of a construction business

Use resources
- enterprise
- capital
- land
- labour