Business Concepts PDF

Offshoring vs. Outsourcing ​ Offshoring: Moving business operations to another country for cost efficiency. ​ Outsourcing: Hiring external companies to handle specific tasks or processes. Four Factors of Production 1.​ Land: Natural resources. 2.​ Labor: Human effort. 3.​ Capital:...

Offshoring vs. Outsourcing ​ Offshoring: Moving business operations to another country for cost efficiency. ​ Outsourcing: Hiring external companies to handle specific tasks or processes. Four Factors of Production 1.​ Land: Natural resources. 2.​ Labor: Human effort. 3.​ Capital: Tools and equipment. 4.​ Entrepreneurship: Innovation and risk-taking. Advantages and Disadvantages of Corporation Style of Business ​ Advantages: Limited liability, easier access to funding, perpetual existence. ​ Disadvantages: Complex regulations, double taxation, less personal control. Advantages and Disadvantages of Sole Proprietorship Style of Business ​ Advantages: Full control, easy to start, tax benefits. ​ Disadvantages: Unlimited liability, limited resources, dependency on owner. Free Trade vs. Protectionism ​ Free Trade: Promotes international trade without restrictions. ​ Protectionism: Uses tariffs and quotas to protect domestic industries. Business Ethics and the Titanic Wreck Company ​ Ethical concerns: Safety standards, accountability, and transparency in operations. Business Ethics and Whistleblowers ​ Whistleblowers expose unethical practices within a company, promoting accountability but often facing retaliation. NAFTA and the New USMCA ​ NAFTA: North American Free Trade Agreement (1994). ​ USMCA: Updated 2020 version, emphasizing fair labor and environmental policies. Sharing Economic Benefits  ​ Focus on equitable distribution of wealth to reduce inequality and promote social well-being. Business Ethics and Company Code of Ethics ​ A code of ethics sets guidelines for responsible business practices, fostering trust and accountability. Business CSR and ESG ​ CSR: Corporate Social Responsibility, focusing on positive social impact. ​ ESG: Environmental, Social, and Governance criteria for sustainable and ethical operations. Marketing and the SWOT Analysis ​ SWOT: Identifies Strengths, Weaknesses, Opportunities, and Threats for strategic planning. Red Seal Program and Job Training ​ Certification for skilled trades in Canada, ensuring national standards and mobility. Marketing and Types of Pricing Strategies ​ Examples: Cost-based, value-based, penetration, skimming, and competitive pricing. Organization for International Standards ​ Known as ISO, sets global quality and safety standards for products and services. Improving Productivity ​ Strategies: Technology upgrades, employee training, streamlined processes, and effective management. The Purpose of the Company’s HR Department ​ Manages recruitment, employee relations, training, and compliance with labor laws. Mass Production vs. Batch Production vs. Craft Production vs. Mass Customization ​ Mass Production: High volume, identical goods.  ​ Batch Production: Limited groups of products. ​ Craft Production: Handmade, unique items. ​ Mass Customization: Tailored products in large quantities. 4 Ps of Marketing 1.​ Product: Goods or services offered. 2.​ Price: Cost to the consumer. 3.​ Place: Distribution channels. 4.​ Promotion: Advertising and sales. Retail vs. Not-for-Profit vs. Manufacturing vs. Service Style of Business ​ Retail: Sells goods directly to consumers. ​ Not-for-Profit: Focuses on social missions, not profit. ​ Manufacturing: Produces goods. ​ Service: Provides intangible products (e.g., consulting). Income Statement Accounts vs. Accounts Found on a Balance Sheet ​ Income Statement: Revenue, expenses, profits/losses. ​ Balance Sheet: Assets, liabilities, equity. The Accounting Term for Quickly Turning an Asset into Cash ​ Liquidity. Balance Sheet and Income Statement Calculations ​ Balance Sheet: Assets = Liabilities + Equity. ​ Income Statement: Net Income = Revenue - Expenses.