1._Introduction_to_Business_Management

[Audio] Introduction to Business Management. Introduction to Business Management.

[Audio] Change Creativity Key business management course concepts Sustainability Ethics.

[Audio] Change conversion, transformation, or movement from one form, state or value to another ❖due to increasing competition, new technologies and markets as well as changing trends in consumer behaviour, business organizations need to adapt their objectives, strategies and operations ❖success emerges from their ability to research and respond to signals in both the internal and external environment.

[Audio] Creativity the process of generating new ideas and considering existing ideas from new perspectives ❖includes the ability to recognize the value of ideas when developing innovative responses to problems and surrounding changes.

[Audio] Sustainability , is about "meeting the needs of the present without compromising the ability of future generations to meet their own needs" (UN, 1987) ❖can be enhanced by conserving resources or finding more efficient ways to produce or discover new resources..

[Audio] Ethics refers to moral principles, code or morals that govern the behaviour of a person or group of people ❖every business decision has moral implications. These decision-making processes are based on moral philosophies or guidelines that influence the way a business conducts itself. ❖the consequences of these implications can be significant for internal and external stakeholders and the natural environment.

[Audio] Needs vs. wants  Needs – things we must have to survive  Desires/wants – things that are not necessary for our immediate physical survival, but we would like to have them  Human needs and desires are unlimited.  Resources are limited.

[Audio] Businesses is any organization that uses resources to satisfy the needs and wants of people, organizations and governments through the following activities: ➢ extracting raw materials, producing crops ➢ creating goods: consumer goods – physical and tangible goods sold to general public capital goods – physical and tangible goods that are used by industry to The role of business aid in the production of other goods/servicies ➢providing services – non-tangible products that are sold to general public.

[Audio] FACTORS OF PRODUCTION and FINANCIAL RETURNS Land – natural resources availabe for production (e.g. land, water, timber, sand, minerals, plants and animals) Rent Interest Capital - non-natural (or Labour - human input into production Production of goods & servicies process man-made) resources used in the production process (computers, buildings, cars etc.) Profit Wages Enterprise/Enrepreneurship- knowledge, skills and experiences of individuals who have the capability to manage the overall production process..

[Audio] BUSINESS ACTIVITY Resource input: Product output: Production Goods (tangible) Labour Land Capital Servicies (intangible) Enterprise/Entrepreneurship Capital intensive: large propotion of land and matinery inputs Labour intensive: large propotion of labour inputs.

[Audio] Business sectors GOODS SERVICIES. Business sectors GOODS SERVICIES.

[Audio] Primary sector ❖Extraction or production of raw materials ❖agriculture and farming, fishing, hunting, extraction, mining, quarrying ❖Larger sector in underdeveloped & developing countries ❖Less capital investment ❖Less use of machinery.

[Audio] Secondary sector ❖Part of the economy engaged in the production of finished goods ❖Takes the output of the primary sector and manufactures finished goods ❖Important sector to promote economic growth and development ❖Important source of income in developing countries.

[Audio] Tertiary sector ❖The part of the economy engaged in the delivery of services, such as banking, healthcare and restaurants ❖Transformation of goods through providing services ❖Provides key inputs to most other business ❖Significant contribution to GDP in developed countries.

[Audio] Quaternary Sector ❖the part of the economy engaged in the production, processing and transmission of information ❖knowledge-based sector, focused on information technology (IT), e-services, business consulting, R&D (research and development, particularly in scientific fields) ❖„subgroup" of the tertiary sector ❖provides servicies based on knowledge e.g. typical for developed economies (post-industrial economies).

ACTIVITY 1.2 Business Coca-Cola HSBC RTZ Corporation plc Booking.com Rolls Royce Holdings plc Tencent Primary Secondary Tertiary Quaternary Description of main activities 1 2 3 Copy the table above into your notebook. Use the internet or other means of research to: a identify these well-known international companies b identify the main sector of industry that they operate in give details of their main activities. c Have you had problems identifying the main sector of any of the companies in the table? If so, why? How did you come up with an answer? Research five businesses that operate in your country and identify which sector of the industry they mostly operate in and what their main activities are..

Vietnam's sectoral change Vietnam is undergoing a swift economic transition. Historically, it has been an agricultural country, dependent on the production of rice. The country's reliance on the primary sector has been reducing over time. The secondary sector grew fast, especially in the late 2000s. The growth of manufacturing, mostly in auxiliary industries such as textile, electronics, leather and garments has been supported by various economic policies of the Vietnamese government. Moreover, Japan offered aid of approximately $180 million to finance small and medium-sized enterprises (SMEs) in Vietnam. As a result, areas such as Que Vo district and Bac Ninh province became industrial zones. The industrialisation of Vietnam attracted big multinational firms such as the Korean company Samsung, which now assembles most of its smartphones in the country. By 2020, smartphones accounted for roughly one quarter of the country's exports. Today, Vietnam is developing its tertiary sector fast. Some of the fastest-growing industries are finance and banking, insurance, health care, education, transportation, trade and tourism. Modern technologies in the quaternary sector are growing fast as well, with firms like Samsung investing in artificial intelligence (A1), 5G, and research and development (R&D) facilities. Vietnam's sectoral change has improved overall welfare in the country by increasing the national output and creating new job positions in the secondary and tertiary sectors. The average household income has increased, leading to improved living standards. Yet, Nguyen Hoang Dung, former R&D director of the Ho Chi Minh City Institute of Economy and Management in Vietnam, identified some issues along with the benefits of the sectoral change. Some of these issues are linked to the fact that most of the economic shift is led by foreign businesses. One main problem is the lack of adequate training of local manual workers by multinational companies. Also, foreign firms often do not transfer much technological know-how to Vietnamese engineers, and they are not environmentally responsible. I 2 3 Define the term 'secondary sector'. With reference to the case study, identify two examples of 'sectoral change' in the Vietnamese economy. With reference to the case study, identify one advantage and one disadvantage of the economic transition in Vietnam. [2] [4] [4].

TASK Pick any country (everyone picks a different one) Using the CIA world factbook. Create a presentation 3 slides long which shows... 1. Agraph of the industry sectors by %GDP 2. Agraph of the industry sectors by % Employment 3. Your analysis of the reasons behind the comparative sizes of the different sectors..

[Audio] SectoralchangeReferstochangesinthenumberofpeopleemployedinprimary,secondary,tertiaryandquaternarysector. --importanceofeachsectorincountry'seconomicstructurechangesovertime --relativeimportanceofeachsectorvariesbetweendifferenteconomies.

[Audio] Industralisation transformation of a manual labor-based economy to a machine labor-driven industrial society - nowadays: mainly developing countries Benefits Problems depopulation of rural areas (rapid urbanization) increasing output results in lower imports and higher exports import of raw materials (higher costs) creation of more jobs pollution availability and affordability of goods higher mark-up (profit) presence of multinational companies (larger income disparities) potentially hazardous working conditions Dcreased professional autonomy.

[Audio] Deindustrialisation Deindustralization - a decrease in the relative size and importance of the industrial sector in an economy It may involve a decrease in the absolute size of industry or it might just mean that manufacturing/industry takes a smaller share of GDP and employs a smaller % of the workforce. Reasons:  Technological innovation  Higher labour productivity  Development of international trade  Cultural changes.