Basically, business is the creation of wealth though the supply of goods and services. If u go to a big city and walk along the main streets you will see many different for sale.
You might walk past a bank, then a hairdressing salon, then a dentist, a cafe, a department store, a cinema, a taxi rank........and so on down the street. These entire places are trying to sell you something and we can separate the things. They sell into goods and services.
Goods are things like shirts motor cars or furniture. They are things you can see and touch and they are usually made in factories or workshops.
Services are different you can't touch them because they are things that are done for you like hair cuts, laundry or a taxi ride. But you still have to pay for them.
So as you go down the street and buy of goods and services offered to you how does the create wealth? You may think it has an opposite effects, because you now have less money in your pocket than before you make the purchases. But by purchasing the goods and services offer to you, you are helping to create wealth .You are helping to businesses that supplied your goods and services to make a profit.
You might walk past a bank, then a hairdressing salon, then a dentist, a cafe, a department store, a cinema, a taxi rank........and so on down the street. These entire places are trying to sell you something and we can separate the things. They sell into goods and services.
Goods are things like shirts motor cars or furniture. They are things you can see and touch and they are usually made in factories or workshops.
Services are different you can't touch them because they are things that are done for you like hair cuts, laundry or a taxi ride. But you still have to pay for them.
So as you go down the street and buy of goods and services offered to you how does the create wealth? You may think it has an opposite effects, because you now have less money in your pocket than before you make the purchases. But by purchasing the goods and services offer to you, you are helping to create wealth .You are helping to businesses that supplied your goods and services to make a profit.