The Nature of Business Flashcards

All 5 cards in this deck

What are goods?

Tangible items that can be physically touched and held, which businesses make and sell for customers to own.

What are services?

Intangible actions that cannot be stored, which businesses provide for customers to access for a period of time.

What are needs?

Things required in order to survive, such as food, water, shelter, warmth and clothing.

What are wants?

Things people would like to have but can survive without, and which are unlimited, e.g. holidays, designer accessories, mobile phones.

True or false? A haircut is classed as a good.

False. A haircut is a service — it is intangible and cannot be stored.