| A | B |
|---|
| entrepreneur | someone who starts, manages, owns a business |
| empowerment | workers decide how to improve the work process |
| Supply | the number of similar products offered for sale at a particular price at a particular time |
| Service | the number of these firms far exceeds the number of manufacturing ones |
| commercial | these businesses are engaged in marketing, finance, and providing services |
| Wholesalers and retailers | These are classified as commercial types of businesses |
| Customers | knowing what this group wants is crucial to achieving effectiveness |
| Domestic goods | these are produced in the "home" country |
| Mass | Unit costs go down with this type of production |
| Reorganization | the most difficult way to achieve efficiency |
| GDP | a measure of the nations wealth |
| Underground economy | an example would be kid gets paid for mowing the lawn and does not report the income |
| Empowered | When you do this with workers, less managment is needed |
| Small Businesses | where the majority of the workers in the US are employed |
| Franchise | A good method for opening a buisiness if you have limited experience |
| Failure rate | This is much higher for non-franchised businesses |
| Managerial effectiveness | The success of a business depends greatly on this |
| Fail | 1 out of every 4-5 businesses do this within the first 3 years |
| intrapreneur | an advantage of being one of these is that you risk neither your salary nor your savings to start a business |
| Profit | difference between income and costs |
| Production | business activity in which goods are made |
| Price | this is primarily determined by the interaction of supply and demand |
| industrial | this type of business produces goods that other businesses use to make things |
| commercial business | an accounting office is an example of this because it is a type of service business |
| Unit cost | this decreases because of advanced technology |
| TQM | a commitment to excellence |
| Quality of work | when workers are empowered this increases |
| Franchisee | in return for a fee they get exclusive rights to sell a franchised product |
| risk | possibility of failure |
| efficiency | when organization produces needed goods/services at a low cost |
| franchisor | the parent company |
| mass production | the process of producing large quantities of identical goods |
| third world | countires characterized by few manunfacturing firms and a poor population |
| industry | all businesses within a category |
| effectiveness | occurs when organization makes the right decisions |
| output | quantity produced in a period |
| downsize | to cut back on goods/services/employees |
| ESOP | this employee stock sharing plan has been shown to increase productivity |
