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101 Cards in this Set
- Front
- Back
Business |
Any activity that seeks to provide goods and services to others while operating at a profit |
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Goods |
Tangible products such as computers, food, clothing, cars, and appliances |
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Services |
Intangible products such as Education, Health Care, insurance, Recreation, and travel and tourism |
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Entrepreneur |
A person who risks time and money to start and manage a business |
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Revenue |
The total amount of money a business takes in during a given. By selling goods and services |
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Profit |
The amount of money a business earns above and beyond what it spends for salaries and other expenses |
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Loss |
When a business's expenses are more than its revenues |
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Risk |
The chance and entrepreneur takes of losing time and money on a business that may not prove profitable |
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Standard of living |
The amount of goods and services people can buy with the money they have |
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Quality of life |
The general well-being of a society in terms of his political Freedom, natural environment, Education, Health Care, safety, amount of leisure, and rewards the add to the satisfaction and joy the other goods and services provide |
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Stakeholders |
All the people who stand to gain or lose by the policies and activities of a business and whose concerns the business needs to address |
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Outsourcing |
Outsourcing Contracting with other companies often in other countries to do something or all of the functions of a firm, like its production or accounting tasks |
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Nonprofit organization |
An organization whose goals do not include making a personal profit for its owners or organizers |
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Factors of production |
The resources used to create wealth. Land, labor, Capital, entrepreneurship, and knowledge |
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Business environment |
The surrounding factors that either help or hinder the development of businesses |
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Technology |
Everything from phones and copiers to computers, mobile devices, Medical Imaging machines, and the various software programs and apps that make business processes more effective, efficient, and productive |
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Productivity |
The amount of output you generate given the amount of input |
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E-commerce |
The buying and selling of goods over the internet |
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Database |
An electronic storage file for information |
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Identity theft |
The obtaining of individuals personal information, such as Social Security and credit card numbers, for illegal purposes |
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Empowerment |
Giving Frontline workers the responsibility, Authority, Freedom, training, and Equipment they need to respond quickly to customer requests |
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Demography |
The statistical study of the human population with regard to its size, density, and other characteristics such as age, race, gender, and income |
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Climate change |
The movement of the temperature of the planet up or down over time |
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Greening |
The trend toward saving energy and producing products that cause less harm to the environment |
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Economics |
The study of how Society chooses to employ resources to produce goods and services and distribute them for consumption among various competitive groups and individuals |
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Macroeconomics |
The part of Economics study that looks at the operation of a nation's economy as a whole |
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Microeconomics |
The part of Economics study that looks at the behavior of people and organizations in particular markets |
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Resource development |
The study of how to increase resources and to create the conditions that will make better use of those resources |
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Invisible hand |
A phrase coined by Adam Smith to describe the process that turns self-directed gain into social and economic benefits for all |
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Capitalism |
An economic system in which all or most of the factors of production and distribution are privately owned and operated for profit |
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State capitalism |
A combination of free markets and some government control |
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Supply |
The quantity of products that manufacturers or owners are willing to sell at different prices at a specific time |
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Demand |
The quantity of products that people are willing to buy at different prices at a specific time |
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Market price |
The price determined by supply and demand |
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Perfect competition |
The degree of competition in which there are many sellers in a market and none is large enough to dictate the price of a product |
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Monopolistic competition |
The degree of competition in which a large amount of sellers produce very similar products that buyer's nevertheless perceived as different |
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Oligopoly |
A degree of competition in which just a few sellers dominate the market |
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Monopoly |
A degree of competition in which only one seller controls the total supply of a product or service, and sets the price |
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Socialism |
An economic system based on the premise that some, if not most, basic businesses should be owned by the government so that profits can be more evenly distributed among the people |
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Brain drain |
The loss of the best and brightest people to other countries |
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Communism |
An economic and political system in which the government makes almost all economic decisions and owns almost all the major factors of production |
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Free market economics |
Economic systems in which the market largely determines what goods and services get produced, who gets them, and how the economy grows |
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Command economics |
Economic systems in which the government largely decides what goods and services will be produced, who will get them, and how the economy will grow |
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Mixed economies |
Economic systems in which some allocation of resources is made by the market and some by the government |
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Gross domestic product GDP |
The total value of final goods and services produced in a country in a given year |
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Gross output |
A measure of total sales volume at all stages of production |
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Unemployment rate |
The number of civilians at least 16 years old who are unemployed and tried to find a job within the prior four weeks |
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Inflation |
A general rise in the prices of goods and services over time |
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Disinflation |
A situation in which price increases are slowing, the inflation rate is declining |
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Deflation |
A situation in which prices are declining |
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Stagflation |
A situation when the economy is slowing but prices are going up anyhow |
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Consumer Price Index CPI |
Monthly statistics that measure the pace of inflation or deflation |
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Core inflation |
CPI minus food and energy cost |
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Producer price index PPI |
An index that measures prices at the wholesale level |
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Business Cycles |
The periodic Rises and Falls that occur in economies over time |
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Recession |
Two or more consecutive quarters of decline in the GDP |
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Depression |
A severe recession, usually accompanied by deflation |
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Fiscal policy |
The federal government's efforts to keep the economy stable by increasing or decreasing taxes or government spending |
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National debt |
The sum of government deficits over time |
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Keynesian economic theory |
The theory that a government policy of increasing spending could stimulate the economy in a recession |
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Monetary policy |
The management of the money supply and interest rates by the Federal Reserve |
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Importing |
Buying products from another country |
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Exporting |
Selling products to another country |
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Free trade |
The movement of goods and services among nations without political or economic barriers |
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Comparative advantage Theory |
Theory that states that a country should sell to other countries those products that it produces most effectively and efficiently, and buy them from other countries those products that it cannot produce as effectively or efficiently |
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Absolute advantage |
The advantage that exists when a country produces a specific product more efficiently than all other countries |
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Balance of trade |
The total value of a nation's exports compared to its Imports measured over a particular period |
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Trade Surplus |
A favorable balance of trade, occurs when the value of a country's exports exceeds that of its Imports |
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Trade deficit |
An unfavorable balance of trade, occurs when the value of a country's Imports exceeds that of its exports |
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Balance of payments |
The difference between money coming into a country and money leaving the country plus money flows from other factors such as tourism, foreign aid, military expenditures, and foreign investment |
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Dumping |
Selling products in a foreign country at lower prices than those charged in the producing country |
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Licensing |
A global strategy in which a firm allows a foreign company to produce its product in exchange for fee |
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Contract Manufacturing |
A foreign company's production of private-label goods to which a domestic company then attaches its brand name or trademark, part of the broad category of Outsourcing |
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Joint venture |
A partnership in which two or more companies join to undertake a major project |
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Strategic Alliance |
A long-term partnership between two or more companies established to help each company build competitive market advantages |
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Foreign direct investment FDI |
The buying of permanent property and businesses in foreign Nations |
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Foreign subsidiary |
A company owned in a foreign country by another company, called the parent company |
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Multinational corporation |
An organization that manufactures and markets products in many different countries and has multinational stock ownership and Multinational management |
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Sovereign wealth funds |
Investment funds controlled by government holding investment stakes in foreign companies |
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Exchange rate |
The value of one nation's currency relative to the currencies of other countries |
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Devaluation |
Lowering the value of a nation's currency relative to other currencies |
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Countertrading |
A complex form of bartering in which several countries may be involved, each trading goods for goods or services for |
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Trade protectionism |
The use of government regulations to limit the import of goods and services |
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Tariff |
A tax imposed on Imports |
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Import quota |
A limit on the number of products in certain categories that a nation can import |
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Embargo |
A complete ban on the import or export of a certain product, or the stopping of all trade with a particular country |
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General agreement on tariffs and trade GATT |
A 1948 agreement that established an international forum for negotiating Mutual reductions and trade restrictions |
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World Trade Organization WTO |
The international organization that replaced the general agreement on tariffs and trade and was assigned the duty to mediate trade disputes among nations |
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Common Market |
A regional group of countries that have a common external tariff, no internal tariffs, and a coordination of laws that facilitate exchange, also called a trading Bloc and example is the European Union |
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North American Free Trade Agreement NAFTA |
Agreement that created a free-trade area among the United States, Canada and Mexico |
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Ethics |
Standards of moral behavior, that is, behavior accepted by society as right versus wrong |
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Compliance-based ethics codes |
Ethical standards that emphasize preventing unlawful Behavior by increasing control and by penalizing wrongdoers |
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Integrity based ethics codes |
Ethical standards that Define the organization's guiding values, create an environment that supports ethically sound behavior, and stress a shared accountability among employees |
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Whistleblowers |
Insiders who report illegal or unethical Behavior |
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Corporate social responsibility CSR |
A business's concern for the welfare of society |
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Corporate philanthropy |
The dimension of social responsibility that includes charitable donations |
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Corporate social initiatives |
Enhanced forms of corporate philanthropy directly related to the company's competencies |
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Corporate responsibility |
The dimension of social responsibility that includes everything from hiring minority workers to making Safe products |
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Corporate policy |
The dimension of social responsibility that refers to the position a firm takes on social and political issues |
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Insider trading |
An unethical activity and which insiders use private company information to further their own fortunes or those of their family and friends |
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Social audit |
A systematic evaluation of an organization's progress towards implementing socially responsible and responsive programs |