Understanding Business: Structure, Elements, and Responsibilities
Company: Definition and Purpose
A company is a set of factors of production organized and led to produce goods and services for placement through sale to users in terms of risk, uncertainty, and profit. The company’s goal is to maximize profits.
The Value Chain
The value chain, according to Porter, is a form of business analysis. The purpose of a company is to maximize its value chain. This is actually a set of functions that add value to products and services.
Follow these steps:
- Market research
- Prototype
Understanding Business Market Approaches and Consumer Behavior
ITEM 3
Approaches to Business Market Production Orientation: The Industrial Revolution is characterized by the notion that all produced goods are sold. This approach prevails in the Cat PV, where new products are sold without much difficulty. Product Orientation: Since the first half of the nineteenth century, it has been understood that all products produced with a certain degree of quality will be sold at an acceptable price. Signpost Sales: Economic growth since the second half of the nineteenth
Key Concepts in Finance: From Friedman to CAPM
Key Financial Concepts
Friedman’s Social Responsibility: Businesses’ sole purpose is to generate profit for shareholders. Companies adopting a social responsibility attitude face more constraints and become less competitive.
Present Value: We rely on present value since many investment decisions must be made without good information about market value. 1/(1+r) … 1/(1+r)^t
Transition Costs: These are expenses incurred when buying or selling a good or service, such as real estate title fees or brokers’
Read MoreBusiness Operations and Management: Key Concepts
Business Operations and Management: Key Concepts
Commercial Experimentation
In connection with commercial experimentation, variability derived from uncontrollable factors is reflected by the calculation of the residual dispersion.
Job Analysis
Job analysis is the systematic and detailed study of a job that identifies and examines the elements and tasks that comprise it, and the characteristics and requirements to be met by the person assigned to it.
Market Research
The survey to be done to several groups
Read MoreDistributive Negotiation: Mastering the Bargaining Zone
Distributive Negotiation Bargaining Zone refers to the overlap between the buyer’s and seller’s reservation points, also known as the Zone of Possible Agreement (ZOPA). Successful negotiation occurs within this zone.
Reservation Point vs. BATNA
Your reservation point is the walk-away point in a negotiation. BATNA (Best Alternative to a Negotiated Agreement) is what you will do if you cannot reach an agreement. A strong BATNA improves your negotiation position.
Opening Offer
The initial offer sets the
Read MoreQuality Management and FMEA for Enhanced Customer Satisfaction
Understanding Customer Satisfaction and Quality Management
Satisfying customer requirements is paramount, both now and in the future. This can be achieved through various levels of quality management:
- Product Inspection: Focuses on the manufactured product, separating good parts from bad through sampling.
- Process Control: Focuses on the manufacturing process itself. Product quality is directly dependent on process quality. Statistical Process Control (SPC), self-inspection, and poka-yoke are used to