Chapter 1Wants and Needs

SWBAT(Students will be able to)State difference between wants

and needsIdentify the difference between

goods and servicesDescribe how limited resources

relate to wantsExplain how business will be part

of their life

What are these?Million dollarsNew carChocolate cake

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WantsThings you wish you could have

Two types◦Public – provided by governmentCan be local, state, or federal

◦Private – provided by yourself

PublicExamples

◦Safe highways in good working conditions

◦Safe streets to walk on◦Safe drinking water◦Good education

What is this?

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NeedsSomething you have to have to

surviveNO your cellphone doesn’t countExamples:

◦Food◦Shelter◦Clothing

How do we satisfy wants and needs?GoodsServices

GoodsSomething that you can see or

touch

ServiceTask that people or machines

perform

haircut

lawyer

How do we get goods and services?Resources

◦Anything you can use to get goods and services.

◦Examples: Labor Money, money, money

Any of you face this?Unlimited wants, limited

resources◦I want, I want, but I don’t have any

money to buyMany people face this dilemma in

different situations◦Individuals◦Companies◦Nations

In our headDecision-making process

◦Identify the problem◦List the alternatives◦Determine the pros and cons◦Make the best decision◦Evaluate your decision

How do we get most goods and services?Business – activity that seeks

profit by providing goods or services to others

What is profit?◦Money left over after all expenses

are paid for. Examples?

Some business owners become wealthy

Can you name a business owner and their business?

Business ActivityOrganize the people and

equipment Manage the resourcesProduce a productMarket the product

CompetitionContest between businesses to

win customersName business and their

competitors?

How do you fit in business?ConsumerEmployeeOwner

SummaryThe more you know about

business the better off you will be.

You will be involved in businesses everyday.