Production is the posers of making and supplying goods and services in order to satisfay people’s needs and wants.
NEEDS: are the things which are essential for existence. The five basic needs are food, water, shelter, clothes and warmth.
WANTS: are things which are not really needed. Nobody really needs a car or a telephone, but life is much easier if you have them.
There are two types of production: goods and services.
GOODS: are physical objects that we can see and touch. They can divided into two categories:
- Non-durable goods: are things consumed son after they are bot, for examples: newspaper, tobacco.
- Durable goods: that last much longer, for example: tourism, education and transport.
CV is a summary of your previous work experience, education and training, skills and competences.
There are four factors of production: land, labor, capital and enterprise.
LAND: refers to the natural resources used in productions such as water, soil for farming, air, flora and fauna.
LABOR: refers to the human resources of the business, that is the workers and managers available and willing to work.
CAPITAL: refers to the human made goods that are used in production (machinery, building, equipment) and the money available to start a expand a business.
ENTERPRISE: refers to the people who are willing to set up in business despite any risks.
SECTORS OF PRODUCTION
Productions can be divided into three sectors:
PRIMARY: which consists in extraction or productions of raw materials from the land or see: for example mining, fishing, farming, and forestry.
SECONDARY: which consists of manufacturing processing and production of finished goods from raw materials.
TERTIARY: consists of sale support services commercial services such as retailing distribution advising financial, banks-insurance.
NON PROFIT ASSOCIATION: voluntary organizations cooperatives.