AQA GCSE Business

## What a business is for A **business** is an organisation that produces goods or supplies services to meet customers' needs, and it does so in return for money. People start businesses for a mix of reasons, and the same person often has several at once. - To produce goods, such as furniture or bicycles, or to supply a service, such as hairdressing or accountancy. - To distribute products made by others, as a shop or an online retailer does. - To fulfil an opportunity that has been spotted, for example a town with no bakery or a product that customers say they cannot find. - To provide a good or service that benefits other people, which is the main reason behind many charities and community businesses. Businesses exist because the people in an economy have more wants than there is money or resources to satisfy them. ## Goods and services, needs and wants A **good** is a physical product that can be touched and stored, such as a phone or a loaf of bread. A **service** is something done for a customer that cannot be stored, such as a haircut, a bus ride or a repair. Many businesses sell both: a restaurant supplies food (a good) and a meal served at the table (a service). A **need** is something a person must have to live, such as food, water, shelter and clothing. A **want** is something a person would like but could live without, such as a games console or designer trainers. Businesses make their money mostly by selling wants, because people will pay for more things than…