Chapter 1
1. Define business and profits
Business-----An organization that provides goods or services to earn profits Profits: The positive difference between a business’s revenues and its expenses ? rewards for businesspeople who take the risks
2. Distinguish between business and not-for-profit organizations
? Business consists of all profit-seeking activities and enterprises that provide goods and services necessary to an economic system. ['ent?pra?z]事业，项目
Not-for-profit organizations are business like establishments (机构;团体;企业) that have primary objectives other than returning profits to their owners. It operates in both public service and private sector (部门，行业，领域).
3. Identify the factors of production.
Labor, capital, entrepreneurs ([??ntr?pr?'n?:(r)]企业家), physical resources, information resources.
4. Global economic systems
Planned economy, market economy and mixed economies ? Planned Economy：
? An economic system in which the government owns and operates all sources of production
? Market Economy：
? An economic system in which buyers and sellers interact ([??nt?r'?kt]相互作用；互相影响)based on freedom of choice
Mixed Economies: Planned and Market
? The economies of most countries include both planned and market elements.
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5. Explain the factors that drive demand and supply. (1)Factors Driving Demand 1)Price
2)Customer preferences and income 3)Prices
of
substitute
(['s?bst?tju:t]替代的)and
complementary
（[?k?mpl??mentri]互补的）items 4)Number of buyers in the market 5)Consumers’ optimism about the future. （2）Factors Driving Supply
? factors of production (Central role in determining the overall supply of goods and services is played by factors of production.)
? Other factors like taxes and the number of suppliers will also influence the supply.
6. Describe each of the four different types of market structures in a private enterprise system.
Perfect competition，monopolistic [m??n?p??listik] competition(垄断性竞争)，oligopoly( [??l?'g?p?l?]寡头,求过于供的市场情况) and monopoly ( [m?'n?p?l?]垄断)
Perfect competition exists when all firms in an industry are small and the number of firms is large. Prices are determined by market forces as supply and demand.
In monopolistic competition, many sellers try to make their products at lease seem to be different from those of competitors. Product differentiation gives sellers some control over prices.
When an industry has only a handful of sellers, an oligopoly exists. The entry of new competitors is hard. And the prices of comparable products are usually similar.
A monopolyexists when an industry or market has only one producer. A sole
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supplier enjoys nearly complete control over the prices of its products. Characteristic Example Number of competitors Ease of entry into the industry Similarity of goods/services offered by competing firms Level of control over price by individual firms
7. Identify and describe the four stages of the business cycle.
None Some Some Considerable Identical Similar Can be similar or different Perfect competition Local farmer Monopolistic competition Stationery store Many, but fewer Many than in perfect competition Relatively easy Fairly easy difficult Regulated by government No directly competing goods or services few none Oligopoly Steel industry Monopoly Public utility Prosperity, 繁荣； recession 衰退； depression 萧条； recovery 复苏 [pr?'sper?t?][r??se?n][d?'pre?n]
8. Explain how productivity, price-level changes, and employment levels affect the stability of a nation’s economy.
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9. Discuss how monetary policy and fiscal policy are used to manage an economy’s performance. Monetary Policy货币政策
government actions to increase or decrease the money supply and change banking requirements and interest rates to influence banker’s willingness to make loans.
Fiscal Policy财政政策
Government influences economy by spending and taxation decisions. Government uses fiscal policy to control inflations([?n'fle??n]通货膨胀), reduce unemployment, improve the general welfare of citizens, and encourage economic growth.
Chapter 2
1. Explain the concepts of business ethics and social responsibility.
Business ethics are standards of business conduct and moral values by employees on the job
Social responsibility refers to the overall way in which a business attempts to balance its commitments to relevant groups and individuals in its social environments.
2. Describe the factors that influence business ethics, at individual, organizational, legal, societal levels
Individual:values, work background, family status, personality
Organizational:Top Level Mgmt. Philosophy, the Firm’s Reward System, Job Dimensions
Environmental:Competition, economic conditions, social/cultural institutions
3. List the stages in the development of ethical standards. Stage 1: Preconventional
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Individual is mainly looking out for his or her interest. Rules are followed only out of fear of punishment or hope of reward. Stage 2: Conventional
Individual considers the interests and expectations of others in making decisions. Rules are rules are followed because it is a part of belong to the groups. Stage 3: postconventional
Individual follows personal principles for resolving ethical dilemmas. He or she considers personal, group and social interests.
4. Identify common ethical dilemmas in the workplace.
Conflict of interest, honesty and integrity(正直), loyalty VS truth, whistle-blowing(揭发).
5. Discuss how organizations shape ethical behavior.
6. Summarize the responsibilities of business to the general public, customers, employees and investors.
Responsibilities to the General Public a) Public Health Issues b) Protecting the Environment
Green washing: Using advertising to project a green image without substantially altering processes or products Recycling—reprocessing of used materials for reuse c) Developing the Quality of the Workforce d) Corporate Philanthropy([f?'l?nθr?p?]慈善事业) Responsibility Toward Customers
Consumer Rights, Unfair Pricing, Ethics in Advertising Responsibility Toward Employees
Workplace Safety; Quality of Life Issues…….
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当代商业概论总结
