Business is the main component of our economy. Business is in every corner of every type of market. Most everything you can possibility think of that relates to the economy is business. Health care, retail services, restaurants, farming, super markets all involves business.
For example, there are different types of farming that takes place. One farmer may have a chicken farm and another has a farm with cows. The two farmers may make a trade for eggs and the other for milk. This would be a way that farmers would barter with each other for materials and food back in the day.
Without business today, we would not be able to take care of our families. We would have to struggle to find ...view middle of the document...
If taxes were increased, consumers would have less income and in turn less to spend on goods and services. This difference in income would go to the government instead of the consumers, and it would pass onto companies. Or, the government could choose to increase government spending by purchasing goods and services from private companies. This would increase the flow of money through the economy and would increase the income available to consumers.
The second way to impact the economy is through monetary policy. Monetary policy is instigated by the central bank or the Federal Reserve to control the supply of money within the economy. The Federal Reserve can affect the amount of money that is spent by consumers and businesses.
The main role of financial management is finances. Financial Management manages where the finances are coming from, how much they cost, where they are going to be invested and what profit should they bring. Companies try to lower the risk of their existence by investing in other fields of interest, this way they still have some income coming from dividends and capital gains in their stock investments.
Human Resource Management is the function in an organization that focuses on recruitment, management, and providing direction for the people who work in the organization. This function deals with issues related to people such as compensation, hiring, performance, safety, benefits and training.
Information Management is needed to manage an...