1. Back to Table of Contents pp. 4-17 Chapter 1 A Look at Wants and Needs

2. Introduction to Business, A Look at Wants and Needs Slide 2 of 48 An Abundance of Wants Wants are the things you wish you could have. Each person has wants. A group of people may also share the same wants. Although these wants are shared, they are considered private wants.

3. Introduction to Business, A Look at Wants and Needs Slide 3 of 48 An Abundance of Wants Some wants are widely shared by many people. These wants are no longer considered private but become public wants, such as highways, drinking water, and education.

4. Introduction to Business, A Look at Wants and Needs Slide 4 of 48 An Abundance of Wants For the most part local, state, and federal governments satisfy public wants.

5. Introduction to Business, A Look at Wants and Needs Slide 5 of 48 Satisfying Wants and Needs With Goods and Services Necessary wants are needs. Food, shelter, and clothing are basic needs.

6. Introduction to Business, A Look at Wants and Needs Slide 6 of 48 Satisfying Wants and Needs With Goods and Services Goods can be physically weighed or measured. Goods satisfy your wants and needs for material things that you can see or touch.

7. Introduction to Business, A Look at Wants and Needs Slide 7 of 48 Satisfying Wants and Needs With Goods and Services Services are tasks that people or machines perform. Services also satisfy some of your wants for things you can’t see or touch.

8. Introduction to Business, A Look at Wants and Needs Slide 8 of 48 Unlimited Wants, Limited Resources Limited Resources Most people have unlimited wants for goods and services. The more money you make, the more goods or services you want.

9. Introduction to Business, A Look at Wants and Needs Slide 9 of 48 Unlimited Wants, Limited Resources Limited Resources A resource is anything that people can use to make or obtain what they need or want. Examples of resources include fuel, timber, labor, and money.

10. Introduction to Business, A Look at Wants and Needs Slide 10 of 48 Unlimited Wants, Limited Resources Limited Resources The problem of unlimited wants and limited resources affects individuals, companies, and nations.

11. Introduction to Business, A Look at Wants and Needs Slide 11 of 48 Unlimited Wants, Limited Resources Limited Resources Resources limit the number of wants people can satisfy. Businesses and government are influenced by the same problem.

12. Introduction to Business, A Look at Wants and Needs Slide 12 of 48 Deciding on Your Resources People make the most of their resources by making the right choices about what to buy.

13. Introduction to Business, A Look at Wants and Needs Slide 13 of 48 Deciding on Your Resources The decision-making process is a step-by-step method to carefully consider alternatives that result in better choices.

14. Introduction to Business, A Look at Wants and Needs Slide 14 of 48 Deciding on Your Resources The decision-making process has five essential steps: 1.Identify the problem. 2.List the alternatives. 3.Determine the pros and cons. 4.Make the best decision. 5.Evaluate your decision.

15. Introduction to Business, A Look at Wants and Needs Slide 15 of 48 Fast Review 1.Define wants, needs, goods, services, and resources. 2.What is the difference between public wants and private wants? continued

16. Introduction to Business, A Look at Wants and Needs Slide 16 of 48 Fast Review 3.List the steps in the decision- making process.

17. Introduction to Business, A Look at Wants and Needs Slide 17 of 48 What Is Business? Business is any activity that seeks profit by providing goods or services to others.

18. Introduction to Business, A Look at Wants and Needs Slide 18 of 48 What Is Business? Businesses provide you with necessities. Businesses also provide people with the opportunity to become wealthy.

19. Introduction to Business, A Look at Wants and Needs Slide 19 of 48 Business Activities A business must organize the people and equipment to provide the product. People within the organization manage the company’s resources to produce the product.

20. Introduction to Business, A Look at Wants and Needs Slide 20 of 48 Business Activities The company markets the product or service by deciding where to sell it and how to advertise it.

21. Introduction to Business, A Look at Wants and Needs Slide 21 of 48 Business’ Motivations Profit is the amount of money left over after a business has paid for the cost of producing its goods and services. Profit is the motivation for taking the risk to start a business.

22. Introduction to Business, A Look at Wants and Needs Slide 22 of 48 Business’ Motivations A business is profitable when sales are high and costs are kept low.

23. Introduction to Business, A Look at Wants and Needs Slide 23 of 48 Business’ Motivations Companies thrive on competition, or the contest between businesses to win customers.

24. Introduction to Business, A Look at Wants and Needs Slide 24 of 48 Figure 1.2 RIDING THE SEA OF CHEESES Cheese lovers’ tastes are changing to specialty cheeses. While cheddar and mozzarella are mainstays, sheep’s and goat’s milk cheeses are moving straight ahead to your nearest deli counter. Imagine you want to become a cheese maker. What kind of cheese would you make. Why?

25. Introduction to Business, A Look at Wants and Needs Slide 25 of 48 Business and You Businesses make many decisions that impact you. However, you also affect business.

26. Introduction to Business, A Look at Wants and Needs Slide 26 of 48 You as a Consumer A consumer is a person who selects, purchases, uses, or disposes of goods or services. Business is aware of your changing needs and wants.

27. Introduction to Business, A Look at Wants and Needs Slide 27 of 48 You as a Consumer Businesses affect you when they discontinue products. The decision to stop manufacturing products is often because there is a decreasing demand.

28. Introduction to Business, A Look at Wants and Needs Slide 28 of 48 You as a Consumer When a company is slow to respond to customers’ complaints and doesn’t communicate very well, then customers usually find another company’s product to buy.

29. Introduction to Business, A Look at Wants and Needs Slide 29 of 48 You as a Wage Earner In order to make products and provide services, businesses hire people to work. In order to produce a product, the business decides how it will be produced.

30. Introduction to Business, A Look at Wants and Needs Slide 30 of 48 You as a Wage Earner In business today, workers have more input about how business is done. When you’re an employee, quality of work, decision-making skills, and input to problems help a business flourish.

31. Introduction to Business, A Look at Wants and Needs Slide 31 of 48 Fast Review 1.Explain the functions of business. 2.List the business activities that happen behind every product or service. continued

32. Introduction to Business, A Look at Wants and Needs Slide 32 of 48 Fast Review 3.How does business affect you as a consumer and as a wage earner?

33. Introduction to Business, A Look at Wants and Needs Slide 33 of 48 Self-Discovery in Business Changes in the price of consumer goods, company bankruptcies and interest rates affect your life. What happens in business and government will make a difference to the world you live and work in.

34. Introduction to Business, A Look at Wants and Needs Slide 34 of 48 The Value of Knowledge When you become a business owner, manager, or employee, you’ll need business knowledge. The more education you have, the better your income.

35. Introduction to Business, A Look at Wants and Needs Slide 35 of 48 What Do You Like? Learn as much now in order to make an informed decision in the future. Explore all the business opportunities in order to see what is available to you in order to satisfy your wants and needs.

36. Introduction to Business, A Look at Wants and Needs Slide 36 of 48 Fast Review 1.Why is it important to understand business today? 2.How will knowledge help your career?

37. Introduction to Business, A Look at Wants and Needs Slide 37 of 48 Does the media sway the public’s wants and needs? How do environmental laws affect some businesses? continued

38. Introduction to Business, A Look at Wants and Needs Slide 38 of 48 How are colleges going to meet the increased demand for continuing education courses? continued

39. Introduction to Business, A Look at Wants and Needs Slide 39 of 48 Why is diversity an important stimulus to the workforce?

40. Back to Table of Contents pp. 4-17 End of Chapter 1 A Look at Wants and Needs