INTRODUCTION TO BUSINESS

Transkripsi

1 INTRODUCTION TO BUSINESS Subarjo Joyosumarto SE, MA, Ph.D 4 September 2017 Meeting 1: The Business System Pengumuman Intro. Business 2017 Meeting 1 1

2 Introduction to Business Class 2

3 REFERENCES The list of books are stated at page 4 CLASS PROGRAM There will be 14 meeting and each meeting constitute 150 minutes length List of the class program are written at page 5 and 6 STUDENT PARTICIPATION Students are expected to actively participate in the class discussions They will learn both Business and English at the same time LANGUAGE Bi-lingual, English and Bahasa Indonesia are used in the class Question for exams are in English. Students may choose to answer in English (will be given extra point) or in Bahasa Indonesia 3

4 REFERENCES 1. Business By Ricky W. Griffin and Ronald J. Ebeil Pearson Prentice Hall, Think New ASEAN By Philip Kotler, Hermawan Kartajaya, Hooi Der Huar, Mc Graw Hill, Money, Banking and the Economy By Thomas Mayer, James S. Dussenberry, Robert Z. Aliber, ww Nator & Compas, New York, A Smart and Good Entrepreneur, By Ir. Hendro, M.M., Media Perinda

5 PART I BUSINESS ENVIRONMENT 1. Introduction to Business class Chapter 1, The Business System 2. Overview of meeting 1 Chapter 4, Entrepreneurship 3. Overview of meeting 2 Business in ASEAN 4. Overview of meeting 3 Banking Business 5. Overview of meeting 4 Chapter 3, Business Ethically and Responsibility 6. Monsoon 1 Sell & Buy Product (modul: Finance, Procurement, Retail) 7. Overview of meeting 1-5 Midterm Exam 5

6 PART II BUSINESS PROCESS 8. Chapter 6, Managing the Business Enterprise 9. Overview of meeting 8 Chapter 10, Marketing Process and Consumer Behavior 10. Overview of meeting 9 Chapter 14, Producing Goods and Services 11. Overview of meeting 10 Chapter 8, Human Resources and Labor Relations 12. Overview of meeting 11 Chapter 15, Managing for Production and Quality 13. Monsoon 2 Business Function Product (modul: Finance, Procurement, Warehouse, Marketing, HR) 14. Overview of meeting 8-12 Final Exam 6

7 PART I BUSINESS ENVIRONMENT Chapter 1. The Business System 7

8 Resources An economic system is a nation s system for allocating its resources among its citizens. Citizens 8

9 Rp Business income Circular Flow in a Market Economy OUTPUT MARKETS Goods Services Rp Consumer Spending FIRMS Supply products in output markets Demand resources in input markets HOUSEHOLDS Demand products in output markets Supply resources in input markets Rp Payment for Resource INPUT MARKETS Labor Capital Entrepreneurs Physical resources Information resources Rp Income for Resource 9

10 DEMAND IN AN ECONOMY Demand is the willingness and ability of buyers to purchase a good or service Traditional market: customers come to buy raw foods 10

11 SUPPLY IN AN ECONOMY Supply is the willingness and ability of producers to offer a good or service for sale Factory : workers are working to make products to be sold 11

12 Demand Curve Price/Rp 100 A 80 B 50 Demand Curve Quantity (Kg) A demand curve is a graph showing how many units of a product will be demanded (bought) at different prices: atprice Rp. 100, quantity demanded is 25 Kg at price Rp. 80, quantity demanded is 30 Kg 12

13 Supply Curve Price/Rp Supply Curve 100 B 80 A Quantity (Kg) A supply curve is a graph showing how many units of a productwill be supplied (offered for sale) at different prices: atprices Rp. 100, quantity supplied is 25 Kg at price Rp. 80, quantity supplied is 20 Kg 13

14 The Laws of Supply and Demand Price A B Demand Curve Quantity The law of demand: Buyers will purchase (demand) more of a product as its price drops and less as its price increases. The law of supply: Producers will offer (supply) more of a product for sale as its price rises and less as its price drops. Price A B Supply Curve Quantity 14

15 Surpluses and Shortages Price/Rp A Surplus B Supply Curve 50 C Shortage D Demand Curve Quantity Surplus is a situation in which quantity supplied exceeds quantity demanded Shortage is a situation in which quantity demanded exceeds quantity supplied 15

16 EXERCISES 1 Prices of Rice /Kg/Rp Quantity Supplied /Kg Quantity Demanded/Kg Draw a supply and demand curves, and show the point of equilibrium 2. When the price is Rp /Kg, show the shortage of rice in the market 3. When the price is Rp /Kg, show the surplus of rice in the market 16

17 EXERCISES 2 Price of Shoes/pair/Rp Quantity Supplied (pairs) Quantity Demanded (Pairs) Draw the supply and demand curves, and show the point of equilibrium 2. When the price is Rp /pair, show the surplus of shoes in the market 3. When the price is Rp /pair, show the shortage of shoes in the market 17

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19 Private Enterprise and Competition Competition occurs when two or more businesses vie for the same resources or customers. Four degrees of competition: Perfect Competition : a lot numbers of supplies and buyers Monopolistic Competition: a few supplies and many buyers Oligopoly : a single buyer and a lot of supplies Monopoly : a single supply and a lot of buyers 19

20 Degrees of Competition Characteristic Perfect Competition Monopolistic Competition Oligopoly Monopoly Example Local farmer Stationary store Steel industry Public utility Number of competitors Easy of entry into industry Similarity of goods or services offered by competing firms Level of control over price by individual firms Many Many, but fewer than in pure competition Few None Easy Fairly easy Difficult Regulated by government Identical Similar Can be similar or different No directly competing goods or services None Some Some Considerable 20

21 The Concept Of Business and The Concept Of Profit Business is an organization that provides goods or services to earn profits Profits represent the difference between a business s revenues and its expenses Profit = Business s Revenue Business s Expenses 21

22 Factors of Production Labor (or Human resources) are the physical and mental capabilities of people as they contribute to economic production Capital are the funds needed to create and operate a business enterprise 22

23 Factors of Production Entrepreneur is an individual who accepts the risks and opportunities involved in creating and operating a new business venture Physical resources are tangible things organizations use in the conduct of their business 23

24 Questions for discussions - Article TEMPO.CO, Jakarta - Menteri Perdagangan Enggartiasto Lukita optimistis harga daging sapi akan turun sesuai dengan target yang diharapkan masyarakat, yakni di bawah Rp 100 ribu per kilogram. Namun, menurut Enggar, penurunan harga daging sapi tersebut harus terjadi secara bertahap. "Kalau itu langsung turun (harganya), ada kecenderungan langsung naik (permintaannya). Jadi, pasti ada penahapan. Saya juga akan minta jaminan berapa lama mereka akan turun. Tapi tentu tidak bisa dalam 2-3 bulan," kata Enggar di Pasar Modern BSD, Serpong, Tangerang, Ahad, 7 Agustus Agar target penurunan harga itu dapat dilakukan, Enggar berjanji akan memperhatikan suplai daging sapi bagi masyarakat. Baik suplai daging sapi impor maupun lokal harus seimbang. "Kami menyadari masih ada defisit. Ketersediaan dalam negeri belum mampu memenuhi kebutuhan pasar," ucapnya. Enggar menilai, apabila masyarakat mengetahui bahwa suplai daging sapi tercukupi dan tidak ada kelangkaan, akan terdapat koreksi harga daging sapi di pasar. "Itu akan kami jamin," ujar Enggar yang pernah menjadi anggota Dewan Perwakilan Rakyat dari Partai Golkar tersebut. Enggar menegaskan, walaupun diperlukan impor daging sapi untuk memenuhi kebutuhan permintaan dalam negeri, peternak daging sapi lokal tetap akan diprioritaskan. "Kita harus adaroadmap agar bisa mandiri pangan. Daging, beras, semua produksinya harus mandiri. Tapi saya tidak anti-asing. Kalau mereka mau, silakan investasi di sini." ANGELINA ANJAR SAWITRI 24

25 Questions for discussions Questions Related to Previous Article 1. What are the basic factor of production in the industry? 2. Explain the Demand and Supply interactions in shaping the market price of the industry! 3. Referring to the article, why should the supply of the beef need attention? 4. What is the government s role which affect the supply and demand of this industry? 5. What are the environmental factors that affects the demand of this industry? 25

26 Activities - Optional Roleplay of Buyer and Seller in the class reflecting Demand and Supply. 26

27 Thank You 27