Dynamic Nature of Business

• What is the primary purpose of many businesses?

  To meet specific needs or fill market gaps
• What do businesses sell to fulfill their purpose?

  Goods, services, or both
• What motivates an entrepreneur to start a business?

  Demand for goods or services
• What characterizes a dynamic market?

  A rapidly changing business environment
• Why is it important for a business to understand its market?

  To know how dynamic the market is
• How can the dynamics of a market vary for new businesses?

  It can differ depending on the type of business
• What must businesses do to keep up with technology and trends?

  Adapt and develop new ideas, products, and services
• What are the sources of new business ideas?

  • Changes in technology
  • Changes in consumer preferences
  • Obsolescence of products and services
  • New and original ideas
  • Adapting existing products, services, and ideas