MNB1501 summary

MNB1501

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Business world & business management
Entrepreneurship
Establishing a business
Business environment
Corporate social responsibility
Planning
Organising
Leading
Controlling the management process

 Role

of business in society
 Needs & need satisfaction
 Main economic systems
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Free market (Capitalism)
Socialism
Command ( Communism)

 Need-satisfying

economy
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institutions of the market

Business
Government
Non-profit

 Nature

of business management

 Transform

resources into goods & services to meet society’s needs
 Influence by business
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Physical environment
Consumers
Competitors
Economy

 Influence
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on business

Social responsibility
Consumerism

 Unlimited

needs
 Limited resources
 Choice – economic principle
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Greatest benefit (satisfaction) with limited resources

 Need
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to know society’s needs

Maslow


 Use
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Physiological, Security, Social, Esteem, Selfrealisation

resources to meet needs

Entrepreneurship
Capital
Natural resources
Human resources

 Management
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Individual organisation
Purpose
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Produce most units of goods/services @ lowest possible cost  Management
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of needs satisfying institution

functions

General
Marketing
Public relations
Financial
Human Resource
Production/operational
Purchasing

 Entrepreneurs

& entrepreneurship
 Role of entrepreneurs & small business owners in society
 Entrepreneurial process

 Definition
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Person/personality type
Takes up new venture
Willing to accept full responsibility for outcome
Harness factors of production to generate products/services  Reward

→ profit
 Traits & characteristics
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Achievement motivation
Internal locus of control
Innovation & creativity
Risk-taking

 Process
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of

Identifying, creating or sensing opportunities
Finding & combining resources to pursue opportunities
Until it becomes successful established business

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Management is independent
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