1.1 The nature of business activity

What is a business?
What is meant by consumer goods and consumer services?
What is creating value?
What is added value?
What are the benefits of adding value? (3 points)
What are some of the ways of adding value? (5 points)
What is the nature of economic activity?
What is scarcity?
What is the problem of choice?
What is opportunity cost?
What is meant by internal environment and name some of its elements
What is meant by external environment and name some of its elements
What does a business need to succeed?
How may lack of cash and working capital affect a business early on?
How can working capital deficiencies be prevented as the business is being established (3 p)
How can poor management skills affect a business early on?
How can change in environment skills affect a business early on?