BA 3301 Lecture Notes - Lecture 70: Business Process, State Capitalism, Mixed Economy
Document Summary
Business is any acivity that seeks to provide goods and services. Goods are tangible products while services are intangible products, like health care and insurance. An entrepreneur is a person who risks ime and money to start and manage a business. Revenue is the total amount of money a business takes in during a given period by selling goods and services. Proit is the amount of money a business earns above and beyond what it spends for salaries and other expenses needed to run the operaion: as noted above, the business environment is constantly changing. Staring a business may thus come with huge risks, which may result in huge proits. Risk is the chance an entrepreneur takes of losing ime and money on a business that may not even prove proitable. Not all enterprises make the same amount of proit. Those that take the most risk may make the most proit.
