MGTA05H3 Chapter 1: Detailed Notes from the text
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MGTA05H3 Full Course Notes
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10:50 pm: business is an organized effort to provide people/customers the things that they need/want and are willing to pay for. A business exists to satisfy customer needs and to also make a profit: businesses take time, effort and energy to run and organize, businesses must satisfy a need/want for customers or else they are not successful. This type of motivation is called "profit motive": profit motive: the idea that people will put in time, energy and effort to start a business only if they realize that it would benefit them. Businesses and non-profit organizations: non- profit organizations- an organization designed to provide people with things that they need and may collect revenue but is not intended to make a profit. Sources of revenue: donors, government, tax-payers: businesses- exist to make profit, the sole idea is to provide people with services and goods at a higher price that the costs, in order to generate profit.
