BUAD100 Lecture 2:

• School: University of Delaware
• Department: Business Administration
• Course: BUAD100
• Professor: Julia Bayuk

Document Summary

What is a business: an activity that seeks to provide goods and services. A business has three musts: must be organized, satisfy needs consumer not likely to buy product they do not want or need, earn a profit. Business goal of business is to develop a product (physical goods and services is wha most people think of: provide benefits to the customer. Business organization: what is profit: revenue minus expenses, coffee shop example, nonprofit habitat for humanity not main purpose of making profits. A lot of these get funded through donations: for profit. Stakeholders: a party that has interest in a company and can affect or be affected by the business, can be internal or external, examples, employees, customers investors, community members, government, suppliers retailers. Individuals own and operate all businesses: competition is encouraged by market forces, consumers have many choices for goods and services / prices are.