ITT Tech – BU1110 Introduction to Business A Business World Tour ITT Tech – Business In Action – BU1110

Break-out Group Discussion “Why are you taking this course?” 1.Group discussion 2.What are the top reasons for taking this introduction to business course? 3.Discuss as a class ITT Tech – Business In Action – BU1110

Textbook Introduction Business in Action – Bovee and Thill 1.Overview of textbook Preface, Prologue, Appendix and Glossary 2.Chapter layouts and review procedure ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset “Enter The Haggis” - Canadian Celtic Rock Band – setting up its own business Understanding What Businesses Do Business (def.) – Any profit-seeking organization that provides goods and services designed to satisfy customers’ needs. Other words used as synonyms for business : company, firm, enterprise ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset The Business of Business: Adding Value Adding Value (def.) – a system for satisfying customers by transforming lower-value inputs into higher value outputs. At every stage of production, a company adds value to create the product in a way that makes it appealing to the next customer in the chain. ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Adding Value – cont’d Revenue – (def.) – money a company brings in through the sale of goods and services Business Model – (def.) - a concise description of how a business intends to generate revenue Profit – (def.) - money left over after all of the costs involved in doing business have been deducted from revenue Competitive Advantage – (def.) - some aspect of a product or company that makes it more appealing to target customers ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Identifying Major Types of Businesses: Not-For-Profit Organizations (def.) – organizations that provide goods and services without having a profit motive, also known as nonprofit organizations Goods Producing Businesses (def.) – companies that create value by making “things” most of which are tangible, but also includes intellectual property such as software and other digital products Service Businesses (def.) – companies that create value by performing activities that deliver some benefits to customers ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Barrier to Entry (def.) – Any resource or capability a company must have before it can start competing in a given market Examples include: capital intensive and labor intensive businesses ITT Tech – Business In Action – BU1110

Explore Activity 1: Identifying Major Types of Businesses 1.Group discussion 2.As a group, review the checkpoint questions on Page 6 3.Share the results from the questions with the class ITT Tech – Business In Action – BU1110

Apply Activity 1: Unit Assignment 1 The Business Model 1.Break class into 3 groups 2.Groups assigned as non-profit, goods-producing, and service business 3.Graded Assignment Sheet found on website 4.Review and explain assignment and timeline for submission ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Business Mindset – (def.)- A view of business that considers the myriad of decisions that must be made before companies can deliver products that can satisfy customers ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset ITT Tech – Business In Action – BU1110

Practice Activity 1: Positive/Negative Effects of Business on Society 1.Group discussion 2.Discuss and list the positive and negative effects of business ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Business Environments Social Environment – (def.) – the trends and forces in society at large Stakeholders – (def.) – internal and external groups affected by company’s decisions and activities Technological Environment – (def.) – forces from application of science to innovations, products and processes Economic Environment – (def.) – conditions and forces that affect the cost and availability of goods, services and labor that affect the behavior of buyers and sellers Legal and Regulatory Environment – (def.) – laws and regulations at local, state, national and international levels Market Environment – (def.) – a company’s target customers, their buying behavior and competitors selling similar products ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset ITT Tech – Business In Action – BU1110

Explore Activity 2 Major Business Environments 1.Group discussion 2.Group will discuss individual business environments, then create a brief list of examples ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset 6 Major Functional Areas of a Business Enterprise: 1.Research and Development (R&D) 2.Manufacturing, Production and Operations 3.Marketing, Sales, Distribution and Customer Support 4.Finance and Accounting 5.Human Resources 6.Business Services ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset ITT Tech – Business In Action – BU Major Functional Areas of a Business Enterprise (cont’d) Key Terms: -Informational Technology -Purchasing -Logistics -Facilities Management -Financial Managers -Accounting Managers -Financial Auditors

Chapter 1 - Developing a Business Mindset ITT Tech – Business In Action – BU1110

Explore Activity 3 Six Functional Areas of Business 1.Group discussion 2.The group will discuss each functional area and develop a concrete example of that functional area ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Exploring Careers in Business: Operations Manager Human Resource Specialist Information Technology Manager Marketing Specialist Sales Professional Accountant Financial Manager ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Achieving Professionalism: Striving to Excel Being Dependable and Accountable Being a Team Player Communicating Effectively Demonstrating Etiquette Making Ethical Decisions Professionalism – (def.) – the quality of performing at a high level and conducting oneself with purpose and pride Etiquette – (def.)- the expected norms of behavior in any situation ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset ITT Tech – Business In Action – BU1110

Apply Activity 2 Identify Your Business Term Project Part 1 The term project will consist of weekly research and analysis on the identified business entity. Part 1 consists of: 1.Identifying a business entity 2.Describing the major type of business of that entity 3.Provide an overview of the business mission This paper should be submitted by the beginning of the next class ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Summary Adding Value – The Business of Business The 3 Major Types of Businesses The Role of Business in Society The 5 Major Environments of Business The 6 Major Functional Areas of a Business Enterprise Components of Professionalism Key Terms : business, revenue, business model, profit, competitive advantage, not-for-profit organizations, goods-producing organizations, service businesses, barrier to entry, business mindset, stakeholders, social/technological/economic/legal/market environments, professionalism, etiquette ITT Tech – Business In Action – BU1110

Chapter 1 - Developing a Business Mindset Unit 1 Reminders for Next Week 1.Complete Unit 1 Assignment 1: The Business Model 2.Complete Unit 1 Project Part 1: Identify Your Business 3.Read Unit 2 Requirements to prepare for in-class activities 4.Read Chapters 2 and 3 in textbook for Unit 2 ITT Tech – Business In Action – BU1110