Functions of Management

1. Planning: The process of setting objectives and determining the best way to achieve
them.
2. Organizing: Arranging resources and tasks to achieve objectives.
3. Leading: Motivating and directing employees towards organizational goals.
4. Controlling: Monitoring performance and adjusting as necessary.

Functional Areas of a Business

5. Human Resources: Managing recruitment, training, and employee welfare.
6. Finance: Managing budgeting, accounting, and financial planning.
7. Marketing: Promoting products and services to customers.
8. Operations: Overseeing the production of goods and services.
9. Sales: Selling products or services to customers.

Stakeholders' Role in Businesses

10. Owners/Shareholders: Provide capital and expect returns.
11. Employees: Offer labor and expect compensation and good working conditions.
12. Customers: Purchase products/services and expect quality and value.
13. Suppliers: Provide materials and expect timely payments.
14. Government: Regulate business activities and expect compliance with laws.
15. Community: Affected by business activities and expect corporate social responsibility.

Entrepreneurship
16. Definition: The process of starting and running a new business.
17. Characteristics: Innovation, risk-taking, and proactiveness.
18. Importance: Creates jobs, drives innovation, and contributes to economic growth.

Ethical and Legal Issues in Business

19. Ethics: Principles that govern behavior in business (e.g., fairness, transparency).
20. Legal Issues: Compliance with laws and regulations (e.g., labor laws, consumer
protection).

Leadership
21. Definition: The ability to influence and guide individuals or teams.
22. Styles: Autocratic, democratic, and laissez-faire.
Teamwork
23. Definition: Collaborative effort of a group to achieve a common goal.
24. Importance: Enhances creativity, productivity, and problem-solving.

Marketing
25. Market vs. Marketing:
• Market: A place or group of potential customers.
• Marketing: Activities to promote and sell products/services.
26. Sales Promotions: Short-term incentives to encourage purchases.
27. Packaging: Designing and producing the container or wrapper for a product.
28. Market Research: Gathering information about consumers’ needs and preferences.
29. Consumer Behavior: Study of how individuals make decisions to spend their resources.
30. Advertising: Communication to inform or persuade potential customers.

Production
31. Factors of Production: Land, labor, capital, and entrepreneurship.
32. Linkage Industries: Industries that are interdependent (forward and backward linkages).
33. Types and Levels of Production: Primary (raw materials), secondary (manufacturing),
tertiary (services).
34. Production and Productivity:
• Production: The process of creating goods/services.
• Productivity: Efficiency in production.
35. Cottage Industries: Small-scale, home-based businesses.

Consumer Organizations
36. Definition: Groups that advocate for the rights and interests of consumers.
37. Functions: Provide information, handle complaints, and lobby for consumer rights.

Customer Service
38. Definition: Assistance provided by a business to those who buy or use its
products/services.
39. Importance: Enhances customer satisfaction and loyalty.

Consumer Behavior
40. Definition: The study of how individuals make decisions about spending.
41. Factors: Cultural, social, personal, and psychological.
Saving and Investing
42. Saving: Setting aside money for future use.
43. Investing: Using money to earn returns over time.

Capital for Businesses

44. Definition: Financial assets needed for business operations.
45. Types: Equity capital, debt capital.

Logistics and Supply Chain

46. Logistics: The management of the flow of goods from origin to consumption.
47. Supply Chain: The network of organizations involved in producing and delivering
products.

Foreign Direct Investment (FDI)

48. Definition: Investment from a foreign entity into a business in another country.
49. Importance: Brings capital, technology, and management expertise.

GDP/GNP
50. GDP (Gross Domestic Product): The total value of goods and services produced within a
country.
51. GNP (Gross National Product): GDP plus net income from abroad.

Standard of Living
52. Definition: The level of wealth, comfort, and material goods available to a person or
community.

Quality of Life
53. Definition: The general well-being of individuals and societies, encompassing material
and non-material aspects.

Economic Growth
54. Definition: An increase in the production of goods and services over a period.
Economic Development
55. Definition: Improvement in living standards, reduction in poverty, and enhancement of
economic health.

IT and Business

Information and Communication Technology (ICT) in Business

ICT refers to technologies that provide access to information through telecommunications. It
includes the internet, wireless networks, cell phones, and other communication mediums. In
business, ICT is used to enhance communication, data management, and operational efficiency.

Managing Tools
56. Project Management Tools: Software like Trello, Asana, and Microsoft Project helps in
planning, organizing, and managing resources to achieve project goals.
57. Collaboration Tools: Platforms like Slack, Microsoft Teams, and Zoom facilitate
communication and collaboration among team members, regardless of location.

Accounting Tools
58. Accounting Software: Tools like QuickBooks, Sage, and Xero automate accounting tasks,
including bookkeeping, invoicing, payroll, and financial reporting.
59. Enterprise Resource Planning (ERP): Systems like SAP and Oracle integrate various
business processes, including finance, HR, and supply chain management.

Production Tools
60. Manufacturing Execution Systems (MES): Software like Siemens SIMATIC IT and GE
Digital's Proficy MES optimize production processes and improve efficiency.
61. Computer-Aided Design (CAD): Tools like AutoCAD and SolidWorks help in designing
and engineering products.

Marketing Tools
62. Customer Relationship Management (CRM): Software like Salesforce and HubSpot
helps businesses manage customer interactions, track sales, and automate marketing
campaigns.
63. Social Media Management: Tools like Hootsuite and Buffer allow businesses to
schedule posts, manage multiple social media accounts, and analyze performance.
E-commerce vs. E-business
• E-commerce: Refers specifically to the buying and selling of goods and services over the
internet. Examples include online retail stores like Amazon and eBay.
• E-business: Encompasses all aspects of running a business online, including supply chain
management, electronic order processing, customer relationship management, and
more. It includes e-commerce but is broader in scope.

Security
64. Cybersecurity Measures: Protecting business data and systems from cyber threats using
firewalls, encryption, anti-virus software, and secure passwords.
65. Data Protection: Ensuring that customer and business data is stored securely and
complies with regulations like GDPR.

Benefits of ICT in Business

66. Increased Efficiency: Automation of routine tasks saves time and reduces errors.
67. Enhanced Communication: Improves internal and external communication through
emails, video conferencing, and instant messaging.
68. Better Decision-Making: Access to real-time data and analytics aids in making informed
decisions.

Human Impact
69. Job Creation: New roles in IT support, cybersecurity, data analysis, and digital
marketing.
70. Skill Development: Employees need to develop new skills to work with advanced
technologies.
71. Work-Life Balance: Flexible work arrangements made possible by ICT tools can improve
work-life balance.

Contracts
72. Definition: Legally binding agreements between two or more parties.
73. Elements: Offer, acceptance, intention to create legal relations, and consideration.