Intro to Business 101 Welcome
Intro to Business • I’m Paul Brennan • Responsible Learner • Class Goals • Terms • Functions of a business • Create your own business • Get a “taste” for business
Syllabus • INTRODUCTION TO BUSINESS • BA 101 • Spring 2006 • _________________________________________________________________________________ • Instructor: Paul Brennan, MBA Office: M/W 8 - 10 • Office: N/a Telephone: N/A • Class Location: SBA 490 E-mail: PaulB@sba.pdx.edu • ACCESSIBILITY STATEMENT: I can most easily be contacted before or after class. I purposefully give breaks so you can speak with me one on one during class time if needed. I also respond to email on a regular basis. • CATALOG DESCRIPTION: • Introduction to the business firm operating in the local, national, and global marketplace. Emphasizes the integration of the various functional areas of business as the firm evolves from its entrepreneurial origins to a mature corporation.
Syllabus • LEARNING OBJECTIVES: • The creation and organization of a business; • Basic vocabulary and understanding of each functional area within a business • (marketing, finance, accounting, production, distribution, and human resources); • The relationship among these functional areas; • Team building and small group development; and • The global dimensions of business. • REQUIRED READING :Introduction to Business by Jeff Madura 3rd Edition • (South Western College Publishing, 2003)
Syllabus • Class will start and end promptly at the scheduled times. Class participants are responsible for all material covered in the book and discussed or presented in class either through lecture, video, activities or guest speakers. Lectures will cover concepts presented in the book and applications discussed in class. • Class participants are expected to maintain a high level of academic honesty and interaction. Cheating or plagiarism will be dealt with severely. ACADEMIC HONESTY IS A REQUIREMENT FOR PASSING THIS COURSE.
Syllabus • COURSE REQUIREMENTS : • QUIZZES: A five point daily quiz will be given. The quiz will cover each assigned chapter for class on that day. There will be NO MAKE UP QUIZZES • EXTRA CREDIT: Extra credit is intended to “smooth the bumps in the road of life”. You may have group problems, attendance issues, or test anxiety. I would highly recommend taking advantage of the EC opportunity. You can earn an additional five points extra credit for attending a SBA student organization meeting (www.sba..pdx.edu/resources/organizations/). You can also earn an extra five points for having PERFECT CLASS ATTENDANCE….. Perfect (not late, no absences …regardless of “excused –edness”) attendance. I will also offer papers which can be written for 5 points extra credit, ask me.
Syllabus • EXAMS: Three exams will each cover 1/3 of the course material (required reading, lecture material, activities, videos, speakers and handouts). Each test will be multiple choice and worth up to 50 points (NON COMPREHENSIVE). • TEAM BUSINESS PLAN : Each student will be assigned to teams of approximately six people. Each group will be responsible for preparation of a business plan (outlined on “Business Plan Project” handout). The plan will be graded in total (100 points) and in rough draft sections (10 points) approximately every two weeks. The business plan will integrate the chapters covered in our text and is designed to give students a “hands on” experience with business development.
Syllabus • TEAM PRESENTATION: Group will present a brief overview of their plan – (5-7 minute) investor PITCH to the class (10 points). The class will determine whether or not to “fund “ the business (10 points). Presentations will be our “final exam”. • TEAM PARTICIPATION : During each class session teams will meet to discuss their business plan, cases, and discussion activities. Team members will submit evaluations with each draft and with the completed business plan. These evaluations will be averaged for a total of up to 40 points.
Syllabus • GRADING : • Quizzes 65 PTS. • Rough Drafts (10 Pts Each) 30 PTS • Business Plan (Final Draft) 100 PTS • Group Evals 40 PTS • Exams (50 Pts Each) 150 PTS • Presentation 20 PTS • TOTAL POSSIBLE POINTS: 405 PTS
Syllabus • Grading will be based on straight percentage of points (90% A, 80% B, 70% C, 60% D and F for below), +’s and -‘s also will be reflective of point percentage (87%+= B+, 83%+=B, 80%+=B- etc.). If you choose to discontinue attending class, you must formally drop or (as per University policy) you will receive the grade reflected by your point total. • Thanks for taking the class, please ask me for further information as needed. • I am looking forward to spending the term learning with you!
Today - Learning Goals • Define a business • Identify key business stakeholders. • Describe key business functions. • Explain how to develop a business plan.
A business is an enterprise that provides products or services desired by customers. Business Defined
Key Business Decisions • Product • What type of product should be produced? • Production • How should the product be produced? • Promotion • How should the product be promoted? • Financing • How should the company obtain funds to finance the cost of producing the product?
Key Stakeholders • Owners • Entrepreneurs • Co-owners • Stockholders • Creditors • Employees • Managers • Suppliers • Customers
Creating a Business Idea • Identify a competitive advantage. • Differentiate the product or service from competitors. • Determine necessary resources. • Assess feasibility of the idea.
Success Stories • Domino’s Pizza • Managhans bought bankrupt pizza parlor • Started with little funding • Now generates sales of $1 billion per year • Jeremy’s Micro Batch Ice Cream • Applied microbrewery concept to ice cream • Makes ice cream in small batches, sold in limited editions • Glow Dog, Inc. • Sells light-reflective clothing for pets • After two years, average annual sales of $1 million
Lessons to Remember • Successful businesses do not require a great invention. • Many focus on making life more convenient for customers. • Some business ideas will fail—but entrepreneurs can learn from failures and make revisions.
Key Functions of Business • Management • Means by which employees and other resources are used by the firm • Marketing • Means by which products and services are developed, priced, distributed, and promoted to customers • Finance • Means by which firms obtain and use funds for their business operations
Key Functions of Business • Accounting • Summary and analysis of the firm’s financial condition • Used to make various business decisions • Information systems • Information technology, people, and procedures that provide appropriate information to make effective decisions
How Business Decisions Affect a Firm’s Earnings Exhibit 1.4
Developing a Business Plan • Assess the Business Environment • Economic environment • Industry environment • Global environment • Develop Management Plan • Organizational Structure • Production • Human Resources
Developing a Business Plan • Marketing Plan • Target Market • Product Characteristics • Pricing • Distribution • Promotion • Financial Plan • Financing • Feasibility
Online Resources • Advice and basic information • Yahoo’s Small Business site • American Express • Small Business Administration • Financing Options • Quicken Small Business • Garage.com • The Elevator • Business Planning Software
Assessing a Business Plan • Potential revenue • Potential demand for product or service • Potential expenses • Profit potential
Assignment • Read Chapters 1 and 2 • Complete the In-Text Study Guide for both chapters