Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
PPT 1-15
Nonprofit Organizations
Nonprofits use the same principles and skills you will learn
in this class.
PPT 1-16
Well-Known Nonprofits in the United
States
1. This slide provides a listing of well-known non-
profit organizations in the United States.
2. Some of the better known nonprofit organizations
include Salvation Army, United Way, and the
American Red Cross.
3. Ask students to identify smaller, local nonprofit or-
ganizations and discuss how they contribute to the
community’s quality of life.
PPT 1-17
Keeping Strong Employees at
Nonprofits
1. Since few nonprofits can compete for qualified em-
ployees by offering higher salaries, they must find
other ways to recruit, hire, and retain workers.
2. Many nonprofit workers choose to accept lower
wages in exchange for the feeling that they are
helping a good cause.
3. Since nonprofit work is often exhausting, managers
1-45
PPT 1-26
Government’s Role in Business
PPT 1-27
Corruption Worldwide
Canada is the 6th least corrupt, the United States is 22nd,
and Mexico is 98th out of 178 countries.
PPT 1-28
Ethics Begins with You
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
1-46
PPT 1-29
Benefits of Technology
PPT 1-30
JCPenney Keeps in Touch
PPT 1-31
E-Commerce
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
PPT 1-32
Databases and Identity Theft
PPT 1-33
Protect Yourself from Identity Theft
1. The number of ID theft cases is rising every year.
The Federal Trade Commission estimates that 9
million people per year have their identities stolen.
2. About 39% of the victims were between the ages of
18 and 39 (the same age group of many students).
3. Approximately 16% of the victims had a personal
relationship with the thief.
4. Top five states for identity theft (per capita) are Ar-
izona, California, Nevada, Texas, and Florida.
5. Ask the students, How often do you throw away
mail or other documents with your personal infor-
mation on it without shredding it? (It is becoming
imperative that we shred all documents with per-
sonal info and keep the sharing of private info such
as credit card and bank account information and
Social Security numbers to a limited number of
people.)
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
1-48
PPT 1-34
Using Empowerment to Compete in
Today’s Market
PPT 1-35
Demography
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
PPT 1-36
Demography of the U.S. by Age
1. This slide highlights the age of the population in
the United States.
2. Demography is the statistical study of the human
population in terms of its size, density, and other
characteristics such as age, race, gender, income,
and so on.
3. The slide gives insight into the aging of the popula-
tion with 66% of the population older than 24 years
old.
4. Ask the students, How will the aging of the popula-
tion impact businesses? (Businesses will need to
reexamine their approach to marketing and human
resources in order to meet the challenges facing
them. While some businesses will fail, other new
businesses will emerge creating new opportunities.)
PPT 1-37
Projected Demography of the U.S. by
Race in 2050
1. This slide gives insight into the changing ethnic
landscape of the United States.
2. Legal and illegal immigrants have had a dramatic
effect on many states.
3. Many local services, such as health care and educa-
tion, are making efforts to adapt. Some changes in-
clude changing signs, brochures, and websites to
reflect this change in demographics.
4. Ask the students, What changes have you noticed
in your particular city? (Answers may vary, but
might include bilingual signs in government offices
and the use of emergency room translators in local
hospitals.)
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
PPT 1-38
The Rise of the U.S. Hispanic
Population
1. This slide expands on the previous slides, giving
insight into the changing ethnic landscape of the
United States.
2. Ask the students, Why to you think the southwest-
ern states have the highest Hispanic populations,
while the East Coast states are among the lowest?
(Most students will probably note the obvious prox-
imity of the southwestern states to Mexico.)
PPT 1-39
U.S. Population Changes
When discussing how demographic changes experienced
in this country over the past 30 years have affected busi-
nesses, it often helps to use the grocery store as an exam-
ple. The grocery store has evolved from a market selling
primarily raw materials used to produce a meal into stores
that now serve premade products that simply involve
“heating and eating.” Why? Some would argue this
change has more to do with the two-income and single-
parent household than any other environmental factor.
Engaging students in this discussion is often useful to their
understanding of how businesses must adapt to changing
demographic circumstances.
PPT 1-40
Who Will Support Social Security
1. The number of workers per retiree has dropped
dramatically since 1950.
2. Ask the students, What impact will the decline of
the number of workers per retiree have in the fu-
ture? (In the future, government might have to
raise taxes and reduce benefits for individuals or
use a means test in an effort to prevent Social Secu-
rity payments from bankrupting the government.)
1-54
PPT 1-49
The Agricultural Era
Agriculture was the leading industry in the United States in
the 1800s. Technology has made farming so efficient, the
number of farmers has dropped from about 33% of the pop-
ulation to about 1%. However, it is still a major industry in
the United States.
PPT 1-50
The Manufacturing Era
PPT 1-51
The Service Era
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
1-55
PPT 1-52
The Information Technology Era
PPT 1-53
Progress Assessment
1. Efficiencies in agriculture led to the reduction in
farms and growth in industry that caused workers to
leave the farm and come to the cities. The growth
of efficiencies in production had the same effect as
in agriculture. As factories became more efficient
and technologically driven, workers migrated to the
service sector.
2. The information-based global revolution will alter
all sections of the economy. It will be an interesting
opportunity for college graduates.
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
1-56
lecture
links
lecture link 1-1
THE WORLD’S RICHEST PEOPLE
In 2011, there were over 1,200 billionaires in the world. According to Forbes magazine, their
combined worth was $4.5 trillion.i
RANK NAME COUNTRY OF AGE WORTH
CITIZENSHIP ($ BILLIONS)
1 Carlos Slim Helu and family Mexico 71 $74.0
2 William Gates III United States 55 56.0
3 Warren Buffett United States 80 50.0
4 Bernard Arnault France 62 41.5
lecture link 1-2
COMMUNITY COLLEGES THRIVE IN HARD TIMES
Community colleges have long been an integral part of the American higher educational system.
The affordability and accessibility of community colleges drew many students to these institutions in the
past, but never more so than in these tough economic times. The tightening of wallets across the country
is sending an unprecedented number of bright young students, many originally bound for four-year
schools, into the community college system. And while younger students may fret about their local col-
lege’s lack of brand-name prestige, many are finding out that community colleges have even more to of-
fer students than their four-year counterparts.
Chapter 01 – Taking Risks and Making Profits within the Dynamic Business Environment
Forty-six percent of students on community college campuses are now younger than 21, up from
42.5% in 2003. Overall enrollment rose 17% on average. For most, the biggest advantage to enrolling at a
community college is the cost. Average annual tuition at a community college clocks in at $2,554, com-
pared to $7,000 annually at public four-year institutions and much more at private schools. But just be-
cause the price tag is lower doesn’t mean students are getting a lower quality education. For one, commu-
nity college professors tend to be free from the pressures of publishing scholastic research and therefore
lecture link 1-3
UNEMPLOYED CLERGY ON THE RISE
The hardship of the recent recession isn’t exclusive to the secular world. Churches across the
country are feeling the financial pinch as donations and attendance in many Christian denominations
drop. As a result, an increasing number of churches have been forced to trim costs wherever they can.
Unfortunately for some, that means laying off clergy. In 2009, the government estimated that about 5,000
clergy were looking for jobs, up from 2,000 in 2005. Additionally, a survey of the National Association of
Church Business Administration found that one in every five members of the 3,000-member organization
laid off staff due to the recession.
lecture link 1-4
SOCIAL ENTREPRENEURSHIP: MERCY CORPS