Notesale: Turn your study into money

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Business notes

Chapter 1
An Introduction to Business and Economics

Objectives
1)
2)
3)
4)

Definition of business + what must be done to make sure you are successful in the business world
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Resources
A business needs for types of resources:
1) Financial
2) Human
3) Information
4) Material
Financial - monetary resources used to obtain other resources
Human resources - people who furnish or build or work in business in exchange for money
Information - data on how the other resources are to be combined
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Types of Businesses
Manufacturing business -> a business that processes various resources into tangible goods
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Profit is what remains after sales revenue has been subtracted by expenses
...

Marcro economic is study of economic at the global level like the national economy
...
In perfect competition prices are based on mainly supply and demand
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Differentiation - the process of making your product stand out and promoting the differences between your product and the
competition's product
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Monopolistic - the market in which there is only 1 seller
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A legal monopoly is a monopoly created by the government that issues patents, laws or similar types of protection protecting
certain types of material and products from being replicated by the said company's competition
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<================================>
Capitalism
mixed economy
Command economy
Role of Government
Low
High

4 basic economic questions
1)What goods and services will be produced?
2) How will these goods and services be produced?
For whom will these goods and services be produced?
WHo owns and controls the major factors of production?
eg:
natural resources
labor/human resources
Capital (money,materials)
Entrepreneurship
In a capitalist society 1 and 2 will be determined by the business
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2/10

In a command economy the answers are determined by a centralized government planning
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Production is based on the will of the state rather the wants and needs of it's citizens
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Average level of output of a worker in an hour
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Gross domestic product
The total economic value of all goods

and services produced by a people within the borders of a country?

Percentage change in GDP is called GDP growth rate
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Labor force: everyone in a country of working age
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Deflation - A general decrease in the level of prices
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The four stages of the business cycle are:
prosperity/peak, recession (contraction), trough (depression) and recovery
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It is inflationary
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Fiscal policy: the government influences the amount savings and expenditures
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Chapter 8

Objectives
1)
2)
3)
4)
5)
6)

Understand the meaning of marketing and the importance of management of customer relationships
...

Trace the development of the marketing concept and understand how it is implemented
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Identify the four elements of the marketing mix and be aware of their importance in developing a marketing strategy
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What is marketing
Marketing is a set of institutions, and processes for creating exchanging offerings that have value for customers, clients,
partners and society at large
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customer life-time strategy
A combination of purchase frequency, average value of purchases over the entire span of a customer's relationship with a
company
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Foam utility - is created by converting production inputs into finished products
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Place utility -making a product available where it is possible to purchase it
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market classification
4/10

Business consumers - purchasers who intend to consume a product and do not purchase a product to make a profit
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Business - (reseller) - Wholesaler and retailers that buy finished products and sell them for a profit
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By developing a marketing mix suitable for the specific needs and preferences for that group
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Examples that affect market segmentation:
demographics:
age
location
income
culture
education level
personality:
calm
frugal
risk aversion

4 ps
Price
Product
Place
Promotion

marketing enviroment
Outside factors that affect and external forces that effect the marketing strategy
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Effective strategy
1)
2)
3)
4)

Product
Price
Location
Promotion

To develop effective strategy:
1) Target market
2) marketing environment

5/10

Chapter 9

Learning Objectives
Explain what a product is and how products are classified
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Define product line and product mix and distinguish between the two
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Product
Everything one receives in an exchange, including all tangible and intangible attributes and expected benefits
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Types of consumer product:
Convenience product
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Shopping brand products:
An item for which buyers are willing to expend considerable expert on planning and making the purchase
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Product Lifecycle
it is a series of peaks and stages in which a product's revenue, income, expenditure, peak,plateau and drop
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Branding
Brand
Is a name, logo or symbol given to a product to make it stand out
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Benefits of branding:
convey information
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Packaging - place the product in a container and making it suitable for consumption
Benefits:
Protects the products
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Promote the product by unique packaging
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Eg nutritional value, alcohol content, price, type of product
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Product line: iphone 1 + iphone 2 +
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Depth of mix - the amount of products in each line
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Means the amount customers are willing to pay for a product at a given time
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Non-price competition - competition based on factors other than price (such as quality, service, prestige, customer servicer,
packing)

Pricing methods
Cost based - the seller calculates the to cost to break even and narrows it to the cost per product and marks up the price by a
percentage
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Competition based - price is set and based on a competitor's price

Break Even analyasis
Break even analysis is analysis done to determine the point at which the revenue received 'cancels' out the expenditure
completely resulting in zero net profit
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y when x is at 0 is total fixed cost
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To find proft replace Breakeven point = TR - TE left hand of the equals sign completely with the amount you want to find for
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Explain the concept of market coverage
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Distribution channel:
Producer -> Consumers
In between are marketing intermediaries
3 levels of market coverage:
Intensive - uses all outlets
Selective - limited number of outlets
Exclusive - only 1 distributor or few

Chapter 11

objectives
Describe integrated marketing communications IMC
Understand each types of promotion mix

Integrated Market Communication
The coordination of promotion efforts to ensure the maximal informational and persuasive impact on customers
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Promotional mix
The particular combination of promotion methods a firm uses to reach a target market
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Personal Selling
Sales promotion
Public relations

8/10

Advertising is paid non-personal message aimed a mass target
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Sales promotion or materials are direct incentives to customers
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AEC

3 important parts
ASEAN political community
Cultural
Economic

List of Countries
Thailand
Malaysia
Singapore
Vietnam
Brunei
Philippines
Laos
Myanmar
Indonesia
Cambodia
10 countries

Declared in
August 8th 1967
Founding fathers: Indoneisa, Philippines, Malaysia, Singapore, Thailand

plan
free flow of goods, services, investment capital, skill labor

Free flow of labor 7 jobs
Nursing services, architectural, accountancy,dental, medical, engineering, surveying

Free flow of investment
To improve asean countries' economies and improve global competitiveness of the economies
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Free flow of goods
9/10

input

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