WANTS AND NEEDS

I WANT It

Individual Group Family Business Public

Needs

Basics: Food, shelter, clothing. Business and Government provide needs

at affordable prices Termes: Goods and Services

Examples

Goods Services

Limited Resources

Unlimited wants (designing rooms) Business promotes different items to

meet wants More goods produced= Resources limit wants

Decision Process

1. Identify the Problem 2. List alternatives 3. Determine the pros and cons 4. Make the best decision 5. Evaluate your decision

Assignment

Work in groups Decide between two similar products

(wants) Example: Ferrari or Lamborghini

Use the decision making process to decide on what you will end up buying

Continued

Same groups Decide between to basic needs

Clothing, shelter, food No brand names for clothes

Try to find cheapest types No mansions <200,000 Generic food

Business

Here to supply needs and wants Also people get wealthy

Sam Walton Develops goods and services Market research

Production

Opportunity Evaluates demand Funding? Setting up and maintaining production Final product Marketing Safety

Motivations

$$$$ Need to stay competitive High sales, low costs

Bank of America Keep up with change

Fads

Chicken or the Egg

Business provides goods and service

People want goods and services

Consumers

Mostly users of goods and service

Increase supply; Decrease supply

Business responsibility

Making money

Businesses need employees People need money Businesses pay employees

Assignment

Design a Flow Chart Diagram how money gets into your

pocket Then determine how money gets back

into a business Label each step

Money↓Business→ Products → Profit → Buys goods and services ↓Employee↓Buys goods or services↓Business