MGTA01H3 Lecture Notes - Lecture 2: Stephen Hawking, Newsprint, French Verbs

• School: UTSC
• Department: Management (MGT)
• Course: MGTA01H3
• Professor: Professor Boivard

Document Summary

Business are made up of a small number of fundamental parts. By understanding these parts, the role of each, and how they relate to each other business owners. Every business uses some combination of these can better control, maintain or improve the business performance. Management theorists call the fundamental building blocks of a business the factor of production. Business exist to produce the goods and services that people need and want. Factors of production refers to the factors required to produce goods and services. Factors of production the basic building block that, in combination, are required to make a business, and produce things. There are 4 factors of production: natural resources, labor, capital, entrepreneurship. Natural resources - the resources that grow out of the earth, or can be extracted from it. Examples of natural resources include: land, water, wood, coal, cotton, oil, and wheat. People need, and are willing to pay for, natural resources.