The Nature of Business

an organization that strives for a profit by providing goods and services desired by its customers.

• Supply

• Services

• Business

• Goods

tangible items manufactured by businesses, such as laptops

• Services

• Goods

• Supply

• Demand

intangible offerings of businesses that can't be held, touched, or stored

• Goods

• Supply

• Demand

• Services

measured by the output of goods and services people can buy with the money they have

• Business

• Standard of Living

• Quality of Living

• Risk

general level of human happiness based on such things as life expectancy, educational standards, health, sanitation, and leisure time

• Quality of Life

• Risk

• Standard of Living

• Cost

potential to lose time and money or otherwise not be able to accomplish an organization's goals

• Business

• Profit

• Risk

• Cost

money a company receives by providing services or selling goods to customers

• Cost

• Risk

• Revenue

• Profit

expenses for rent, salaries, supplies, transportation, and many other items that a company incurs from creating and selling goods and services

• Risk

• Revenue

• Profit

• Costs

money left over after it pays all costs

• Profit

• Costs

• Revenue

• Demand

organization that exists to achieve some goal other than the usual business goal of profit.

• Economic Systems

• Non-for-profit Organization

• Business

• For-Profit Organization