Your Daily Wealthpedia
Term of the day: Productive Systems
Word of the week:
A suitable accumulation of resources and possessions of value.
A current medium of exchange in the form of coins and banknotes. It acts as a unit of account and a store of value.
An organization or economic system where goods and services are exchanged for one another or for money with the aim of making a profit.
4. Business Nous
It is the ability to be rational using the mind, knowledge and intelligence as a principle to govern decision making in conducting business.
5. Business Model
A business model is a representation of a firm’s underlying core logic and strategic choices for making a profit or generate revenue from a product or service.
Entrepreneurship refers to the process of creating a new enterprise and bearing any of its risks, with the view of making the profit.
7. Productive Systems
This refers to all functions required to design, produce, distribute, and service a manufactured product.
8. Value Chain
This is a process where a firm identifies its primary and support activities that add value to its final product and then analyse these activities to reduce costs or increase differentiation.
9. Financial literacy
The ability to understand how money works. It is the art of investing and managing money and the ability to make sound financial decisions.
This refers to a rapid and often
uncontrollable currency devaluation causing the prices of goods and services to
sky-rocket in a short period of time.
11. Stock Market
Public markets that exist for issuing, buying and selling of stocks that trade on a stock exchange or over-the-counter.
A state or condition in which a person or community lacks the financial resources and essentials for a minimum standard of living. Poverty means that the income level from employment is so low that basic human needs can’t be met.
The financial resources that businesses can use to fund their operations like cash, machinery, equipment and other resources. These are the assets that allow the business to produce a product or service to sell to customers.
A bank is a financial institution licensed to receive deposits and make loans. Banks may also provide financial services, such as wealth management, currency exchange, and safe deposit boxes.
15. Informal Sector
The part of an economy which encompasses all jobs which are not recognised as normal income sources, where taxes are not paid.