Foreign Educator Teaching System

Category: Business Studies

  • Disadvantages of division of labor

    There is a chance that productivity might decrease because when a person keeps on doing the same thing the person gets bored and ultimately the production decreases.

  • Advantages of division of labor

    Advantages of division of labor are that a person performs the task in which he is best at doing and the productivity can increase.

  • What is division of labor?

    Division of labor is when the production process is divided into smaller tasks and each person performs the task which he or she can do in the best way.

  • What is specialization?

    Specialization is the process in which a complete task is divided into smaller tasks by which everyone does the task in which he or she is the best. By doing the stuff in which a person is best he or she is able to achieve extraordinary results.

  • Opportunity cost

    Opportunity cost is the next best alternative forgone. For example you have the choice of buying a shirt or bat and you choose the buy the bat then the opportunity cost of buying the bat would shirt. We are never going to put the opportunity cost in monetary term which means that we cannot use…

  • Enterprise

    Enterprise is the risk taking ability of a person. Enterprise involves the combining of all the other 3 factors of production and then taking the risk of producing the products.

  • Capital

    Capital is the man made resources which are used to make a product. Machine is in capital because machine is made by human effort.

  • Labor

    Labor constitutes of all the mental and physical effort done by a person. If you are making a shop you will have to employ people so that they could work over there.

  • Land

    Land constitutes of all the resources which are on the land or in the land which might facilitate the production process. If you want to make a dollar shop you will have to buy a piece of land.

  • Factors of production

    Factors of production are the resources which are used to produce other products. You will have to use different things in order to make a product. Every product in this world will be made by the use or factors of production.