Page 712 - Business Principles and Management

Glossary

direct deposit Electronic transfer of a economic growth Occurs when a enhanced product A product that offers
paycheck directly from the employer’s country’s output exceeds its popula- different features and options for the
bank account into the employee’s bank tion growth. consumer.
account. economic system An organized way for entrepreneur A person who starts,
direct distribution When producers sell a country to decide how to use its pro- manages, and owns a business.
directly to the ultimate consumer. ductive resources; that is, to decide entry-level occupations Occupations
disability insurance Insurance which what, how, and for whom goods and which usually involve routine activities
offers payments to employees who are services will be produced. and require little training.
no longer able to work because of economic utility The amount of satis- equity capital (owner capital) Money
accidents or illnesses. faction received from using a product invested in the business by its owner
discharge The release of an employee or service. or owners.
from the company due to inappropriate economic wants The desire for scarce ergonomics The science of adapting
work behavior. material goods and services. equipment to the work and health
discounts Reductions taken from the effectiveness Making the right decisions needs of people.
price of the product to encourage about what products or services to offer ethics The code of moral conduct that
customers to buy. customers and the best ways to produce sets standards for what is valued as
distortion The conscious or uncon- and deliver them. right or wrong behavior for a person
scious way people change messages. efficiency Producing products and ser- or group.
distraction Anything that interferes with vices quickly, at low cost, without wast- euro The currency of the European
the sender’s creating and delivering a ing time and materials. Union.
message and the receiver’s getting and electronic funds transfer (EFT) Trans- European Union (EU) A trading bloc
interpreting a message. ferring money by computer rather than consisting of 15 European countries.
distribution (place) The set of activities by check. exchange rate The value of one country’s
required to transport and store products electronic shopping carts Specialized currency expressed in the currency of
and make them available to customers. programs that keep track of shoppers’ another.
distribution center A large building selections as they shop, provide an excise tax A sales tax that applies only
designed to accumulate and redistribute order form for them to complete, and to selected goods and services, such as
products efficiently. submit the form to the company gasoline.
dividends Profits distributed to stock- through the Internet. executive A top-level manager who
holders on a per-share basis. embargo A process in which the govern- spends almost all of his or her time
domain name A Web site owner’s ment bars companies from doing busi- on management functions.
unique Internet address. ness with particular countries. executive/entrepreneur occupations
domestic goods Products made by firms emoticons Facial expressions created Occupations in which the employees
in the United States. with keyboard symbols and used to are fully responsible for the success or
express feelings in e-mail messages.
dot-com business A company that does failure of the company.
almost all of its business activities empathy SERVQUAL dimension; the executive information system (EIS)
through the Internet. caring and individualized attention the Information system that combines and
business provides its customers.
downsize To cut back on the goods and summarizes ongoing transactions within
services provided and thereby shrink employee assistance programs Employer the company to provide top-level execu-
the size of a firm and the number of programs that provide confidential per- tives with information needed to make
employees. sonal problem-solving, counseling, and decisions about company goals and
support services for employees. direction.
dumping The practice of selling goods
in a foreign market at a price that is employee benefits All forms of com- exit interview A formal interview with
below cost or below what the business pensation and services the company an employee who is leaving a company
charges in its own home country. provides to employees in addition to to determine the person’s attitudes and
salaries and wages. feelings about the company’s policies
E employee turnover The rate at which and procedures, management, and
operations.
people enter and leave employment in
e-commerce Doing business online. a business during a year. expert power Power given to people who
economics The body of knowledge empowerment Letting workers decide are considered the most knowledgeable.
that relates to producing and using how to perform their work tasks and exporting When a company sells its
goods and services that satisfy human offer ideas on how to improve the work goods and services to a foreign country.
wants. process. extended product A product that
economic discrepancies Differences endorsement The signature—usually includes additional features that
between the offerings of a business on the back—that transfers a negotiable are not part of the physical product
and the requirements of a consumer. instrument. but increase its usability.

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