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1.NOtiONANDtHEFUNCtiONSOFFiNANCES
ECONOMiCS
Economicsisascienceofeconomicrulesgoverningthemanagementprocess
MANAGEMENt:
•division
•exchangeandconsumptionofmeansofprovidingforhumanneeds
•production–isnotpossiblewithoutproductionfactors:
–labour–performingactivitiesinordertodelivernewgoodsorservicesforwhichwe
receiveourremuneration
–land–naturalresources
–capital–machines,tools,equipment,money
–entrepreneurship
ENtREPRENEURSHiP:
•setoffeaturesandbehaviours,i.e.certainabilitiesandattitudetowardslife
•inthetheoryofeconomics,entrepreneurshipiseithersomeformoflabourorthefourth
(followinglabour,landandcapital)productionfactor;
•mainfeaturesofentrepreneurshipinclude:
–abilitytodiscernneedsandimproveideas
–readinesstoundertakerisks.
Entrepreneurship–isnotanobjectiveitselfbutameansduetowhichitispossibleforaper-
sontoaccomplishherorhiscertainindividualobjectivesaswellascommonobjectivesofthe
society
tObEENtERPRiSiNG–itMEANStObE:
•innovative
•active
•resourceful
Entrepreneur–companyowner
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