1: The Foundations of Business
- Page ID
- 3955
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\(\newcommand{\avec}{\mathbf a}\) \(\newcommand{\bvec}{\mathbf b}\) \(\newcommand{\cvec}{\mathbf c}\) \(\newcommand{\dvec}{\mathbf d}\) \(\newcommand{\dtil}{\widetilde{\mathbf d}}\) \(\newcommand{\evec}{\mathbf e}\) \(\newcommand{\fvec}{\mathbf f}\) \(\newcommand{\nvec}{\mathbf n}\) \(\newcommand{\pvec}{\mathbf p}\) \(\newcommand{\qvec}{\mathbf q}\) \(\newcommand{\svec}{\mathbf s}\) \(\newcommand{\tvec}{\mathbf t}\) \(\newcommand{\uvec}{\mathbf u}\) \(\newcommand{\vvec}{\mathbf v}\) \(\newcommand{\wvec}{\mathbf w}\) \(\newcommand{\xvec}{\mathbf x}\) \(\newcommand{\yvec}{\mathbf y}\) \(\newcommand{\zvec}{\mathbf z}\) \(\newcommand{\rvec}{\mathbf r}\) \(\newcommand{\mvec}{\mathbf m}\) \(\newcommand{\zerovec}{\mathbf 0}\) \(\newcommand{\onevec}{\mathbf 1}\) \(\newcommand{\real}{\mathbb R}\) \(\newcommand{\twovec}[2]{\left[\begin{array}{r}#1 \\ #2 \end{array}\right]}\) \(\newcommand{\ctwovec}[2]{\left[\begin{array}{c}#1 \\ #2 \end{array}\right]}\) \(\newcommand{\threevec}[3]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \end{array}\right]}\) \(\newcommand{\cthreevec}[3]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \end{array}\right]}\) \(\newcommand{\fourvec}[4]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \\ #4 \end{array}\right]}\) \(\newcommand{\cfourvec}[4]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \\ #4 \end{array}\right]}\) \(\newcommand{\fivevec}[5]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \\ #4 \\ #5 \\ \end{array}\right]}\) \(\newcommand{\cfivevec}[5]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \\ #4 \\ #5 \\ \end{array}\right]}\) \(\newcommand{\mattwo}[4]{\left[\begin{array}{rr}#1 \amp #2 \\ #3 \amp #4 \\ \end{array}\right]}\) \(\newcommand{\laspan}[1]{\text{Span}\{#1\}}\) \(\newcommand{\bcal}{\cal B}\) \(\newcommand{\ccal}{\cal C}\) \(\newcommand{\scal}{\cal S}\) \(\newcommand{\wcal}{\cal W}\) \(\newcommand{\ecal}{\cal E}\) \(\newcommand{\coords}[2]{\left\{#1\right\}_{#2}}\) \(\newcommand{\gray}[1]{\color{gray}{#1}}\) \(\newcommand{\lgray}[1]{\color{lightgray}{#1}}\) \(\newcommand{\rank}{\operatorname{rank}}\) \(\newcommand{\row}{\text{Row}}\) \(\newcommand{\col}{\text{Col}}\) \(\renewcommand{\row}{\text{Row}}\) \(\newcommand{\nul}{\text{Nul}}\) \(\newcommand{\var}{\text{Var}}\) \(\newcommand{\corr}{\text{corr}}\) \(\newcommand{\len}[1]{\left|#1\right|}\) \(\newcommand{\bbar}{\overline{\bvec}}\) \(\newcommand{\bhat}{\widehat{\bvec}}\) \(\newcommand{\bperp}{\bvec^\perp}\) \(\newcommand{\xhat}{\widehat{\xvec}}\) \(\newcommand{\vhat}{\widehat{\vvec}}\) \(\newcommand{\uhat}{\widehat{\uvec}}\) \(\newcommand{\what}{\widehat{\wvec}}\) \(\newcommand{\Sighat}{\widehat{\Sigma}}\) \(\newcommand{\lt}{<}\) \(\newcommand{\gt}{>}\) \(\newcommand{\amp}{&}\) \(\definecolor{fillinmathshade}{gray}{0.9}\)- 1.1: Introduction
- This page explores the evolving business landscape shaped by technology, the effects of the 2008 financial crisis, and changing consumer behaviors. It details Apple's production cuts due to the crisis and its subsequent rebound in 2011, contrasting it with ongoing economic challenges faced by many. The course aims to examine various business activities and assist students in determining if a career in business aligns with their interests.
- 1.2: Getting Down to Business
- This page outlines the basics of business, including its definition as a profit-driven entity providing goods or services, illustrated by Apple's history. It distinguishes between product-oriented and service-oriented businesses, and also mentions nonprofits. Key players in a business include owners, employees, and customers, with the central aim of meeting customer needs to achieve profitability.
- 1.3: What Is Economics?
- This page introduces economics, exploring production, distribution, and consumption of goods and services. It discusses factors of production—land, labor, capital, and entrepreneurship—and how businesses utilize these resources to create products.
- 1.4: Perfect Competition and Supply and Demand
- This page explains perfect competition in a mixed economy, highlighting how supply and demand determine prices in a free market. It describes a scenario where many consumers buy standardized products from numerous small businesses, ensuring no single seller affects price. Key concepts include demand, supply, and equilibrium price, with examples like the apple market.
- 1.5: Monopolistic Competition, Oligopoly, and Monopoly
- This page outlines four types of competition in economics: perfect competition, monopolistic competition, oligopoly, and monopoly. Monopolistic competition involves many sellers with differentiated products, allowing for some price control. Oligopoly features few sellers who can significantly influence the market, often leading to reactive pricing. Monopoly exists when a single seller controls the market, categorized as natural or legal.
- 1.6: Measuring the Health of the Economy
- This page outlines essential economic concepts for understanding the U.S. economy, highlighting goals such as growth, high employment, and price stability. It explains economic growth via GDP, employment through the unemployment rate, and the business cycle's impact on activity fluctuations. Price stability is linked to controlling inflation, measured by the Consumer Price Index (CPI). This knowledge is important for business students and managers to evaluate economic conditions and trends.
- 1.7: Government’s Role in Managing the Economy
- This page outlines the government's essential role in economic management through monetary and fiscal policies aimed at growth, employment, and stability. The Federal Reserve adjusts the money supply and interest rates to manage inflation and stimulate the economy during downturns. Fiscal policy includes government spending and taxation strategies responsive to economic conditions. Additionally, it highlights the significant national debt in the U.S.
- 1.8: Cases and Problems
- This page discusses unemployment rates, career opportunities in economics, and ethical pricing strategies. It advises using resources like CNNMoney and the U.S. Department of Labor to analyze job markets and educational needs. The text also reviews historical pricing tactics favoring discounters and assesses the impact of a proposed employment law in France. The focus is on balancing job availability, economic policies, and market competition.