1.1 Introduction to Business
Management
Explain the role of businesses in combining human, physical and financial resources
to create goods and services? (AO2)
The Role of a business: a business aims to meet the needs and wants of individuals or
organisations through creating a product and providing a service to make a profit.
Definition of Business: decision making organization involved in the process of using
inputs to product goods and to provide services to make a profit.
Difference between customers and consumers:
Customers are people or an organization that actually buys the product
Consumer actually uses the product.
Difference between consumer goods and capital/producer goods:
Consumer goods = products sold to the general public rather
Capital goods or producer goods = products bought by business to then
produce other goods or services.
Comment on business functions and their roles (AO2)
Main functions of a business:
Human resources = the department responsible for managing the personnel’s
of the organization or business.
Finance and accounts = the department that is in charge of managing the
organizations money.
Marketing = the department that is responsible for identifying and satisfying
the needs and wants of customers.
Operations Management = is responsible for the process of converting raw
materials and components into finished goods, ready for sale
Analyse primary, secondary and tertiary and quaternary sectors (AO2)
Business sectors:
Primary sector = business involved with the extraction, harvesting and
conversion of natural resources.
Management
Explain the role of businesses in combining human, physical and financial resources
to create goods and services? (AO2)
The Role of a business: a business aims to meet the needs and wants of individuals or
organisations through creating a product and providing a service to make a profit.
Definition of Business: decision making organization involved in the process of using
inputs to product goods and to provide services to make a profit.
Difference between customers and consumers:
Customers are people or an organization that actually buys the product
Consumer actually uses the product.
Difference between consumer goods and capital/producer goods:
Consumer goods = products sold to the general public rather
Capital goods or producer goods = products bought by business to then
produce other goods or services.
Comment on business functions and their roles (AO2)
Main functions of a business:
Human resources = the department responsible for managing the personnel’s
of the organization or business.
Finance and accounts = the department that is in charge of managing the
organizations money.
Marketing = the department that is responsible for identifying and satisfying
the needs and wants of customers.
Operations Management = is responsible for the process of converting raw
materials and components into finished goods, ready for sale
Analyse primary, secondary and tertiary and quaternary sectors (AO2)
Business sectors:
Primary sector = business involved with the extraction, harvesting and
conversion of natural resources.
