Business Administration What is Business Administration? It is a common degree among college students. It is the study of how a business is managed. There are many branches that are related to the study of business administration such as: Accounting Statistics Marketing Financial Mathematics Other branches related to Business Economics Human Resources Costs Control of inventories Payrolls Financial services Investments It is a wide field that incorporates many types of management positions. Major corporations need skilled administrators in order to succeed. How is it applied? Business administration is applied at every level of any company. Find out how to be more productive everyday as administrator. Some obligations of a business administrators are: Establish and carry out department or organizational goals. Direct and oversee (supervise) an organization´s financial and budget activities. Manage general activities related to making products and providing services. Innovate by applying new technologies in the workplace. Negotiate or approve contracts and agreements. Appoint department heads and managers. Analyze financial statements, sales reports and other performance indicators. Identify places to cut costs and to improve performance, policies and programs. Economics It is a social science concerned with the production, distribution, and consumption of goods and services. It studies how individuals, businesses, governments, and nations make choices about how to allocate resources. It is generally microeconomics. broken down into macroeconomics and Accounting It is the process of recording financial transactions. The accounting process includes summarizing, analyzing, and reporting these transactions . Regulate tax collection entities and prepare financial statement to future make decisions. Marketing Marketing is the activity, and processes for creating, communicating, delivering, and exchanging offerings for clients, partners, and society . It is very common to use a brand which is a name, term, symbol or any other feature that identifies one seller’s good or service. Human Resources Human resources is used to describe both the people who work for a company or organization and the department responsible for managing resources related to employees. The term human resources was first coined in the 1960s with the main purpose of gathering attention for motivation, and organizational behavior. Costs The amount or equivalent paid or charged for something. Expenses incurred in a process. The price of a production Useful terms: Cost Expenses Selling price Revenues Incomes Sales Markup Profits Losses Budget Merchandise Partners Stockholders Inventories Organizational chart Brand Logo Canvas method Types of companies Companies are to be classified on the basis of liabilities, members and control. the most common companies are: Limited by shares Limited by guarantee Unlimited companies One person company (OPC) Private companies Public companies (government companies) Financial companies Subsidiary Associate companies Types of Goods 1. Material and Non-material goods Material goods ( tangible goods) All of them can be seen, touched, and transferred from one place to another. e.g. cars, shoes, clothes, machines, buildings, and so on. Non-material goods ( intangible goods) They do not posses any shape or weight and cannot be seen, touched or transferred e.g. Services of doctors, engineers, actors, lawyers, teachers, and so on. 2. Intermediate Goods Goods sold by one firm to another for resale or for further production. They are transformed to manufacture final goods. For example cotton, minerals, oil, and so on. 3. Final Goods Goods for personal consumption or for investment are called final goods. A particular good or service transferred to a final client , they could be: New goods Substitutes goods Complementary goods Class activity:
