Business

Factors of production

• Land - The natural resources as business uses such as water, forests and the land itself.
• Labour - This refers to the human resources required by a business including all the people who work for the organisation.
• Capital - The capital means the resources a business owns such as machines, tools and factories.
• Enterprise - A business will only be successful if the owner is willing to take an enterprising role. This means they will be innovative and take risks.

Sectors of industry

• Primary sector - businesses in this sector grow products or extracts resources from the ground e.g. Farming & mining.
• Secondary sector- Businesses in this sector are involved in manufacturing and construction e.g. car manufacturing and factories.
• Tertiary sector - in this sector, businesses do not produce products. Instead they provide services e.g. Bus and train services, hairdressers, banking etc.

Sectors

• ​Private Sector – organisations owned and controlled by private individuals and investors.
• ​Public Sector – organisations owned and controlled by the government.
• Third Sector – organisations set up to raise money for good causes, or to provide facilities for their members.

Private sector organisation

• The basic aim of most of these organisations is to make a profit. The most common types of private sector business organisations are:
• •​Sole Traders
• •​Partnerships
• •​Limited Companies – public and private
• •​Franchises