工商导论考试必备完整版

Keywords

Business:Goal-directedbehavioraimedatgettingandusingproductiveresourcestobuy,make,trade,andsellgoodsandservicesthatcanbesoldataprofit.

Productiveresources:Thefourcrucialingredients-land,labor,

capital,enterprise-thatareneededtoprofitfrombusiness.

Operatingcosts:Thecostofacquiringandusingthefourproductiveresourcestomakeandsellgoodsandservices.

Product:Anykindofgoodorservicethatotherpeoplevalueandwanttobuy.

Value:Howmuchutilityaproductgivescustomers;thatis,howwellitsatisfiestheirdesiresorneeds.

Price:Awayofmeasuringthevalueofaproductbyhowmuchcustomersarewillingtopayforit.

Businessmodel:Acompany'splanofactiontouseresourcestocreateaproductthatwillgiveitacompetitiveadvantage.

Competitiveadvantage:Acompany'sabilitytooffercustomersaproductthathasmorevaluetothemthansimilarproductsofferedbyothercompanies.

Salesrevenue:Theamountofmoneyorincomethatacompanygeneratesfromthesaleoftheproduct.

Profit:Thetotalamountofmoneyleftoverafteroperatingcostshavebeendeductedfromsalesrevenues.

Capital:Profitthatiskeptinacompanyandinvestedinitsbusiness.

Wealth:Thesumtotaloftheresources,assets,riches,andmaterialpossessionsownedbypeopleandgroupsinsociety.

Franchising:Abusinesspracticewherebyinvestorsareallowedtopurchasetherighttoownandperateabusinessusingacompany'snameandbusinessmodel.

Nonprofitorganization:Anorganizationthatisnotinbusinesstomakeprofitbuttoprovidevaluetothepeopleandgroupsitserves.

Businesssystem:Thecombinationofcommerce，occupations,andorganizationsthatresultintheproductionanddistributionofgoodsandservicespeoplevalue.

Businesscommerce:Theprocessbywhichpeopleproduceandexchangevaluablegoodsandservicesthatfulfilltheirwantsandneeds.

Trade:Theexchangeofproductsthroughtheuseofmoney.

Barter:Theexchangeofoneproductforanotherproduct.

Diminishingmarginalutility:Theprinciplethatthevaluepeoplereceivefromanadditionalunitofaproductdeclinesastheyobtainmoreoftheproduct.

Lawofdemand:Theprinciplethatstatesasthepriceofaproductrises，consumerswillbuylessofit，andasthepriceofitfalls，consumerswillbuymoreofit.

Lawofsupply:Theprinciplethatstatesthatasthepriceofaproductrises，producerswillsupplymoreofit，andthatasthepriceofitfalls，producerswillsupplylessofit.

Marginalcurve:

Market：Buyersandsellersforaparticularproduct.

Industry:Agroupofcompaniesthatmakesimilarproductsandcompeteforthesamecustomers.

Profitability:Ameasurementofhowwellacompanyismakinguseofitsresourcesrelativetoitscompetitors.

Premiumprice:Thehigherpriceasellerisabletochargeversuswhatitscompetitorscancharge.

Specialization:Theprocessbywhichpeoplebecomemoreskilledandproductivewhentheyperformanarrowlydefinedrangeoftasksspecifictoanoccupationorjob.

Businessoccupation:Theacquiredsetofspecializedskillsthatenableapersontocreatevaluablegoodsandservicethatcanbetradedataprofit.

Invisiblehand:Theprinciplethatthepursuitofself-interestinthemarketplacenaturallyleadstotheimprovedwell-beingofsocietyingeneral.

Monopoly:Asituationinwhichonecompanycontrolsthesupplyofaproductandcanchargeanartificiallyhighpriceforit.

Humancapital:Apeople'sstockofknowledge，skills，experience，judgement，personality，andabilities.

Transactioncosts:Thecostsofbargaining，negotiating，monitoring，andregulatingexchangesbetweenpeopleinbusiness.

Teamwork:Aphenomenonthatoccurswhenpeoplepooltheirskillstocreatemorevaluableproductsthantheycouldcreatealone.

Businessorganization:Atoolthatempowerspeopletoshapeandcontrolthebehaviorofotherpeopletoproducegoodsandservices.

Organizationalstructure:Theframeworkoftaskandauthorityrelationshipsthatcoordinatespeoplesotheyworktowardsacommongoal.

Functionalactivities:Thetask-specificoperationsneededtoconvertresourcesintofinishedgoodsandservicessoldtocustomers.

Valuechain:Thecoordinatedseriesorsequenceoffunctionalactivitiesnecessarytotransformresourcesintotheproductscustomerswanttobuy.

Primaryfunctions:Functionsdirectlyresponsibleforutilizingscarceresourcesmostefficientlyandeffectivelytocreategoodsandservices.

Secondaryfunctions:Functionsnotdirectlyresponsibleforgettingproductstocustomersbutwhoseactivitiescontributetotheefficiencyandeffectivenessofotherfunctions.

Entrepreneur:Apersonreadytosupplytheenterprise—energy，boldness，courage，spirit，expertise—necessarytostartandgrowabusiness.

Entrepreneurship:

Firstmoveradvantage:Thecompetitiveadvantagegainedbybeingfirsttodevelopanewproductorprocess.

Intrapreneurship:Entrepeneurialactivitythattasksplaceinsideofanestablishedcompany.

Venturecapitalists:

Intrinsicmotivation:

Extrinsicmotivation:

Delegate:Givingupdecision-makingauthoritytootherpeople.

Agencyproblem:Theproblemthatarisesbecauseoftheseparationoftheownershipandcontrolofabusiness.Itoccurswhenthefirm'sownerdelegatesauthoritytomanagers.

Stockoptions:Therighttobuyastockatacertainpriceandtobenefitfromincreasesinthestock'svalueinthefuturebysellingit.

Boardofdirectors:Experiencedbusinessexecutivesfrominsideandoutsideofacompanywhoareelectedbyacompany'sshareholderstoactastheirrepresentatives.

Chiefexecutiveofficer(CEO):Acompany'stopmanager.TheCEOisresponsibleforoverseeingtheoperationsofthecompanyandensuringitscapitalisusedtocreatethemostprofitpossible.

Topmanagers:Employeeswhoareresponsiblefordevelopingacompany'sbusinessmodelandwho，alongwiththeCEO，areultimatelyresponsibleforitssuccessorfailure.

Middlemanagers:Employeesinchargeofacompany'svariousfunctionsandwhoareresponsibleforusingthecompany'sfunctionalrescourcesproductivelytoincreaseitsprofitability.

First-linemanagers:Employeesatthebaseofthemanagerialhierarchy.Theyareoftencalledsupervisors.

Efficiency:Acost-focusedmeasureofhowproductivelyacompany'sresourcesarebeingusedtoproducegoodsandservices.

Effectiveness:Arevenue-focusedmeasureofhowcompetitivethefirm'sbusinessmodelis.

Planning:Aprocessthatmanagersusetoselectthebestbusinessmodelandgoalsfortheircompany.

Organizing:Aprocessmanagersusetocreateacompany'sorganizationalstructure.

Organizationalculture:Thesetofvalues，norms，andbeliefssharedbymembersofanorganizationthatdeterminehowwelltheyworktogethertofurtherthecompany'sgoals.

Leading:Theabilitytodevelopaplanandmotivateotherstopursueit.

Cross-functionalteam:Agroupofpeoplefromthedifferentfunctionswhoworktogetheronaparticularproject.

Controlling:Theprocessofevaluatingwhetherornotacompanyisachievingitsgoalsandtakingactionifitisnot.

Benchmarking:Thepracticeofcomparingabusiness'sstrengthsandweaknessestothoseofitscompetitors.

Role:Thesetoftasksapersonisexpectedtoperformbecauseofthepositionheorsheholdsinanorganization.

Mentor:Apersonwhoprovidesadvice，guidance，andtechnicalknowledgetootherpeople〔mentees〕inordertohelpthemadvancetheircareers.

Multinationalcompanies:Companiesthatoperateandtradeinmanydifferentcountriesaroundtheworld.

Government:Thepoliticalsystemchosentocreateandmanagethesetoflaws，rules，andregulationsthatcontroltheactionsofpeopleandcompaniesthatoperateinasociety.

Representativedemocracy:Aformofgovernmentinwhichcitizensperiodicallyelectindividualstorepresenttheirinterests.

Totalitariangovernment:Aformofgovernmentinwhichapersonorgroupofpeopleattempttoexerciseabsolutecontroloverallformsofbusinessactivity.

Free-tradeagreement:Jointdecisionsbycountriestoreduceoreliminatetradebarriersthatimpedetheflowofproductsbetweennations.

Quotas:Restrictionsontheamountofagoodorservicesthancanbeimportedintoacountry.

Tradebarriers:

GeneralAgreementonTariffsandTrade(GATT):AninternationaltreatybetweennationsfollowingWWII，dramaticallyfuelingfreetrade.

Freetradearea:Agroupofcountriesthatagreetopromotethefreeflowofgoodsandservicesbetweenthem.

Globalenvironment:Thesetofforcessurroundingacompanythatdetermineitsabilitytoobtainproductiveresources-land，labor，capital，andenterprise.

Specificforces:Forcesintheglobalenvironmentthatdirectlyincreaseordecreaseacompany'ssalesrevenuesoroperatingcosts，andthusitsprofitability.

Suppliers:Theindividualsandcompaniesthatprovideacompanywiththeresourcesthatitneedstoproducegoodsandservices.

Globaloutsourcing:Theprocessofpurchasinginputsfromthroughouttheworldtotakeadvantageofdifferencesinthecostsandqualityofresources.

Distributors:Firmsthatlinkthecompaniesthatmakeproductswiththecustomerswhobuythem.

Intermediary:Acompanysuchasamerchant，broker，orwholesalerthatbuystheproductsofonecompanyandsellsthemtoanother.

Marketshare:Thetotalpercentageofaproductacompanysellsinaparticularmarket.

Political-economicforces:Changesthatoccurintheformofacounttry'ssocialandpoliticalsystems.

Free-marketeconomy:Economicsysteminwhichtheproductionofgoodsandservicesisleftinthehandsofprivateenterprise.

Commandeconomy:Economicsysteminwhichthequantityandpriceofgoodsandservicesthatacountryproducesisplannedbythegovernment.

Mixedeconomy:Economicsysteminwhichcertaingoodsandservicesareproducedbyprivateenterpriseandothersareprovidedviacentralizedgovernmentplanning.

Values:Generalstandardsandguidingprinciplesthatpeopleinasocietyusetodeterminewhichkindsofbehaviorsarerightorwrong.

Norms:Unwrittencodesofconductthatprescribehowpeopleinaparticularcultureshouldactincertainsituations.

Nationalculture:Theparticularsetofeconomic，political，andsocialvaluesandnormsthatexistinaparticularcountry.

Demographicforces:Changesinthecharacteristicsofacountry'spopulation，suchasitsage，gender，ethnicorigin，race，andsexualorientation.

Legalforces:Changesinacountry'slawsandregulationsthatoftenoccurbecauseofchangesinthepoliticalandethicalattitudeswithinasociety.

Globalnetwork:Asetoftaskandreportingrelationshipsamongmanagers，functions，andoperatingunitsaroundtheworld.

Productivity:Measureshowefficientlyacompanyisusingitsresourcestomakeaproduct.

Quality:Afunctionofhowwellaproductperformswhenitisputtouseandismeasuredbysuchthingsasdurabilityandreliability，andcustomersatisfaction.

Innovation:Afunctionofacompany'sabilitytodevelopnewandimprovedproductsthatbettersatisfycustomers'needs.

Responsivenesstocustomers:Ameasureofacompany'sabilitytoanticipatechangingcustomerneeds,resolveproblemscustomershavewithaproduct,andprovidefastafter-salesservice.

Expatriatemanagers:Domesticmanagerswhoworkfortheircompaniesabroad.

Host-countrynationals:Nativesofaforeigncountryhiredtomanageamultinational'sdivisionsthere.

Third-countrynationals:Managerswhoareneithernativetothecountrythemultinationalisheadquarteredinnortheforeigncountryinwhichitoperates.

Exporting:Sellingdomesticallyproducedgoodsandservicestocustomersincountriesabroad.

Licensing:Contractingwithcompaniesinothercountriesinordertogivethemtherighttouseacompany'sbrandnameandbusinessmodel.

Jointventure:Anallianceinwhichcompaniesfromdifferentcountriesagreetopooltheirskillsandresourcestomakeanddistributeaproducttogether.

Whollyownedsubsidiaries:Businessunitsestablishedincountriesabroadtomanufactureanddistributeamultinational'sproducts.

Information:Asetofdata，facts，numbers，andwordsthathasbeenorganizedinsuchawaythatitprovidesitsuserswithknowledge.

Knowledge:Whatapersonperceives，recognizes，identifies，ordiscoversfromanalyzingdataandinformation.

Learning:Anincreaseinthestoreorstockofpeople'sexpertiseorknowledge.

Informationtechnology:Themanydifferentkindsofcomputerandcommunicationshardwareandsoftwareandskillsoftheirdesigners，programmers，managers，andtechnicianswhocreateandmanageit.

Organizationallearning:Managinginformationandknowledgetoachieveabetterfitbetweenacompany'sbusinessmodelandtheforcesinitsenvironment.

Informationoverload:Asituationinwhichmanagershavetoprocesssomuchinformationitactuallyreducestheirunderstandingofasituation.

Real-timeinformation:Infomationthatisconstantlyupdated.

Chiefinformationofficer(CIO):Thetopmanagerofacompany'sITfunction.

Transactionprocessingsystems:AnITsystemdesignedtocollect，record，andmanipulatethedatarelatedtoacompany'sday-to-daybusinessoperations.

Knowledgemanagementsystems:AnITsystemthatanalyzestheinformationcollectedfromtheTPsystembutfiltersandanalyzesittomakeitmoreusefultomanagers.

Bestpractices:Thesetofskill-basedcompetenciesthatallowaparticularfunctiontoperformatitsoptimallevel.

ITconsultants:Expertemployeeswhousetheirknowledgeandlearningtosolvetheircustomers'ITproblems.

Expertsystem:AnadvancedITsystemthatcanreasonthroughacompany'sinformation，diagnoseproblems，andsuggestsolutions.

Artificialintelligence:AnITsystemthatreasonsandlearnslikeahumanbeing.

Enterpriseresourceplanningsystems:Multimoduleapplicationssoftwarepackagesthatcoordinateallofacompany'sfunctionalactivities.

E-commerce:Tradethattakesplacebetweencompanies，andbetweencompaniesandindividualcustomersviatheInternet〔orotherITsystem〕.

B2Bmarketplace:Anindustry-specifictradingplatformsetuptoconnectbuyersandsellersusingtheInternet.

Intranet:Acompany'sinternetsystemofcomputersandWebsitesaccessibleonlybyitsemployees.

Legacysystem:Thehardwareandsoftwarecomponentsofacompany'sITsystematanyonepointintime.

Router:Hardwareandsoftwarethatelectronicallytransfersdatabetweennetworkstoitsintendeddestination，suchasaspecificWebpageorcomputer.

Ethernet:Alocalareacommunicationtechnologythattransmitsinformationbetweencomputersatspeedsofbetween10and100millionMBPsusingcoaxialorfiberopticcable.

Broadbandtechnology:Atypeofcommunicationshardwarethatallowsfortherapidtransmissionofvastamountsofinformation.

Wi-Fi:AtypeofEthernettechnologythatallowscomputeruserstoaccesstheInternetwirelessly.

Best-of-breedsolution:Thehighest-performingIThardwareorsoftwareapplicationcurrentlyavailableformanagingaparticularinformationprocessingormultimediatask.

Industrystandard:Apredominanttypeoftechnologyusedinanindustry.Othertechnologiesmustbecompatiblewiththeindustrystandardinordertobewidelyadopted.

Firewall:Softwarethatgivesacompany'sPCssafeaccesstotheInternetbutthatblockscomputersfromoutsidethefirmfromgainingaccesstothecompany'sintranet.

Hackers:Peoplewhoseektoinvadeacompany'sdatabasesandstealtheinformationformaliciousorillegalreasons.

Computervirus:SoftwarecodedeliberatelywrittentoharmhardwareandSoftwareandcorruptfilesanddatabases.

Marketing:Anorganizationalfunctionandasetofprocessesforcreating，communicating，anddeliveringvaluetocustomersandformanagingcustomerrelationshipsinwaysthatbenefittheorganizationanditsstakeholders.

Customerneeds:Consumerneedsthatcanbesatisfiedbythequalitiesorfeaturesofagoodorservice.

Productdevelopment:Thesetoftechnical，scientific，andengineeringprocessesinvolvedincreatingneworimprovedproductstobettersatisfycustomerneeds.

Sales:Thedevelopmentanduseoftechniquestoinformcustomersaboutthevalueofacompany'sproductsinordertopersuadethemtobuythem.

Customerrelationshipmanagement:Theprocessoftrackingthedemandandsatisfactionofcustomersinanefforttodevelopproductstheywillwanttobuyonanongoingbasis.

Businessvision(mission):Abriefstatementofacompany'sbusinessmodelthattellsstakeholderswhythefirmisinbusiness，howitintendstosatisfycustomerneeds，andwhyitwillsatisfytheirneedsbetterthanitscompetitors.

Productlifecycle:Thetypicalsequenceofchangesindemandforaproductthatoccurovertime.

Marketingresearch:Thesystematicsearchforinformationthatuncoversmetandunmetcustomerneeds，thedifferentneedsofdifferentcustomergroups，andwhetherornotaproduct'smarketingmixappealstocustomers.

Focusgroup:Agroupofpeoplebroughttogethertosharetheirthoughtsandfeelingsaboutaparticularproductandwhyitmayormaynotmeettheirneeds.

Leadingcustomers:Companiesthatimprovisetheirownsolutionstobusinessproblemsbecausenoproductscurrentlyexistthatcandoso.

Leadingproviders:PeopleorCompaniesthatbelievetheirnewproductswillbettersatisfycustomerneedseventhoughtheyhavenosureproofofthis.

Reverseengineering:Theprocessofexaminingtheproductsofone'scompetitorsindepthinordertofigureoutwhatmakesthemsuccessful.

Customergroups:Groupsofpeoplewhohaveasimilarneedforaparticularproductbecausetheproductsatisfiesseveraldifferentkindsofneeds.

Marketsegment:Agroupofcustomersthefirmtargetsbasedontheirneedforitsproducts.

Productdifferentiation:Theprocessofsettingaproductapartfromitscompetitorsbydesigningandmarketingittobettersatisfycustomers'needs.

Marketingmix:Thecombinationofaproduct'squalitiesandfeatures，itsprice，thewayitispromotedandsold，andtheplacesatwhichitissold.

Marketingmessage:Aproduct-relatedmessagethefirm'smarketingdepartmentsendstocustomersabouthowandwhyaproductwillbettersatisfytheirneeds.

Productbranding:Usingauniquename，design,symbol，orotherelementtodifferentiateaproductfromitscompetitors.

Brandname:Thespecificname，sign，orsymbolacompanyusestodistinguishandlegallyprotecttheidentifyofitsproducts.

Brandloyalty:Thetendencyofcustomerstoconsistentlypurchaseaparticularproductovertimebecausetheybelieveitcanbestsatisifytheirneeds.

Productpositioning:Theprocessofcustomizingortailoringaproducttospecificmarketsegment.

Targetprice:Thepriceatypicallycustomerwillbewillingtopayforaproductwithaparticularsetofqualitiesandfeatures.

Promotion:Thewayinwhichacompanyadvertises，announces，publicizes，andpushesitsproducts.

Promotionalmix:Thecombinationofadvertising，salespromotions，publicrelations，andpersonalsellingusedtoreachandpersuadecustomerstobuyaproduct.

Advertising:Thepaid，nonpersonalpromotionofacompany'sgoodsandservicesusingmassmediatoinfluenceconsumers.

Salespromotion:Nonpersonal，persuasiveeffortsdesignedtoboostacompany'ssalesimmediately.

Publicrelations:Thepracticeofconveyingmessagestothepublicthroughthemediatoinfluencepeople'sopinionsaboutthecompanyanditsproducts.

Personalselling:Direc，,face-to-facecommunicationbysalespeoplewithexistingandpotentialcustomerstopromoteacompany'sproducts.

Place:Thedistributionandsaleschannelsusedtogetbothaproductanditsmarketingmessagetothecustomer.

Distribution:Theselectionofthedistributionchannelstoreachanddeliverproductstocustomersmostefficientlyandeffectively.

Distributionchannel:Thespecificmethodacompanyusestosellanddeliveritsproductstocustomers.

Downstreamvaluechain:Alloftheactivitiesrelatedtomanagingaproductfromthetimeitismadetothetimeitisdeliveredandusedbycustomers.

Licenseddistributorsordealers:Independentcompaniesthatbuytherightstodistribute，sell，andserviceacompany'sproductswithinaspecificgeographicalarea.

Exclusivedealerships:Distributorsthatarelicensedtostockandsellonlyonebrandofaproduct.

Wholesalers:AnintermediaryorbrokerthatbuysproductsfrommanufacturersandthenresellsthemtootherCompanies，suchasretailers，whichinturndistributethemtothefinalcustomer.

Finalcustomer:Thepersonwhoactuallyusesorconsumesaproduct.

Retailers:Intermediarieswhosellothercompanies'productstothefinalcustomer.

Directdistribution:Distributionchannelsusedtodeliverandsellproductsdirectlytothefinalcustomer.

Distributionmix:Thecombinationofchannelsacompanyselectstoplace,promote,sell,anddeliveritsproductstocustomers.

Complexproducts:Productswithqualitiesandcharacteristicsthatmakethemdifficultforcustomerstoevaluate.

Technicalselling:Sellingthatrequiresacompany'ssalesrepresentativestoimpartdetailedtechnicalinformationtotheircustomers.

Missionaryselling:Sellingthatoccurswhenasalespersoneducatescustomers，buildsgoodwill，andperformspromotionalactivitiestoencouragethemtopurchaseaproductatalaterdata.

Agent:A，person，orintermediary，actingonbehalfoffinalcustomers.

Creativeselling:Sellingthatrequiressalespeopletocombinetheirtechnicalknowledgeandpersonalsellingexperiencetocraftcreativeanduniquewaystobettermeettheneedsoftheircustomers.

Tradeselling:Sellingdonethroughintermediaries，suchaswholesalersandretailers，whichmanagethesaleofacompany'sproductstootherCompanies.

Retailselling:Sellingtothefinalcustomer-thepersonwhobuysaproductforhisorherownuse.

Telemarketing:Asalesmethodusedtocontactprospectivecustomersexclusivelybyphone.

Buyer’sremorse:Aphenomenonthatoccurswhenacustomerbelievesheorshemadeapoorpurchasingchoice.

Customerrelationshipmanagementsystem:AnIT-basedknowledgemanagementsystemdesignedtotrackacompany'scustomers--whattheyarebuying,andhowtheirdemandsarechanging.

Concepts

Whatarethedifferencebetweentradeandbarter?P10

Thedifferencebetweentradeandbarteristhattradeinvolvestheexchangeofproductsusingmoneywhereasbarterdoesnot.Whenpeoplebarter,theyenchangeoneproductdirectlyforanother.

DescribethelawofdemandP13

Theprinciplethatstatesasthepriceofaproductrises，consumerswillbuylessofit，andasthepriceofitfalls，consumerswillbuymoreofit.

DescribethelawofsupplyP13

Theprinciplethatstatesthatasthepriceofaproductrises，producerswillsupplymoreofit，andthatasthepriceofitfalls，producerswillsupplylessofit.

Howisthemarketpricedetermined?P13

Ineconomics，thelawsofsupplyanddemandoperatetogethertodeterminethepriceatwhichproductswillbesoldinamarket.Itisimportanttorealizethatthepriceofallproductsaredeterminedatthemargin--thepointatwhichthesupplyoftheproductjustmeetsdemandforit.

Howdoesprofitdifferfromprofitability?p14

Profitissimplythetotalorabsolutemonetarydifferencebetweensalesrevenuesandoperatingcosts；Profitabilitymeasureshowwellacompanyismakinguseofitscapitalbyinvestinginresourcesthatcreategoodsandservicesthatgenerateprofits.

Whatarethethreemaincomponentsmakingupthebusinesssystem?

businessascommerce

businessasanoccupation

businessasanorganization

Whatarethefourmainproductivefactorsforacompany?

land,labor,capital,enterprise

Whatcommonmistakesentrepreneursmaymake?P63

First，entrepreneursfrequentlyoverestimatetheirabilitytocreatenewproductscustomersdesireandarewillingtopayahighpricefor；

Second，theyunderestimatehowdifficultitistoactuallyreachprospectivecustomersandgetthemtotrytheirproducts--evenwhentheyareexcellent.Theimportanceofmarketingandadvertising--anditshighcost--isoftennotgivenenoughweightinanewcompany'sbusinessmodel.

Third，entrepreneursmaynotrealizehowmuchreadycashisneededtoseeasmallbusinessthroughitscritical，initial“birth〞period，whichcansometimestakeuptotwoyears。Thisisthetimeperiodinwhichmostnewbusinessesfailbecausetheylackofcashflow--themoneythatmustbeconstantlyavailabletopaythecostofthebusiness'smodel.

Whatarethedifferencebetweenintrinsicmotivationandextrinsicmotivation?P63

Manyentrepreneursareintrinsicallymotivated，meaningtheyaredrivenbypersonalorinnermotives，suchastheneedforachievementortheneedtocreatenewandbetterthingsforthemselvesandotherstouse.Theyarenotalwaysextrinsicallymotivated，meaningthattheyarenotdrivensolelybythedesireformoneyandpersonalwealth.

Whatarethelevelsofmanagersinacompany?Whataretheirrespectiverolesandresponsibilities?p66-69

CEO,topmanagers，middlemanagers，First-Linemanagers

Whatisthedifferencebetweenefficiencyandeffectiveness?P69-70

Efficiencyisameasureofhowwellorhowproductivelyacompany'sresourcesarebeingusedtoproducegoodsandservices.Effectivenessisattentiondirectedattherevenuesideoftheprofitequation，itisameasureofthecompetitivenessofthefirm'sbusinessmodelanditsabilitytomeetitssalesgoals.

Whatarethefouressentialfunctionsthatmanagersperform?

planning,organizing,leading,controlling

Whatdoesitmeanby‘creativedestruction’?p64

Economistsrefertothewidespreadchangesbroughtaboutbyincreaseingglobalcompetitionandadvancingtechnologyastheprocessof“creativedestruction〞.

Peopleexperienceseveraldifferentstagesintheircareers.Whatarethey?

preparing-for-work

entering-the-workforce

earlycareer

midcareer

late-career

Whatarethetwoprincipal,andopposite,kindsofpoliticalsystemintheworld?P92

democracy,totalitarianism

Whatisawelfarecapitalismcountry?P92

A"weaker"formofcapitalism

Whatarethetwokindsofforcesintheenvironmentthataffectacompany’sprofitability?p96

specificforces,generalforces

Whatarethemainfourspecificforces?p96

suppliers,distributors,competitors,customers

Thepricethecompanyultimatelypaysforitsresources,dependsonitsrelativebargainingpowerversusissuppliers.p96

Ingeneral,supplierswillhavemorepowertoraisethepriceofaparticularresourceiftheyarefewinnumberortheyareprominentintheirindustry.

Otherforcesthataffectthepricescompanieshavetopayfortheirinputsincludetheavailabilityofnaturalresources.

Thegreaterthenumberofcompetitorsther