This document summarizes several different types of businesses and their key components. It discusses the goods and services, factors of production, opportunity costs, and trade-offs for restaurants, grocery stores, gas stations, clothing stores, and car washes. For each business, the goods and services provided are listed, along with the physical resources and employees required for production. Opportunity costs and trade-offs are also identified, such as spending money at a store instead of saving for college or washing a car at home instead of taking a vacation.
3. Restaurant
Goods and services:
- Food
- Beverages
- Counter Service
Factors of production:
- Building
- Bread
- Utensils/plates and bowls
- Tables/chairs
- Cashiers
- Cooks
- Manager
- Ovens
Opportunity Cost:
- Money it takes to buy a meal could be put towards
gas.
Trade Off:
- Starting a family
5. Grocery Store
Goods and services:
- Food
- Ingredients
- Kitchen supplies
- Pharmacy
- Personal hygiene supplies (toothpaste, toothbrush, soap, band
aids, etc.)
- Pharmacy
Factors of production:
- Building
- Food products (produce, dairy products, boxed items, etc.)
- Managers
- Cashiers
- Pharmacists
- Cash registers
- Freezers
- Carts
Opportunity cost:
- Time spent shopping could be spent at home or at work.
Trade off:
- Less time with family
7. Gas Station
Goods and services:
- Gasoline
- Snacks
- Bathroom
Factors of production:
- Gas pumps
- Building
- Corner lot
- Attendant
- Manager
Opportunity cost:
- Carpooling with a friend
Trade off:
- Going to college
9. Clothing Store
Goods and services:
- Clothes
- Accessories
Factors of production:
- Building
- Manager
- Cashiers
- Mannequins
- Clothes
Opportunity cost:
- Money spent at the store could be saved and
put towards college tuition.
Trade off:
- Starting own business
11. Car Wash
Good and services:
- Washing car
- Cleaning inside car (vacuuming)
Factors of production:
- Building
- Soap
- Water
- Rags
- Vacuums
- Workers
Opportunity cost:
- Washing car at home to save money
Trade off:
- Less vacation time during the summer