This document defines key concepts in business and entrepreneurship. It explains that business involves the production and distribution of goods and services to earn profits. It also defines the concepts of need, want, and demand, stating that needs are basic requirements while wants are culturally influenced and demand requires both the willingness and ability to purchase. The document goes on to define a market as the set of buyers and sellers in a given area, and explains that market offerings can include products, services, places, or information designed to satisfy customer needs and wants.
2. What is Business?
The term business refers to the commercial activities associated with the
production and distribution of goods and services for the purpose of
earning profits.
Any legal human activity which is done to make a profit is called business.
3. Need, Want and Demand
Need
Need is a state of felt deprivation, basic requirements such as food, shelter,
education and clothes.
Want
When need is specified by you it become wants and mostly relate with culture
and society in which we are living.
Demand
Demand is a desire which is supported by purchasing power.
Two condition must be fullfiled
Power of purchase
Willing to purchase
4. What is Market?
A market is defined as the sum total of all the buyers and sellers in the
area or region under consideration.
The set of actual and potential buyers of product and services is known as
market.
5. Market Offering
Market offering are some combinations of product, service, information or
experience offered to market to satisfy customers needs and wants
Product
Automobile, phone, books, laptops or any physical items.
Service
Banking, Airlines, Delivery etc…
Place
Parks, hotels etc…
Information
Ideas, information consultant
