2.05 Key Terms - Business Essentials

A market structure in which there are relativley few sellers, and industry leaders usually determine prices

risk-response strategy that involves moving the impact of a risk to someone or something else

a type of rivarly between or among buisnesses that involves factors other than price

the possibility of loss or failure that occurs as a result of the economy

all of the expenses involved in running a buisness

The possibility of loss (failure) or gain (success) inherent in conducting business

Rivalry between or among businesses that offer dissimilar goods or services

A market structure in which many businesses selling a lot of identical products for about the same price to many buyers

the amount of money a business pays for the products it sells or for the raw materials from which it produces goods

Chances of loss that carry with them the possibility of loss or no loss

a risk-response strategy that involves trying to reduce the chance of loss or severity of loss.

the possibility of loss or failure from nature

Money left after the cost-of-goods expense is subtracted from total income

chances of loss that may result in loss, no change, or gain.

money left after the cost-of-goods expense and the operating expense are each subtracted from the total income

The money received by resource owners and by producers for supplying goods and services to customers.

a type of rivalry between or among businesses that focuses on the use of price to attract customer dollars

Monopolies that the government allows to exist legally under controlled conditions

Monetary reward a business owner receives for taking the risk involved in investing in a business

A risk-response strategy that involves assuming responsibility for the risk rather than transferring it

the possibilty of loss or failure from HUMAN failure

the type of market, or environment, in which businesses operate

A type of market structure in which a market is controlled by one supplier

A risk-response strategy that involves choosing not to do something that is considered risky

The rivalry between two or more businesses to attract scarce customer dollars.

the desire to make a profit, which moves people to invest in business

The money that a business spends.

Rivalry between or among businesses that offer similar types of goods or services

all of the expenses involved in running a business