business
what is a business?
an organisation that provides goods and services
what are goods
physical products e.g.mobile phone ,shoes
services
non physical products e.g car washing , manecure
typical business functions
production , marketing , human resources , finance control
external factors that have an impact on a business
government laws , changes of consumer tastes , actions of competitors
consumer goods
produced for consumers e.g clothes , food
producer goods
products sold by one business to another e.g machinery
examples of consumer goods
goods : coffee , phone , clothes
services : education , healthcare , interior design
producer goods examples
goods : delivery vam , sewing machine , industrial cooking appliances
services : software design , market research , printing
needs
basic requirements for survival
wants
people's desire for goods and services , luxury brand items , business class boarding ticket
primary sector
produces all the raw materials and natural resources e.g. agriculture , mining , fishing
secondary sector
convert raw materials into final products - ready for selling
tertiary sector
customer facing businesses , where goods and services are available for customers to purchase e.g. hair dresser , supermarkets
sole trader
a small business run by one person that is responsible for all decision making within the business . Can employ workers but only one owner
partnership
A business owned by 2-20 people . Owners work together
deed of partnership
a legal document - a contract which states the agreement between all the partners and the rules that will apply . It must be followed
what are in the deed of partnership
who the partners are
roles of each partner and what they'll be responsible for
how much money each partner has put in
how the profits will be shared
memorandum of association
sets out the constitution and gives details about the company
-name of the company
-name and adress of the company's registered office
-objectives of the company and nature of it's activities
-amount of capital to be raised and number shares to be issued
articles of association
deals with the internal running of the company
-rights of shareholders depending on the type of share they hold
-timing and frequency of company meetings
-arrangements of auditing company accounts
-procedures of appointing directors
-length of time director serve until re-election
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