DECA Hospitality and Tourism Cluster - Performance Indicators (DETAILED)

Explain the nature of effective verbal communications

specific, comprehension

Write professional emails

straight to the point, professional language, intro and conclusion, notify if reply needed

Discuss considerations in selecting a financial services provider

suitable, experience

Discuss the nature of data mining

surveys

Write a follow-up letter after job interviews

thank you for interview, explain excitement

Prepare personal income tax forms

1040 EZ form

Explain the concept of productivity

the output per worker hour that is measured over a set period of time, such as a week, month or year. Higher productivity increases profits. Businesses can increase their productivity by investing in new equipment, technology or facilities, providing additional training to staff or increasing the responsibilities of workers.

Describe marketing functions and related activities

9 functions

Describe the nature of budgets

A budget is a formal, written statement of expected revenue and expenses for a future period of time. To be effective, a budget should be evaluated periodically with actual income and expenses. Revenues may include cash sales, collections on accounts receivable, and other income. Expenses include purchases, insurance, taxes, payroll, and many other things. As part of budgeting, one should follow the following steps. Set goals and prioritize them. Estimate your income. Budget for unexpected events, fixed expenses, and for variable expenses. Record what you spend. Review your spending patterns and revise your goals as needed.

Determine the impact of business cycles on business activities

A business cycle is a series of recurring changes in economic activity. Four phases make up a business cycle: expansion, recession, trough, and recovery. During expansion, the economy is flourishing. It is a good time for businesses to start up or expand due to the increased output of goods and services. Recession is a time of economic slowdown lasting at least two quarters. Companies reduce their output during a recession, and consumers have less money to spend on goods and services. A prolonged recession is called a depression. A trough is the low point in a business cycle. It marks the beginning of the transition from recession/depression to recovery when signs of economic growth are near. In the recovery phase, demand increases and businesses respond by hiring more workers and supplying more goods.

Explain the impact of political relationships within an organization

A company's culture affects the way it is organized. A formal culture may include a strict chain of command, with one person at the top making all decisions. Several levels of management, or bureaucracy, may follow. Job titles are important as indicators of power and status within a company in a business with a formal culture. Making changes and passing down decisions in such an organization can be complicated and time consuming. Other companies have an informal culture, where employees are encouraged to make their own decisions. In such a company, job titles are not as important as creativity and teamwork.

Report noncompliance with business health and safety regulations

A compliance program enables employees to feel safe on the job. An employee should feel free to ask questions, report violations to their supervisor and feel like an effective part of the organization.

Describe factors that affect the business environment

A number of factors affect the business environment, therefore it is important to research the industry and understand the surrounding economy. Industry trends and patterns of change in areas such as sales growth and government regulation should be considered. Understanding the competition will help you plan a strategy of success. Barriers to entry in an industry may exist, such as a dominant competitor, economies of scale, and customer brand loyalty. Other industry factors include threats from substitute products, supply sources, and technology. A critical area to analyze is the demographics of your business environment, including number of companies, annual revenues, and average number of workers employed. Assessing the competition includes looking at market share and analyzing the position of your company relative to others in the marketplace.

Explain the nature and scope of purchasing

A person who purchases goods for business purposes is called an organizational buyer. The types of purchasing situations include: new task purchase, in which a purchase is made for the first time; modified rebuy, where the buyer has had experience buying the good or service but some aspect of the purchase has changed; and straight rebuy, when a buyer routinely orders the goods or services from the same vendor(s) as in the past. Suppliers should be selected using the following criteria: production capabilities, past experiences, special buying arrangements, and special services. Purchasing also involves the skill of negotiation. Items to be negotiated include prices, dating terms, delivery arrangements, and discounts.

Explain the nature of positive customer relations

A positive customer relations mindset means believing that your customers: deserve the very best, are your employers, deserve your focused attention, have the right to expect things of me, and have important problems and complaints. Positive customer relations yield benefits to the business, the employees, and the customer. Businesses benefit by being more competitive, obtaining repeat business, and greater profits. Employees may receive customer compliments and perhaps a raise or promotion for good customer service skills. Customers benefit by having a more pleasant, satisfactory buying experience. This creates an atmosphere of goodwill. Positive customer relations need to be demonstrated when speaking to customers in person, over the phone, or online. It should also be evident while handling complaints, inquiries, and requests. Demonstrate good customer relations by doing the following: considering and attempting to meet their needs, concentrating on them without distractions, following up with them, following through on what you say you are going to do, and being efficient in handling issues.

Recognize personal biases and stereotypes

A stereotype is an oversimplified distorted belief about a person or a group. It is important to recognize personal biases or stereotypes so that we may correct them. When you learn about others you become more tolerant and understanding.

Identify the basic torts relating to business enterprises

A tort is a private or civil wrong against an individual or organization. There are three basic torts. An intentional tort is one for which the defendant intended either the injury or the act. The second and most common type of tort is negligence. Intent is not required for this tort, only carelessness. Strict liability is the third type of tort. This is liability that exists even though the defendant was not negligent. In strict liability, proof of both the activity and the injury substitutes for proof of violation of duty.

Place orders/re-orders

things you need to make profit, order when low

Explain the time value of money

time impacts value of money, inflation, deflation, investing money

Explain the selling process

trade money for product

Analyze company resources to ascertain policies and procedures

training programs

Explain the types of promotion

tv, radio, posters

Demonstrate active listening skills

Active listening is where a person recognizes and evaluates what is being heard. Active listening involves the following skills. Identify the purpose—review the purpose of the communication and prepare to respond. Look for a plan—be aware of the structure of the communication to make it easier to see how it all fits together. Give feedback—these verbal and non-verbal cues indicate whether or not you understand the message. Ask questions at an appropriate time. Search for a common interest—try to find something that interests you in order to avoid tuning out the speaker. Evaluate the message—do so from the speaker's point of view as well as your own, and try to limit bias and personal judgment. Listen for more than verbal content—assess what is being communicated non-verbally through rate of speech, pitch, volume, and voice quality. Listen for a conclusion—at this time you may wish to take action or ask questions. Take notes—structure your notes around the plan and check them to see you have understood the main ideas.

Explain procedures for handling accidents

Always survey an accident scene before you do anything. Do not make any assumptions. Figure out what has already happened, and determine what may happen next. If someone is injured, administer first aid and get help if needed. Do not move a victim who may have a back or neck injury. Clear the victim's airway and check to see if he/she is breathing. Check for a pulse or severe bleeding. In the event of a fire, leave the building immediately using the stairs or a window. If you cannot leave, stay close to the floor to avoid smoke. Before opening a door, put your hand on it to feel if it is hot. If your clothes catch fire, stop, drop to the floor, and roll to put the fire out. Do not try to put out the flames yourself. During an earthquake, stay inside and move to a doorway or under a table. If you are outside, stand out in the open away from things that may fall. If a tornado threatens, go indoors and stay away from windows. Cover yourself with a mattress or blanket. If you are outside and cannot get inside, dive into a ditch or other low ground area and stay down.

Describe legal issues affecting businesses

Among the legal issues affecting businesses are the following. Consumer protection issues include product safety (for everything from toys to furniture), zoning laws to protect real estate value and quality of life, public health (i.e. at restaurants), and licensing for personal service providers (such as hairstylists and electricians). Employee protection issues include minimum wage standards, equal opportunity employment provisions, guidelines for workplace safety, and the Family and Medical Leave Act. Other legal issues businesses must be aware of include laws protecting investors and the environment as well as maintaining competition in the marketplace. The Securities and Exchange Commission regulates the sale of stocks and bonds and investigates deals among corporations. Businesses must follow various other laws to protect human health and the environment in regard to pollution, waste disposal, and recycling. Companies are also faced with legal standards that protect against anti-competitive mergers and business practices. Laws also exist that regulate the distribution of products such as alcohol and tobacco.

Explain the types of economic systems

An economic system, or economy, is the way a nation provides for the needs and wants of its people. It defines how a country will use its resources to produce and distribute goods and services. Four types of economic systems exist: traditional, market, command, and mixed. A traditional economy determines the use of its resources based on the cultural or religious traditions that have been used for generations. Mostly small, developing nations use this type of economy today. In a market economy, there is no government involvement in the decision making process regarding economic resources. The marketplace determines what, how, and for whom goods will be produced. A command economy is a system in which a nation's government makes all of these economic decisions. The government also controls the factors of production in this system. No country, however, is a purely traditional, market, or command economy. There are always influences that make it somewhat mixed.

Conduct an environmental scan to obtain business information

An environmental scan is an analysis of outside influences that may have an impact on an organization. It is a methodical look at the world that includes political, economic, socio-cultural, and technological areas. It is important to understand how each of these areas may be changing in order to determine the potential for opportunity or threat to a business. Political factors include the stability of a government and its laws and regulations that affect business. Economic factors include infrastructure, quality and cost of labor, employee wages and benefits, taxes, the standard of living, and possibly foreign exchange rates. In international business, socio-cultural factors include understanding another country's language, values, traditions, and social/business etiquette. Keeping up to date with technology and using it properly are other factors of an environmental scan.

Explain the role of ethics in human resources management

An ethics policy for employees may discuss working hours, wages and benefits. incentives, flexibility, safety and health issues, and termination procedures. Ethical operations will maintain fairness and safety for all employees and customers, be open and up-front about their policies, and handle problems promptly and equitably. Train your employees in safety and emergency procedures, then reinforce the training with signage in the workspace. Ethical behavior must be maintained in employee evaluation, as well as when giving consideration for promotions, transfers, and bonuses.

Write executive summaries

An executive summary may also be called an abstract or a synopsis. Its purpose is to summarize the key points of a report to the reader. An executive summary is often used with the report is long and/or technical so that busy readers can get the main points quickly without having to read the entire report. The format of an executive summary should match the main report. If the report is written in direct order, write the executive summary in direct order. An executive summary is typically a one-page document. The formatting may not match exactly the report that follows. Line spacing and headings may be different between the two, and it is usually not numbered in sequence with the body of the report.

Describe the nature of income statements

An income statement is a summary of a business' income and expenses during a specific period of time. Often called a profit and loss statement, it is used to calculate revenue, costs and expenses, and profit/loss. Income statements have several major parts: total sales, net sales, cost of goods sold, gross profit, operating expenses, other income/expenses, net profit/loss before taxes, and net profit/loss after taxes. Some of these figures must be estimated or projected, such as total sales and business expenses.

Explain the role of information systems

An information system is a set of procedures and methods that generate, store, analyze, and distribute information for use in making business decisions. Such systems organize, collect, and store data for current use or future decisions. Most information systems rely on data about current customers, sales reports, and inventory levels. Businesses use this information to make decisions about advertising, product planning, and pricing. Information can be secured through the use of primary data, including company records or government data, or secondary data, such as customer surveys.

Describe the concept of insurance

An insurance policy is a contract between a business or individual and an insurance company to cover risks. Business risks include economic risks, natural risks, and human risks. Insurance companies estimate the probability of loss due to risk and determine a rate to charge for the policy, called a premium. Property insurance is one common type of insurance, which covers loss or damage to buildings and equipment. Property insurance can be purchased to cover full replacement cost, automatic increase protection, and business interruption. Liability insurance is a form of insurance that protects against damages for which a business or individual may be liable, including injury or property damage to others.

Describe current business trends

Assessing current business trends is important to both business and professional growth. Business owners and entrepreneurs should keep up-to-date through a variety of means. Classes are offered at vocational/technical schools, two- and four-year colleges, and online. Joining a professional association or club is an excellent way to stay current with trends and knowledge relevant to an industry. Another way to stay up-to-date is by reading journals, professional trade publications, news sources, websites, and blogs. Attend professional conferences, meetings, seminars, and speakers. These activities also provide the opportunity for networking, wherein you can learn from colleagues by sharing insight and experience.

Employ communication styles appropriate to target audience

vocab difficulty, creative language

Maintain inventory of supplies

watch for theft, make sure you have right amount, nothing missing

Determine factors affecting business risk

weather, theft, etc.

Determine personal vision

what do you want to achieve and be like personally

Identify company's brand promise

what the customer expects from the business, business known for it, reputation

Set personal goals

what you want to achieve

Explain the concept of supply chain

who supplies your company with it's resources, if one breaks, fall apart

Explain career opportunities in entrepreneurship

working for an entrepreneur

Develop an achievement orientation

working towards goal

Write a letter of application

write interests, skills, hobbies, etc.

Handle telephone calls in a businesslike manner

Because in a phone conversation your listener cannot see you, a pleasant voice is very important, whether answering or initiating a call. You should enunciate clearly and speak directly into the mouthpiece, speaking loudly enough to be heard but do not shout. It is important to make sure all of the necessary information is conveyed between you and the other party, so you may wish to write down key points before or during the call. Listen actively, and do not interrupt the speaker. When answering, be prepared to take a message. A proper message includes the date and time of the call, the caller's name and message, a return phone number. It is courteous to repeat the name and phone number of the caller to ensure it is correct.

Describe health and safety regulations in business

Businesses must adhere to health and safety regulations established by the U.S. Department of Labor. Workplace safety regulations are enforced by the Occupational Safety and Health Administration (OSHA) through inspections and fines. Employers must maintain health and safety records and provide safety training. They must stay up-to-date on OSHA standards and resolve violations promptly.

Explain the role of ethics in marketing information management

Businesses that maintain databases of personal customer information have a responsibility to keep that information private. Many companies that collect information about their customers often sell that information to others. This exchange of customers' personal information among businesses has led to invasion of privacy complaints. Many businesses now also offer clients the choice of being added to mailing lists. Confidentiality must be maintained with regard to employees' and clients' personal information. Accountants must refrain from misrepresenting the facts to achieve short-term goals that are contrary to a business' longterm objectives.

Identify skills needed to enhance career progression

Career progression can be achieved in a number of ways, including simply having seniority. Some skills that may assist you in furthering your career start with your own knowledge and competence. Also, you should display a willingness to learn and develop professionally. Display initiative and perseverance. Be cooperative and adapt to change. Demonstrate decision-making and critical thinking skills in your job duties.

Explain the nature and scope of channel management

Channel Management: Balancing pricing and inventory across distribution channels

Explain communication techniques that support and encourage a speaker

Communication techniques include using your own body language and facial expressions to respond to the speaker. For example, sit up straight or lean toward the speaker to show that you are interested. React to the speaker with comments or questions. Taking notes keeps you involved in listening to the speaker and shows your level of interest. Maintain eye contact and minimize distracting thoughts and activities.

Explain the concept of competition

Competition is the struggle among businesses for customers. As an essential component of the free enterprise system, competition forces businesses to produce quality goods at reasonable prices. Competition also encourages businesses to develop new products, enhance or improve existing products, and expand product selection in order to attract new customers. Businesses compete in two ways: price and nonprice competition. Price competition assumes that, with all other considerations being equal, a customer will buy the lowest-priced product. Nonprice competition is where businesses compete on factors such as product quality, business location and reputation, customer service, and payment or financing options available. A monopoly exists when there is no competition in the market for a particular good or service. Monopolies are not permitted in a free enterprise system.

Explain forms of financial exchange

Credit enables a business or individual to purchase goods and services in exchange for a promise to pay later. It is most helpful when consumers want to make major purchases, though it is often used for more common, less expensive items. Customers are typically issued a credit card from a bank to make such purchases. Debit is a variation of credit. Consumers using a debit card authorize a seller to withdraw funds directly from the consumer's bank account at the time of sale. A cash sale is any transaction in which the customer pays for the item with cash or a check. Other forms of retail sales transactions include layaway, on-approval, and cash-on-delivery (COD). Layaway means removing merchandise from stock and keeping it in a separate storage area until the customer pays. In an on-approval sale, an agreement is made permitting a customer to take merchandise home for further consideration before paying. A COD sale is a transaction that occurs when a customer pays for goods at the time they are delivered.

Explain the purposes and importance of credit

Credit enables businesses or individuals to obtain products or money in exchange for a promise to pay later. Businesses use credit to buy materials and supplies from other businesses. Credit makes it possible for millions of people and companies to purchase goods and services who otherwise would not have the means to do so. By extending credit, businesses provide a purchasing incentive to customers, thus enhancing their sales revenue and supporting the overall economy.

Describe the use of technology in customer relationship management

Customer relationship management (CRM) involves finding customers and keeping them satisfied through a variety of means, and is useful for developing and maintaining customer relationships. Database marketing is the element of CRM that is the process of creating and maintaining customer lists. These lists can be developed from face-to-face sales, direct mail responses, phone or e-mail purchases, service requests, Web site visits, or they can be purchased from a third party. CRM data is also obtained through customer satisfaction surveys, often giving a customer a reward while sharing demographic and purchase information with the company. Modern CRM software applications are Internet-enabled web applications. They allow a customer to create and check accounts and orders online while the company collects valuable data. Touch-screen computers are becoming popular in retail marketing. Customers like them and the costs to operate them are low. Interactive TV is a modern method of allowing viewers to interact with the programming. This method gives customers instant access to product information, links to online stores, and downloads for additional content, among other benefits.

Explain the role of ethics in customer relationship management

Customer relationship management involves finding customers and keeping them satisfied through a variety of means. It is useful for developing and maintaining customer relationships. The sharing of customer information among businesses has led to privacy issues. The government has regulations protecting the privacy of consumers, including offering customers the option of being added to mailing lists.

Maintain customer records

Data about customers and their buying habits is kept in a computer program called a database. Data can be about customers' contact or other personal information, or it can be about their purchase/account history. This data can be developed from face-to-face sales, direct mail responses, phone or e-mail purchases, service requests, website visits, customer comment cards, or they can be purchased from a third party. Database programs act like filing cabinets that allow you to sort, find, choose, and organize information.

Explain the nature of effective written communications

Effective written communications require some basic considerations: knowing your audience, knowing your purpose, and knowing your subject. You must assess who your target audience consists of in order to which form of communication to use. Next, knowing your purpose for writing helps you organize your thoughts. You must decide if you are trying to inform, confirm, inquire, answer, or persuade the audience. Lastly, written communication requires that you have in-depth knowledge of the subject and how to relate what you know to the intended audience. The form of written communication you choose to use will depend on the above considerations. Letters are formal methods of communicating outside the business. E-mail is an informal method used to reach those inside or outside the company. Memos, while being replaced by e-mail, are a more formal way to communicate within a company. Business reports are for lengthy topics, typically for internal use or for stockholders. Similarly, company publications may be used internally (for company policies) or externally (for marketing purposes).

Describe the nature of emotional intelligence

Emotional intelligence is a set of personal skills in the following areas. x Foster self-understanding to recognize the impact of personal feelings on others. x Develop personal traits to foster career advancement. x Apply ethics to demonstrate trustworthiness in working with others. x Exhibit techniques to manage emotional reactions to people and situations. x Identify with others' feelings, needs and concerns to enhance interpersonal relations. x Use communication skills to foster open, honest communications. x Use communication skills to influence others' point of view. x Apply problem solving techniques to obtain solutions to issues and questions. x Manage stressful situations to minimize negative workplace situations. x Implement teamwork techniques to accomplish goals. x Employ leadership skills to achieve workplace objectives. x Manage internal and external business relationships to foster positive interactions.

Determine ways of reinforcing the company's image through employee performance

Employee performance can reinforce a company's image through suggestion selling, order processing and fulfillment, and effective selling skills. Suggestion selling is useful for making the customer happier with his/her original purchase. Sales employees can improve customer satisfaction by the speed and care in which they handle orders. This applies, as well, to handling returns and refunds. Selling skills, such as an appropriate, pleasant greeting and a reassuring departure are useful tools in maintaining a good image. Offer helpful comments during and after a sale and always thank the customer in order to build a good relationship. Follow up on all promises made to a customer, and check on their level of satisfaction after a purchase. Positive customer-client relations require compassionate and immediate action when dealing with complaints and inquiries.

Discuss the role of ethics in operations

Ethical considerations include those that deal with employees and those that deal with customers. An ethics policy for employees may discuss working hours, overtime pay, flexibility, safety, and health issues. Regarding customers, operational ethics deals with product and consumer safety, credit concerns, delivery policies, hours of operation, customer service policies, and return policies. Ethical operations will maintain fairness and safety for all employees and customers, be open and up-front about their policies, and handle problems promptly and equitably.

Discuss the role of ethics in finance

Ethics are guidelines for good behavior, based on knowing the difference between right and wrong. Behaving ethically means being truthful, fair, open, and mindful of the law. Companies and their executives can now be held accountable for misinformation or improper recording of a company's financial situation. A company must keep an accurate, honest, and complete record of its accounting transactions. Finance professionals should be educated about insider trading and other unethical practices. They must refrain from misrepresenting the facts to achieve short-term goals. Confidentiality must be maintained with regard to clients' personal information as well as company information. Efforts must also be made to avoid conflicts of interest between employees and customers.

Explain the nature of business ethics

Ethics are guidelines for good behavior, based on knowing the difference between right and wrong. Behaving ethically means being truthful, fair, open, and mindful of the law. In marketing, business ethics involves a company's efforts to protect individual consumers and society as a whole. Businesses must keep consumers informed and protected against fraud and deceit, and they must not produce unsafe goods. Another ethical consideration for marketers is price gouging, or pricing products unreasonably high. In sales, ethical issues to be aware of concern bribes, kickbacks, and high pressure tactics. Businesses must behave ethically in management, as well, including personnel and accounting issues. The standards of ethics within a business are in large part determined by the owner's principles and values. Remember, people do not all share the same ethical values. As a result, businesses should create a clear policy on ethics standards.

Describe the determinants of exchange rates and their effects on the domestic economy

Exchange rates are determined by the: x Balance of payments: a positive balance of payments creates a stable or rising currency. x Economic conditions: inflation and interest rates can affect a countries currency rate. x Political stability: a stable political environment creates a stable currency.

Explain the concept of private enterprise

FES, competition, survival of the fittest

Explain the role of finance in business

Finance is the function of business that pertains to money management. A financial plan is an important element of an overall business plan. Elements that pertain to the role of finance in a business include start up/equity financing, debt financing, and growth financing. Various financial statements, such as a balance sheet and income statement, provide a way to analyze a company's overall financial standing. Managing your business' finances will include planning for profits by forecasting sales, evaluating profit potential, controlling costs, and budgeting. Business financing also requires managing taxes and credit.

Explain the concept of accounting

Financial information for a business can be recorded, summarized, and reported in a variety of ways. The way in which information is kept and reported is determined by the size, type, and complexity of a business. Businesses should also consider the types of decisions that will be made when designing an accounting system. Types of information to be gathered include purchases, sales, expenses, and payroll. There are two basic types of accounting methods: cash and accrual. In the cash accounting method, income and expenses are recorded at the time the money changes hands. The accrual method of accounting records transactions at the time they occur even if no money changes hands at that time. Accounting records show changes and the current account balance of each asset, liability, and owners' equity account. The recording of debit and credit parts of a transaction is called double-entry accounting. A record summarizing the information relevant to a single item in the accounting equation is called an account. With every action, at least two accounts will change. A group of accounts is called a ledger. A form for recording transactions is called a journal.

Organize information

First of all, you must decide if a piece of information is important. Information you do not need becomes clutter. Try to do something with important information the first time you look at it. Put information you will look at later in a file or folder. Categorize information by type and label each file or folder. Avoid putting each document in a separate file and do not let files get too large—divide them by subtopics. Color-code files, folders, or labels. Maintain your files on a regular basis. Organize your writing by using a logical order, such as chronological order or order of importance. Use heading and subheadings when writing longer documents.

Explain the concept of Gross Domestic Product (GDP)

Gross Domestic Product (GDP) is the output of goods and services produced by labor and property located within a country. GDP is one measure of a nation's productivity, or the output of workers in a given period of time. GDP is made up of several elements: private investment, government spending, personal spending, net exports of goods, and change in business inventories. Two types of GDP are nominal GDP and real GDP. Nominal GDP is stated in the price levels in which the GDP was measured; real GDP is the nominal GDP adjusted for changes in prices. Calculate GDP as follows: add private business spending, government spending, and personal spending. Then either add a trade surplus or subtract a trade deficit, and either add expanding inventories or subtract shrinking inventories. A similar measure to GDP is Gross National Product. GNP is the total dollar value of goods and services produced by a nation, including those produced outside of its own territory by its own citizens.

Explain the principles of supply and demand

In a market-oriented economy like in the United States, supply and demand determine the prices and quantities of goods and services produced. Supply is the amount of goods and services producers are willing to make and sell. Demand is the willingness and ability of consumers to buy goods and services. Supply and demand interact in the marketplace resulting in a state of equilibrium, surplus, or shortage. The law of supply states that price and quantity supplied move in the same direction (a direct relationship). Thus, as price increases, the amount of goods and services supplied increases. Conversely, the law of demand states that as price increases, the amount desired by consumers will decrease (an inverse relationship). When the amount of a product/service being supplied equals the amount being demanded, equilibrium exists in the marketplace at that price. If, however, there is more supply than demand for a product a surplus exists, potentially leading to lower prices. A shortage exists when demand exceeds supply, a condition that can lead to rising prices.

Distinguish between economic goods and services

In economic terms, goods are tangible items that have monetary value and satisfy your needs and wants (such as cars and clothing). Services are intangible items (meaning you cannot physically touch them) that have monetary value and satisfy your needs and wants. Services involve a task, such as cooking food or repairing a computer.

Describe the economic impact of inflation in business

Inflation refers to rising prices; it is an indicator of the stability of an economy. A low level of inflation (between 1 and 5 percent per year) is considered good because it indicates a stable economy. Higher levels of inflation are harmful to businesses. Rising prices cause consumers to spend less, slowing the overall economy. Inflation also leads to higher wages. A high level of inflation may cause wages to increase beyond what businesses can afford to pay, which can lead to layoffs and downsizing. Interest rates rise in periods of inflation. Rising interest rates mean that borrowing money becomes more expensive. Businesses are, thus, less likely to borrow money to expand their operations. With inflation, the value of a dollar decreases so businesses and individuals cannot buy as much with the same dollar as they could before. Inflation can be helpful to individuals and businesses who are borrowers. Those who borrow at a fixed rate of interest can repay the debt with dollars that are worth less, which makes their repayments smaller than they would have been without inflation.

Demonstrate interest and enthusiasm

Interest and enthusiasm can be demonstrated verbally and non-verbally. When speaking choose words that are descriptive, vary your tone, listen and ask relevant questions. Non-verbal cues can be seen in your facial expressions, body language and eye contact.

Adapt written correspondence to targeted audiences

Knowing your audience helps you to make decisions about what information you should include, how you should arrange that information, and what kind of supporting details will be necessary for the reader to understand what you are presenting. It also influences the tone and structure of the document.

Discuss the nature of law and sources of law in the United States

Laws are enforceable rules of society that reflect the culture and circumstances that create them. Laws may be grouped into an organized form called a code. They should be both predictable and flexible. A number of forms of law exist, including common law, positive law, English common law, and equity. In the U.S., sources of law include the Constitution, state constitutions, statutes, ordinances, administrative regulations, and criminal or civil cases.

Explain marketing and its importance in a global economy

Marketing is the process of planning, pricing, promoting, and distributing ideas, goods, and services to create exchanges that satisfy customers. The benefits of marketing are numerous. It provides the means for competition in the marketplace, leading to lower prices and higher quality goods and services. Marketing generates new and improved products and adds value (or utility) to existing products. The global marketplace benefits from marketing because of the need to trade with each other.

Explain the use of technology in accounting

Most businesses use some type of accounting software to record and report their business transactions. Even when using an automated system, you still need to collect and keep your source documents and each business transaction must be separated into its debit and credit parts. Computerized posting to accounts is faster and eliminates accounting errors that a person might make doing it manually. Daily, weekly, monthly, and annual reports can be generated quickly and accurately. Software is also available for tax collection and reporting.

Interpret others nonverbal cues

Nonverbal communication refers to communication other than spoken language, including distance, eye contact, facial expressions, and gestures. Nonverbal cues can help you determine another's attitude and personal feelings. The distance you place between yourself and another can convey messages of attraction, interest, status, or respect. When you maintain eye contact, you show sincerity, interest, and confidence. Facial expressions are sometimes conscious and sometimes unconscious. They convey meaning, emotion, and attitude. Positive gestures, or hand movements, are often open, natural, and smooth. Negative gestures, such as crossing your arms, are more closed and rigid.

Explain the nature of operations

Operations can be defined as the daily activities that provide successful outputs for the business. Some common types of operations are facility management, logistics, scheduling, information management and safety and security.

Describe the concepts of economics and economic activities

PDC, 9 Functions

Describe types of business activities

PDC, utilities

Explain the role of business in society

PDC, value

Write persuasive messages

People act in order to have their own needs met. Thus, it is important to show your reader why he/she has a need to do what you want. To plan a persuasive document, first identify your objective. Then identify the main idea to show that the requested action will meet the reader's needs. Determine the supporting information that will convince the reader to do what you wish. Finally, adjust the content to the reader, considering his/her values and concerns. Organize a persuasive document by 1) gaining the reader's attention, 2) showing the reader that he/she has a need, 3) explaining your solution to that need, 4) present the supporting information, and 5) end by asking for a specific action. Persuasive documents might include sales letters, collection letters, proposals, and newsletters. To be effective in drafting persuasive documents, you should also present a solution that is clear, logical, and practical.

Explain the concept of production

Production is the process of creating, expanding, manufacturing, or improving on goods and services. It is a function of business found in all industries and service-related operations. There are three main forms of production: extraction and cultivation, processing, and manufacturing. The three categories of products used by businesses and consumers are natural resources, agricultural products, and processed goods. Four types of businesses that are responsible for production are producers, extractors, farmers, and manufacturers. Company leaders focus on efficient production and consider the many situations that may affect it. Companies that want to be industry leaders strive to produce the most innovative products as efficiently as possible.

Analyze impact of specialization/division of labor on productivity

Productivity is the measure of worker output over a given period of time. Specialization and division of labor are important elements to increasing productivity. The theory behind this is that work can be completed faster and more efficiently when workers specialize in a certain area of production. An assembly line is an example of specialization and division of labor. Automation is the use of machines to do the work of people. It can cut production time, reduce errors, and simplify procedures, leading to greater overall productivity of the business.

Identify factors affecting a businesses profit

Profit is the monetary return a business' owner receives for taking the risk of investing in the business. In simple terms, profit equals income less expenses. More specifically, there are two types of profit: gross profit and net profit. Gross profit is the money left over after the cost of goods is subtracted from income from sales. Net profit is the money left over after operating expenses are subtracted from gross profit. Factors that affect profit include demand for the good/service, expenses, prices, the economy, and chance. To try to increase profit, a business can increase worker efficiency, increase sales, and/or decrease expenses.

Explain the concept of self-esteem

Self esteem is the way you perceive your worth or value as a person. It is an important interpersonal skill that allows you to believe in yourself and helps you relate positively to others. You can demonstrate positive self esteem by treating others with respect and friendliness, dressing appropriately on the job, and behaving in a confident yet courteous manner.

Exhibit self-confidence

Self-confidence can be demonstrated by how you present yourself and through your actions. It is shown in your personal hygiene and the way you dress. It can also be shown through your relationships with others and your work habits.

Identify sources that provide relevant valid written material

Sources for written material may be obtained internally or externally. Internal sources include such data as a company's monthly sales records or previously collected market research. External sources include the Internet, government, specialized research companies, and business/trade publications and associations. The Internet provides a nearly limitless source of free or fee-based information from companies' own websites or business clearinghouses. Data collected by government agencies is available online regarding topics such as demographics, product and economic news, and legislative trends. Government agencies also serve as good sources for written material, such as the Small Business Administration, U.S. Census Bureau, Securities and Exchange Commission, etc. Specialized research companies sell demographic data, sales forecasts, and other business data they have collected.

Make oral presentations

Start off by knowing your purpose for speaking. It may be to greet, to inform, to request to persuade, or to propose. Sometimes you may have overlapping purposes. Next you need to know your audience. Who are your listeners? What are their beliefs, values, and interests? What do they already know about the subject and what do they need to know? What does the audience expect to learn? Next you must know your subject and organize your thoughts. Relate your subject to the audience and decide how to clearly make your point(s). The best approach is to be clear, brief, and direct. Good speaking skills are important, and your delivery, style, and attitude are as important as your message. Speak at an appropriate volume and speed. Use inflection and tone of your voice to stress key ideas. Try to make emotional contact with your audience, and make eye contact. Use posture and body language that match your message. Avoid nonwords, such as uh and um. Pronounce words correctly and enunciate clearly. Project enthusiasm and a positive attitude.

Describe the nature of business records

Technology has made it easier and more efficient to maintain business records through management information systems (MIS). The functions of an MIS are to gather, analyze, store, and report on data. Records are kept regarding financial information, production and inventory, marketing and sales, and human resources. Data sources may be external, such as from financial institutions or government agencies; or they may be internal, including data from accounting, inventory, and sales figures. Business record keeping requires one to: identify the information needs of the organization, obtain the data, process and analyze the data, organize the data in a useful manner, distribute information to those who need it to make decisions, and update the data and records as needed.

Describe the use of technology in human resources management

Technology is used more and more in the area of recruiting and hiring employees. Effective sources for locating prospective employees now include Internet career services and company websites. Many companies ask applicants to fill out an application online or at a computer terminal at the company's location. New employee orientation also makes use of technology for job training and disseminating company policies. Payroll functions are automated in many companies.

Discuss the role of ethics in accounting

The AICPA Code of Professional Conduct outlines a number of rules regarding ethics in accounting. A company must keep an accurate, honest, and complete record of its accounting transactions. Company audits should be carried out by an independent party. Confidentiality must be maintained with regard to clients' personal information as well as company information. Efforts must be made to avoid conflicts of interest between employees and customers. Ethical accountants exercise due care in the performance of their professional services. They should also be educated about insider trading as an unethical practice. Accountants must refrain from misrepresenting the facts to achieve short-term goals that are contrary to a business' longterm objectives. Internal auditors work independently within a business to review and improve the company's operations. They use strict standards to ensure the business sticks to its agreements, to design plans to protect assets, and to make the best use of company resources.

Explain the need for ongoing education as a worker

The average American has at least seven jobs before he/she reaches age thirty. People can expect to change employers several more times before they retire. While some people end up losing their jobs due to downsizing, everyone is affected by it. If managers are cut, individual workers may acquire more responsibilities. The skills you will need to manage new responsibilities may require more education. You may need to update your skills or learn new ones to keep pace with employment trends, as job opportunities shift from one industry to another. The competitive global market puts added demands on workers, as businesses try to stay up-to-date with technology and ways of doing business.

Explain the impact of law of diminishing returns

The change in total product output that results from hiring one more worker is called the marginal product. Diminishing returns is experienced when the number of workers being utilized causes output to increase at a decreasing rate. Utilizing too many workers may actually cause production to decrease.

Explain legal considerations for finance

The federal government regulates interstate commerce through the commerce clause of the U.S. Constitution. Securities regulation, especially the Securities Act of 1933 and the Securities Exchange Act of 1934, have been enacted to protect investors. These laws ensure that purchasers can learn the true nature of the securities they buy and provide a way to discover fraud and unfair practices. Included in the definition of securities are corporate stocks, interests in savings and loans, interests in racehorses or sports teams, and sales of coins. The Securities and Exchange Commission administers the laws regulating securities sales, brokers, dealers, and bankers who sell securities. The Federal Trade Commission was created in 1914 to protect businesses from the wrongful acts of other firms, especially referring to competitive practices. The Sherman Antitrust Act of 1890 was passed to stop the formation of monopolies. The Sarbanes-Oxley Act of 2002 contains important rules affecting the reporting and corporate governance of public companies and their officers.

Describe the judicial system

The judicial branch of the federal government interprets, applies, and administers the laws of the US. It consists of a network of courts at all levels of government. Two types of courts are trial and appellate courts. Federal courts include district courts, federal courts of appeals, and the U.S. Supreme Court. The state court system also includes a state Supreme Court, associate circuit courts, city or municipal courts, small claims courts, juvenile courts, and probate courts.

Explain types of business ownership

There are four possible forms of business organization: sole proprietorship, partnership, corporation, and limited liability company (LLC). The choice depends on the financial and tax situation of the owner, the type of business, the number of employees, and the level of risk involved. Each has advantages and disadvantages to be explored. A sole proprietorship is a business owned and operated by one person. A partnership is a legal agreement between two or more people. The two types of partnerships are general and limited. A corporation is a legal entity created by a government statute authorizing individuals to operate an enterprise. A limited liability company is a hybrid of a partnership and a corporation. In an LLC the owners are shielded from personal liability while all profits/losses pass directly to the owners without taxation of the business itself.

Identify desirable personality traits important to business

There are many characteristics of successful businesspeople, including persistence, creativity, responsibility, confidence, and enthusiasm. A businessperson should be inquisitive, goal-oriented, independent, a risk taker, and action oriented. Essential skills for running a business include the following: communication, math, problem solving, technology, decision making, organizing, teamwork, social, and basic business skills.

Explain types of investments

There are several main types of investment vehicles. Common stock is a unit of ownership of a company that entities the owner to voting privileges. Preferred stock is a type of stock that gives the owner the advantage of receiving cash dividends before common stockholders receive them. Stocks are attractive as an investment because owners share in the success of the company. A corporate bond is a corporation's written pledge to repay a specific amount of money, plus interest. Similarly, a government bond is the written pledge of a government or municipality to repay a specific amount of money, plus interest. When you buy a bond, you are lending money to a corporation or government entity for a period of time. Mutual funds are investments in which investors pool their money to buy stock, bonds, and/or other securities. The investments are selected by professional managers who work for an investment company. Their expertise can be beneficial to inexperienced investors. A final form of investment is to own real estate. The goal of this is to own property that increases in value so you can sell it at a profit or receive rental income.

Discuss the impact of a nations unemployment rates

There are three main impacts of lingering unemployment on an economy: efficiency, inequality, and discouraged workers. Unemployment is inefficient in that it wastes human resources. It leads to inequality because those with the least experience tend to lose their jobs first, which are usually minorities and the young. Lastly, unemployed people tend to get discouraged about themselves and their abilities, and may give up their search for work. Unemployment is an important indicator of the overall strength of an economy. The higher the unemployment rate, the greater the chances of an economic slowdown. Likewise, the lower the unemployment rate, the greater the chances of an economic recovery. When more people are working, more people are spending money and paying taxes to help the economy grow.

Evaluate quality and source of information

To evaluate source data, consider the following: Is the subject matter consistent with the defined problem or issue? Do the data apply to the population and/or time period of interest? Do the data appear in the correct units of measurement? Do the data cover the subject in adequate detail? Is the data accurate and timely? Can the accuracy of the data be verified? Is/are the data source(s) reputable? Is the cost of data acquisition worth it? Is there a possibility of bias?

Prepare simple written reports

Two types of simple written reports exist. A formal report is generally long, analytical, and impersonal, often containing preliminary and supplementary parts. An informal report is shorter and written in a less formal style. They generally have no preliminary or supplemental parts and are concerned with everyday topics. Both types of reports may be organized in direct order (if the report is routine or you expect a favorable response from the reader) or indirect order (when persuasion is necessary or if the subject matter is negative). The steps in planning both formal and informal reports are to 1) identify the problem, 2) decide on areas to investigate, 3) determine the scope, 4) plan the research, 5) develop a preliminary outline, 6) collect the data, and 7) analyze the data, draw conclusions, and make recommendations. Three parts of an informal report include opening, body, and closing. The parts of a formal report are the preliminary parts, body, and supplementary parts. Most formal reports follow specific formatting guidelines with respect to margins, spacing, and headings.

Assess personal strengths and weaknesses

When assessing your strengths and weaknesses, many areas can be explored. Interpersonal skills that can be assessed include self esteem, attitude, initiative, self control, creativity, flexibility, stress management, and time management skills. You will also want to assess more concrete skills and abilities. These are things that you will be asked to do in the workplace, such as selling a product or organizing an activity. Complete a self-assessment by asking yourself if you have these types of skills and taking inventory of your workplace values and needs. Determine what skills you are lacking and where you can make improvements. Develop your skills and abilities by reading, observing, and working in a real-world situation.

Adapt communication to the cultural and social differences among clients

When interacting with people from different cultures, speaking in a neutral tone and making a conscious effort to be considerate of others' input, even if it is given in a manner to which you are not accustomed, can help foster effective business communication.

Take responsibility for decisions and actions

acknowledging and accepting choices and the consequences for each, shows you can keep your promises and can meet commitments

Participate as a team member

add input, feedback, work together

Demonstrate a customer service mindset

always put the customer first

Write inquiries

any and all questions, word correctly, clear

Demonstrate adaptability

be able to change to different situations easily and smoothly

Lead change

bring ideas, motivate, start project / planning

Utilize note taking strategies

bullet points, main points, put in your own words, summarize

Create and post basic webpage

clear, easy to navigate, links, pictures, short blobs of text

Give verbal directions

clear, specific, ask if they understand

Apply written directions to achieve tasks

clear, thorough, specific

Explain the nature of financial needs

college, retirement, wills, insurance

Overcome problems and difficulties associated with office politics/turf wars

communicate solutions

Explain the relationship between customer service and channel management

complain to higher power when needs not being met

Handle and report emergency situations

contact higher power, statement

Validate credit history

credit report

Apply information to accomplish a task

directions, uses, production

Demonstrate problem-solving skills

discover all options, good for everyone, be respectful of others needs

Maintain the confidentiality of others

do not give out others personal information unless given permission by that person

Provide legitimate responses to inquiries

don't avoid question, relevant

Choose and use appropriate channel for workplace communication

email, phone, memo

Exhibit cultural sensitivity

every culture has different values, greetings, etc.

Participate in problem-solving groups

feedback, input ideas, open minded

Identify the impact of small business/entrepreneurship on market economies

fill needs not yet being met by other businesses

Handle customer/client complaints

find solutions to agree with everyone, assure problem to be fixed

Develop rapport with customers

first name basis, some personal info, friends

Follow established security procedures / policies

follow rules

Comply with policies and procedures for use of property and equipment

follow rules and directions

Adhere to company protocols and policies

follow rules of business, on time, no stealing

Distinguish between using social media for business and personal purposes

for business- connect to consumers, send out messages, events, promotion, personal - connections to friends, life outside of business

Determine economic utilities created by business activities

form, time, place, possession, info

Reinforce service orientation through communication

friendly language and tone, professional but relatable vocab

Foster positive working relationships

friendly, no conflict, respect

Explain the nature of staff communication

friendly, personal connections, respectful

Explain the concept of market and market identification

geo, demo, psycho

Obtain needed information efficiently

get info needed, when needed, and reliable sources

Explain the nature of office politics

good relationships and you get things done between people

Demonstrate collaborative/groupware applications

google docs, all work on project at once

Interpret business policies to customers/clients

have customers know all rules for business so they can interpret effectiveness and analyze employees

Coach others

help others achieve what they need to, motivate and congratulate

Discuss the nature of human resources management

hire, fire, train

Store information for future use

history, document in computer

Explain the concept of leadership

in control, knowledge, role model

Discuss the nature of information management

info to make decisions

Participate in group discussions

input your ideas, don't interrupt others, listen, give feedback

Select and utilize appropriate formats for professional writing

intro and conclusion, appropriate language, vocab difficulty

Follow chain of command

know your superiors and inferiors

Explain the concept of economic resources

land, labor, capital, entrepreneurship

Prepare a resume

list education, community service, awards

Follow oral directions

listen closely, repeat, ask for clarification

Discuss the nature of debtor creditor relationships

loaning money, debtor owes $

Describe types of financial services providers

loans, grants, investments, checking

Extract relevant information from written materials

main ideas, important facts

Describe the need for marketing information

make decisions

Make decisions

make decisions good for company, weigh options, good and bad outcomes

Identify tentative occupational interest

make sure it's a job you would want to do, you'd be happy going to work

Explain employment opportunities in business

manager, cashier

Explain the nature of channels of distribution

manufacturer, retailer, consumer

Use an integrated business software application package

microsoft office

Enlist others in working toward a shared vision

motivation, clear, steps

Edit and revise written work consistent with professional standards

neat, clear, constructive, respectful

Demonstrate the wise use of credit

never buy more than you can pay off, be responsible

Protect against identity theft

never give out personal info, financial info, etc.

Explain the need for innovation skills

new ideas, make company better, adaptability

Asses information needs

new uses, news, ideas, better the business

Select and use appropriate graphic aids

not distracting, simple, relates to topic, useful, appropriate size

Write informational messages

note urgency, straight to the point, clear and concise

Identify sources of career information

online, newspaper, from company

Write business letters

organized, main points, intro and conclusion, professional language

Explain the concept of management

organizing the day to day work of employees

Orient new employees

orientation, training, procedures, policies, uniform, introduction

Explain legal responsibilities associated with financial exchanges

paperwork, truthful

Explain the concept of marketing strategies

plan to market product

Explain company selling policies

price changing, discounts, sales

Describe the functions of prices in markets

price competition, evaluate price by quality

Protect company information and intangibles

privacy, confidentiality

Explain the role of promotion as a marketing function

promote product, intrigue customers

Explain warranties and guarantees

protects product and consumer

Manage commitments in a timely manner

put urgent/important things first, make time for each, time management

Acquire product information for use in selling

quality and use of product determines price

Describe the uses of grades and standards in marketing

quality features and benefits

Build and maintain relationships with customers

rapport, first name basis, let them know you care

Determine the relationship between government and business

regulators, freedoms

Ask relevant questions

related to topic, help further understanding

Handle difficult customers

respectful manner, make comfortable and happy

Respond to customer inquiries

respectful, answer every aspect, be clear

Use conflict resolution skills

respectful, feedback, constructive

Participate in a staff meeting

respectful, listen, notes, input thoughts

Maintain a safe work environment

rules and regulations, insurance, signs

Set financial goals

savings, time management, priorities

Explain routine security precautions

security cameras, robbery, reports

Develop personal budget

self-control, saving money, responsible