Written Assignment 1

Written Assignment 1

Thomas Edison State College

January, 2015

BUS-101-OL009

Abstract

In the first written assignment for this course, Introduction to Business, some fundamental key points will reviewed that are essential to all businesses. The first element that will be discussed is exactly what is the difference between capitalism, socialism, and communism. Next, the major economic indicators and how they are indicative of our current economic climate. Lastly, a few major strategies a business owner may consider when entering the global marketplace and what some of the advantages and disadvantages may be.

Written Assignment 1

Business. What is business? Are there different types of businesses? Does the type of government the home office a business is in have anything to do with how a business is run? What are the major indicators that an economy is doing well or not? There are many questions entrepreneurs-to-be have that may or may not be answered. These issues, and others will be addressed in the passages that follow.

Objective 1.4

To begin, there must be an understanding of what is a business. A business is any activity that seeks to provide goods and services to others while operating at a profit. 1 Now, one would ask what does a business have anything to do with what type of government is in a country? Well, the answer is simple. The manner in which a business is run depends entirely on what type of government is in place for the businesses’ home office. There are three different types of government today: capitalist, socialist, and communist.

Capitalism is defined as an economic system in which all or most of the factors of production and distribution are privately owned and operated for a profit. 2 What this means is in a capitalistic country, a business may determine how to run their business. This includes the rules and regulations, as long as they are within legal standards, salaries to be paid, benefits that are received by...