Commerce glossary

• Commerce


  An active system of buying and selling.
• Commerce can be affected by

  The economy, The law, Buisness and Financial instituitions, consumer and decisions.
• Consumer


  A person who purchases goods a services to satisfy needs and wants.
• Goods

  Tangible products
• Services

  Non-Tangible Products
• Wants

  Non essential for survival, but items you like/desire
• Needs

  Essential to survival
• Durable good

  One that can be used many times
• Non-Durable good

  Cannot be reused
• To satisfy needs producers use special types of resources, The 4 types of resources are:

  Land , Labour, Capital, Enterprise
• Land


  Occurs naturally
• Labour


  Includes physical and mental effort of workers
• Capital


  Resources and goods used to produce other goods(assets of buisness)
• Enterprise

  Ability to combine other resources of land, labour and capital to earn profit.
• Limited

  Only a certain amount left.
• Scarce

  Insufficient amounts of/not enough to provide for wants and needs of consumers.
• Advertising

  Sales and marketing strategies that influence or persuade. - Promotions, Gimmicks, Discounts
• Value for Money

  People are concerned about the price of the product and if it satisfies their sense of value.
• Social Media

  Use of celebrities and influencers. -Product placement and recognition.
• Age


  People have different wants and needs at different times of their lives.
• Gender

  A person's gender might influence the types of products or services they purchase.
• Convenience and speed


  Free up time . -online shopping outsourcing to others(gardener, hello fresh)
• Culture


  Specific purchases based on cultural events and requirements.
• Customer service

  During and after sales service.
• Disposable income

  How much money you have to sped after paying for basic living costs . -linked to price and desired standard of living.
• Ethical and environmental considerations

  Impact during production, consumption and disposal. -Emissions, waste, packaging.
• What considerations do consumers have when purchasing a product?

  Production, Product, and dispoal
• Production


  Impact on climate, and global environment + Ethical behavior.
• Product


  Packaging, Transport, Price, Product representation.
• Disposal


  Of both product and packaging: waste recycling/re-use
• Income


  Money received on a regular basis from work, property, business, investment or welfare payments.
• Expenditure

  Money spent or financial outgoings(essential or discretionary)
• Budget


  A list of income and likely expenditures
• Debt

  Money owing to external sources
• Impulse buying


  Buying something without giving much thought as to weather you really need it.
• Contracts

  A legally enforceable agreement of two or more persons or entities. A contract outlines the details of the agreement and the rights and responsibilities(obligations) of each of the parties. It can be written or verbal. The most common form of contract is verbal agreement, however agreements that involve large sums of money are usually put in writing.
• What are the parts of a contract

  Offer, Acceptance, Consideration, Intention to create legal dealings, Legal Capacity, Consent, Legality
• What are the possible payment options

  Cash, Credit, Store credit, Paypal, Electronic fundstransfer: debit cards and BPAY, Direct Debit, Cheque, Lay-by, Book up, Afterpay
• What is the need for consumer protection

  To provide product safety, scam prevention, & business legitimacy.
• The Australian Consumer Law

  -Is a uniform national law