Business and Economics Overview

Study Notes

Resources are categorized into non-renewable (e.g., fossil fuels), renewable (e.g., solar energy), natural (e.g., forests), capital (e.g., machinery), labor (e.g., workforce), products (e.g., goods), and services (e.g., healthcare).
Resource scarcity is the limited availability of resources compared to unlimited wants, creating the economic problem of supply and demand.
Economic systems include planned (government-controlled), market (consumer-driven), and mixed (combination of both). Each system has advantages and disadvantages in resource allocation.
Profit is the financial gain when revenue exceeds expenses, a key indicator of business success.
Expenses are costs in generating revenue, including fixed costs (e.g., rent) and variable costs (e.g., materials).
Profit margin is (profit/revenue) x 100, measuring profitability per dollar of sales.

Consumers purchase goods/services, influencing demand.
Producers create goods/services, responding to consumer demand and contributing to supply.
Government regulates, provides public goods, and redistributes income through taxation and welfare programs.
Financial institutions facilitate transactions, savings, and investments, affecting economic stability.

Imports are goods/services brought into Australia; exports are sold to other countries. Both are crucial for economic growth.
Benefits of trade include specializing in production, accessing a wider variety of goods, and improving economic efficiency.
Australia exports minerals (e.g., iron ore, coal) and agricultural products (e.g., wheat, beef) and imports machinery, vehicles, and electronics.
Trade enhances economic relationships, boosts GDP, and provides consumers with various products.

Globalization is the increasing interconnectedness of economies, cultures, and populations globally.
Advantages include access to larger markets, increased competition, and technology spread.
Disadvantages can include job losses in developed countries, cultural homogenization, and labor exploitation.
Outsourcing is relocating production/services to countries with lower labor costs, raising ethical concerns.

Saving involves setting aside income for future use, often in a bank account (with potential fees).
Investing allocates resources to generate profit, including bonds, shares, property, and superannuation.
Each investment type has its own risks and returns; stocks generally offer higher returns but greater risk compared to bonds.

Consumer rights include safety, being informed, and choice.
Refund policies address faulty goods/services not meeting promises.
Scams include phishing, charity, and romance scams; awareness is key to prevention.

BOLTSS (Border, Orientation, Legend, Title, Scale, and Source) is a map interpretation mnemonic.
Biomes are large ecological areas with distinct climates and ecosystems (e.g., deserts, forests, grasslands).
Australia's biomes include unique ecosystems, like the Great Barrier Reef, shaped by natural processes and human activity.

Food security is the availability and access to safe, nutritious food.
Factors impacting food security include population growth, water scarcity, land degradation, and climate change.
Farming techniques (extensive, intensive, and precision farming) can enhance productivity and sustainability.
Interconnections exist between different places, people, and environments globally (physical and/or virtual).

Technology (communication and transportation) reduced barriers to global interaction.
The rise of the internet and mobile technology transformed how businesses operate and consume globally.
Technology sped up communication and access to information.
Innovations in transport (container shipping, air travel) made global trade more efficient.

Ecotourism focuses on responsible travel to natural areas, promoting conservation and benefiting local communities. Positive impacts include environmental awareness and economic benefits, however, negative impacts can include habitat disruption and cultural commodification.
Cultural tourism involves visiting historical sites and engaging with local cultures. Positive impacts involve cultural preservation and education, however, negative impacts may involve cultural appropriation or commercialization of traditions.