A Look at Wants and Need
Chapter 1
Learning Objectives
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After completing this chapter you will be able to:
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State the differences between wants and needs
Describe how limited resources relate to wants
Identify business activities that are used for products and
services
List the two factors that motivate businesses
Explain the relationship between business and you.
Key Words
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Wants
Needs
Goods
Services
Resource
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Business
Profit
Competition
Consumer
Business in Today’s World
Wants and Needs of Your Sanctuary
Revamp Bedroom Worksheet
Amount to Spend
From $_______to $____________
Size and Shape of Bedroom
Color
Theme
Curtains
Posters
Doorway
(for example: bead curtains, hanging
shapes and so on)
Closet
(for example:walk-in, organized, sliding
doors, mirror, rotating clothes rack, and so
on)
Extras
(for example: private bathroom, window
seat, entertainment area, sitting room,
fireplace,mini refrigerator, desk
bookshelves, and so on)
An Abundance of Wants
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Wants are things you wish you could have.
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Private wants
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Mountain bike
New car
Public wants
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Highways
Education
Satisfying Wants and Needs
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Needs are necessary wants
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Food, shelter and clothing
Businesses assess consumer needs and provide goods
and services.
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Goods can be physically weighed and measured
Services are tasks that people perform
Unlimited Wants, Limited Resources
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Resources – anything that people can use to make or
obtain what they need or want.
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Examples:
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Fuel timber
Labor
Money
Resources limit the number of wants people satisfy.
Decision-Making Process
1.
2.
3.
4.
5.
Identify the problem
List the alternatives
Determine the pros and cons
Make the best decision
Evaluate your decision
Fast Review
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Define wants, needs, goods, services, and resources.
What is the difference between public wants and private
wants?
List the steps in a decision-making process.
What is Business
Business is an activity that seeks profit by providing goods
and services to others
Business Activities
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Determine opportunities for products and services
Evaluate the demand for products and services
Obtain funding set up and manages all factors for
producing goods and services
Produces the goods and services
Market the goods and services
Keeps records to satisfy government requirements and
analyze how to improve production and sales.
Business Motivations
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Profit is the amount of money left over after a business
has paid for the cost of producing its goods and services.
Competition – the contest between businesses to win
customers
Business and You
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You as a Consumer
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A consumer is a person who selects, purchases, uses, or
disposes of goods and services
You as a Wage Earner
Fast Review
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Explain the functions of business.
List the business activities that happen behind every
product or service
How does business affect you as a consumer and as a
wage earner?
Self Discovery in Business
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The value of knowledge
What do you like?
Fast Review
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Why is it important to understand business today?
How will knowledge help your career?
Chapter 1 Review
Summary
•Wants are things you wish you could have
•Needs are things you need for survival, like
food, shelter and clothing
•Goods satisfy you wants and needs for
material things that you can touch
•Services satisfy some of your wants for
things you cannot see or touch
Limited resources affect the number of wants
•Business activities include determining
opportunities for
•Products or services
•Evaluating the demand
•Obtaining the funding
•Setting up and managing all factors needed for
production
•Producing the goods or services
•Keeping records
Both profit and competition motivate
business to meet wants and needs
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Business affects
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Consumers by the
products or services it
decides to offer
You as a wage earner by
determining the types of
jobs that will be available
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You affect business
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What products and
services you buy
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How you work