1. COMMERCE DR. JOHN ABRAHAM PROFESSOR UTPA

2. Commerce Definition –Commerce is the exchange of goods, services, information, or anything of value between two entities

3. Capitalism An economic system based on a free market, open competition, profit motive and private ownership of the means of production. Capitalism encourages private investment and business, compared to a government-controlled economy. Investors in these private companies (i.e. shareholders) also own the firms and are known as capitalists. Commerce is the central paradigm from which capitalism is derived.

4. Management Commerce must be managed Management refers to the process of getting this done. A good manager gets things done effectively and efficiently.

5. Efficiency Tasks done correctly Relationship between input and output. If more output is produced given a fixed input, efficiency is improved.

6. Effectiveness Goal attainment Effectiveness with efficiency is good management If colleges puts out more graduates without increasing budget, but they are not educated, we have efficiency without effectiveness.

7. Management Processes –Based on level of management (lower, middle or upper), the percentage of time spent on the following vary. Plan Organize Staff Direct Control

8. Planning Goals Objectives strategies Activities

9. Organizing Categorizing (grouping) tasks Assigning staff to tasks Who reports to whom Where decisions are made

10. Staffing Hiring Development of staff Motivating Evaluating Promoting

11. Directing Day to day activities of leadership Communicating Liaison (inside to outside the organization) Consider –Conceptual skills (ability to analyze) –Interpersonal skills –Technical skills –Political skills

12. Controlling Monitor organization’s performance Compare performance to goals Correct as needed Deal with changes in laws, population, etc.

13. Disciplines to study Anthropology Economics Philosophy (ethics) Political science Psychology Sociology Statistics

14. Creation of a new business Entrepreneurship –Create wealth –Pursuit of opportunities –Innovation –Growth Learn context of the business Identify opportunities Possible competitive advantage Start and manage Remember customer is king

15. Future management related lectures Plan Organize Staff Direct Control