Why Businesses Exist

Question 1

What do businesses supply?

Answer 1

Goods and services.

Question 2

What are goods?

Answer 2

Physical items e.g. books, furniture.

Question 3

What are Services?

Answer 3

Actions peformed by other people to aid the customer e.g. barber.

Question 4

Give me 4 reasons why businesses are set up.

Answer 4

1) someone starts making a good or providing a service they think customers are willing to buy.

2) start business that distributes goods.

3) set up to benefit other people, non profit organisations.

4) They see a business opportunity, an investment.