business

Business fundamentals 

Chapter 1


Business = Individuals or organizations trying to earn a profit by providing products that satisfy people’s needs. 


Products = Goods or services with tangible and intangible characteristics that provide satisfaction and benefits.


A Product Can Be…

  • Tangible Goods = Automobile ,Computer ,Phone,Coat 

  • Services = Dry cleaning, Doctor’s checkup, Basketball game,Concert 

  •  Ideas = Professionals generate ideas for solving problems


The Goal of Business: The goal of business

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uvic com 250

Write your text here!Products and Services: 70% of the economy is services-based (90% of jobs) Characteristics of services: Intangibility (cant be seen or tested before bought), Variability (quality depends on who provides them), Inseparability (cannot be separated from provider), Perishability (cannot be stored) Two-sided platform: Occurs when two user groups interact through an intermediary or platform to the benefit of both parties, Advantages: inventory is owned by external sellers, service Read More

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1)Think of the “Andreas Keller in China” case study. On the surface this case deals with a straightforward sales management issue, i.e. increase the company’s sales revenue to get the Chinese business unit out of the red. Would you agree with this?

2)What is Mr. Keller expected to achieve in China?

3)Which activities should Mr. Keller focus on to get CWS-boco out of the red?

4)What should Mr. Keller write in his email to his boss (Max)?

5)Provide an actual report of the 6 identified weaknesses

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Classical  | Keynes | -Prices are flexible -price level would adjust whenever aggregate demand shifted, so government interventions could have no effect on aggregate output. Critics to Keynesianism – Comparing spending to tax multipliers doesn’t take into account the growth incentives of low taxes. – Aggregation obscures that some spending is less useful than other spending. (e.g., Frederic Bastiat’s broken window fallacy) – pay the repairer so he will spend more in other things  | -Prices
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1. Nonconstant Dividends. Apocalyptica Corporation is expected to pay the following dividends over the next four years: $6, $12, $17, and $3.25. Afterward, the company pledges to maintain a constant 5 percent growth rate in dividends, forever. If the required return on the stock is 11 percent, what is the current share price?

With nonconstant dividends, we find the price of the stock when the dividends level off at a constant growth rate, and then find the present value of the future stock price,

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1. She started drinking too much alcohol two years ago. (Verbal Tenses)

– She has been drinking too much alcohol for two years.

2. I don’t have a computer so I can’t type the essay on English grammar. (Conditional Sentence)

– If I had a computer, I would be able to type the essay on English grammar.

3. Despite having been vaccinated she caught the flu. (Contrast Connector)

– Although she had been vaccinated, she caught flu.

4. “We will arrest them for illegal entry in the country”, the policeman

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