ADMN 1000H Chapter Notes - Chapter 6: Financial Statement, Structural Unemployment, Tim Hortons

• School: Trent University
• Department: Business Administration
• Course: ADMN 1000H
• Professor: Maher Galayini

Document Summary

Economic environment economic conditions in which an organization operates. Key groups that make up an economic environment are individuals, businesses, and the government. Economic condition can include job growth, consumer confidence, interest rates, and much more. Three key groups that make up an economic environment: individuals, businesses, and the government. Opportunity cost the cost of the best foregone alternative. Managers have to balance the right combination of inputs (five factors) that allow for efficiency, productivity, and overall firm growth. Five factors of production the five key inputs in an organization: natural resources, labour, capital, knowledge, and entrepreneurs. Natural resources one of the five factors of production. Includes land and raw materials that are found either below or above the ground: soil, rocks, minerals, vegetables, and so on, can include living organisms like fish and agricultural products. Labour includes all workers in an organization who contribute their talents and strengths to create goods and services.