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Business Essentials / Edition 6

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Overview

This best-selling book presents a brief "no-nonsense" approach to the fundamentals of business which spans the range of all functional areas—management, marketing, operations, accounting, information systems, finance, and legal studies.A six-part organization introduces readers to the basics of the business system in the U.S.; addresses the management side of business; looks at human resources, marketing, and the way business manage information for both internal users and for reporting to external constituents; and finally, presents the financial elements of business.For anyone preparing for a business career in the third millennium.

A New York State Supreme Court Justice addresses the many ways the judicial and penal system in America is biased against blacks.

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Editorial Reviews

Booknews
This textbook introduces the U.S. business system, the organization of companies, human resource management, the principles of marketing, information systems, accounting, banking, and investment. Topics include business ethics, labor relations, consumer behavior, product pricing, and the federal reserve system. The fourth edition adds real-life case studies. Annotation c. Book News, Inc., Portland, OR (booknews.com)
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Product Details

  • ISBN-13: 9780132287852
  • Publisher: Prentice Hall
  • Publication date: 10/16/2006
  • Edition description: Older Edition
  • Edition number: 6
  • Pages: 544
  • Product dimensions: 8.60 (w) x 11.04 (h) x 0.87 (d)

Meet the Author

Ronald J. Ebert is Emeritus Professor at the University of Missouri-Columbia where he lectures in the Management Department and serves as advisor to students and student organizations. Dr. Ebert draws upon more than 30 years of teaching experience at such schools as Sinclair College, University of Washington, University of Missouri, Lucian Blaga University of Sibiu (Romania), and Consortium International University (Italy). His consulting alliances include such firms as Mobay Corporation, j Kraft Foods, Oscar Mayer, Atlas Powder, and John Deere. He has designed and conducted management development programs for such diverse clients as the American Public Power Association, the United States Savings and Loan League, and the Central Missouri Manufacturing Training Consortium.

His experience as a practitioner has fostered an advocacy for integrating concepts f with best business practices in business education. The five business books he has written include translations in Spanish, Chinese, Malaysian, and Romanian languages. Dr. Ebert has served as the editor of the Journal of Operations Management. He is a past-president and fellow of the Decision Sciences Institute. He has served as consultant and external evaluator for Quantitative Reasoning for Business Studies an introduction-to-business project sponsored by the National Science Foundation.


Ricky W. Griffin is Distinguished Professor of Management and holds the Blocker Chair in Business in the Mays School of Business at Texas A&M University. He also currently serves as executive associate dean. He previously served as Head of the Department of Management and as director of the Center for Human Resource Management at Texas A&M. His research interests include workplace aggression and violence, executive skills and decision making, and workplace culture. Dr. Griffin's research has been published in such journals as Academy of Management Review, Academy of Management Journal, Administrative Science Quarterly, and Journal of Management. He has also served as editor of Journal of Management. Dr. Griffin has consulted with such organizations as Texas Instruments, Tenneco, Amoco, Compaq Computer, and Continental Airlines.

Dr. Griffin has served the Academy of Management as chair of the organizational behavior division. He has also served as president of the southwest division of the Academy of Management and on the Board of Directors of the Southern Management Association. He is a fellow of both the Academy of Management and the Southern Management Association. He is also the author of several successful textbooks, each of which is a market leader. In addition, they are widely used in dozens of countries and have been translated into numerous foreign languages, including Spanish, Polish, Malaysian, and Russian.

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Table of Contents

Preface xvi
Part I Understanding the Contemporary Business Environment 2
Chapter 1 Understanding the U.S. Business System 2
Chapter 2 Understanding the Global Context of Business 30
Chapter 3 Conducting Business Ethically and Responsibly 58
Chapter 4 Understanding Entrepreneurship and Small Business 86
Part II Understanding the Business of Managing 114
Chapter 5 Managing the Business Enterprise 114
Chapter 6 Organizing the Business Enterprise 140
Chapter 7 Managing Operations and Improving Quality 164
Part III Understanding People in Organizations 194
Chapter 8 Motivating, Satisfying, and Leading Employees 194
Chapter 9 Managing Human Resources and Labor Relations 220
Part IV Understanding Principles of Marketing 250
Chapter 10 Understanding Marketing Processes and Consumer Behavior 250
Chapter 11 Pricing, Promoting, and Distributing Products 278
Part V Managing Information 306
Chapter 12 Managing Information Systems and Electronic Commerce 306
Chapter 13 Understanding Principles of Accounting 332
Part VI Understanding Financial Issues 362
Chapter 14 Understanding Money and Banking 362
Chapter 15 Understanding Securities and Investments 386
Appendix I Understanding Financial Risk and Risk Management 413
Appendix II Understanding the Legal Context of Business 425
Notes, Sources, and Credits 435
Glossary 449
Name, Company, Product Index 465
Subject Index 471
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Preface

One way a textbook, or any successful product, succeeds in the long term is by close reevaluation on a regular basis and attention to market feedback. Based upon our market observations and your suggestions, we've streamlined Business Essentials to 15 chapters, organized into 6 parts, plus 2 appendixes. This streamlined organization should make the material even more manageable for both semester and quarter courses. The strengths that have made it the market bestseller continue:

  • Cutting edge
  • Current
  • Succinct
  • Price sensitive

What's new ...

New! IT'S A WIRED WORLD

In each chapter, boxes titled "It's a Wired World" offer brief real-world examples of steps established businesses are taking to keep pace with both new and old competitors in the e-business environment.

New! WEB Connection

Each chapter contains a new feature called "WEB Connection" that relates the Internet to the chapter's topics. The WEB Connection includes a real company's URL, screen shot, description of the company's mission, and an Action Challenge posted on the companion Web site for the book.

New! Exercising Your Ethics

To bring ethics to the forefront, we've introduced a new end-of-chapter feature, "Exercising Your Ethics," to motivate students to resolve an ethical situation. Each dilemma includes a description of the situation and then concludes with student questions that focus on how to approach and resolve an ethical challenge.

New! Video Cases and Exercise

The fourth edition of Business Essentials includes a brand new videolibrary. Each chapter now concludes with an engaging video exercise that puts chapter concepts into a dramatic real business context. Each video exercise asks students to analyze an interesting real company and includes discussion questions and assignment material.

Hallmark Strengths! Fully Updated!

New! Two Part Case Vignettes

To engage students in real-life business situations, each chapter opens with a compelling vignette describing how an individual or organization has responded to an opportunity or challenge.

The story continues...

The story is then revisited at the end of the chapter, where it concludes with more information and follow-up questions tailored to help students analyze the case, either on their own or in class as a group activity. All vignettes have all been fully updated to keep current.

End-of Chapter Activities Fully Updated

Exploring the Web Exercises.

In these exercises, students are directed to the Internet and given hands-on activities designed to enhance their understanding of important chapter topics.

BuildingYour Business Skills

These popular end-of-chapter exercises consist of activities that allow students to apply their knowledge and critical thinking skills to an extended problem drawn from a wide range of realistic business experiences. Each of these exercises has been specifically designed to satisfy the general criteria laid out in the Secretary of Labor's Commission of Achieving Necessary Skills (SCANS) requirements.

Crafting Your Business Plan Exercises

These chapter-ending exercises have been streamlined to make it easier for students to grasp and complete quickly. Students examine sample plans from a variety of businesses using the Windows-based Business Plan Pro 4.0 software. Students and instructors can also take the exercises further if they choose because this powerful educational version also allows students to begin creating their own professional business plans with step-by-step instructions. Version 4.0 allows planners to publish plans to a protected Internet site, where students can access all or part of posted plans. The educational version of the best-selling Business PlanPro Software can be packaged with the text for a nominal additional cost of $10.00.

Contemporary Themes Integrated Throughout the Text

Greater Attention on Business-to-Business Relationships

Although many students and observers of business are familiar with business-to-consumer transactions, they are less aware of the enormous world of business-to-business commerce. To give students more awareness, we have presented examples that reveal the economic significance of B2B relationships throughout the fourth edition. Here are a few examples...

  • In Chapter 1 the box entitled "Electronic B2B in Auto Industry" provides a great illustration on B2B transactions and relationships among companies.
  • In Chapter 4 in the section entitled "Importance to Big Business," we describe how small businesses buy from and sell to big businesses, a good example of B2B transactions.
  • In Chapter 7 the section entitled "Supply Chain Management" describes Dell computer's supply chain and how Dell links its activities to those of its suppliers and shippers.

Successes and Failures with E-business

The enormous number of online startups, as well as the entry into e-commerce of traditional brick-and-mortar firms, continue to have a profound impact on consumers and the worldwide economy. Each chapter includes "It's a Wired World" boxes that show examples of a success or failure on some firm's e-business experience. Plus, throughout the book we discuss requirements the e-business model imposes on employees, workplace behavior, marketing, organizational design, suppliers, and customers. Here are a few examples...

  • In Chapter 9, see "Companies Put Web to Work as Recruiter": It shows how several organizations (e.g., DVCi Technologies, U.S. Army, Andersen Consulting) use the Internet for recruiting.
  • In Chapter 10, the box entitled "Better Health Through Cyberspace Demographics" shows how Network Health Systems uses online data gathering and data warehousing to help other businesses better manage the health care risks for their employees.
  • In Chapter 15, the box entitled "Opening the Portals to Cross-Border Trading" reveals how European stock markets (e.g., Frankfurt, Germany) are using e-technology that allows cross-border stock trading that was not previously feasible.

Supply Chain Management

Supply chains have become a prominent business resource for improving customer service and for increasing the added value as materials move from initial sources to final destinations. Chapter 7, "Managing Operations and Improving Quality," addresses supply chain strategy and explains how supply chain management gets better results for chain members and end consumers.

Growth of International Business

Many business people and observers of the business world see globalization of the economy as the great challenge for this new century. To keep students aware of this challenge, we have based many of the examples, vignettes, and assignments in this book on the experiences of global companies. Chapter 2, "Understanding the Global Context of Business," provides full coverage of this important topic. Here are a few examples...

  • In Chapter 5, the section entitled "Setting Strategic Goals" describes strategic goal setting by Volkswagen's CEO for global performance in European and U.S. markets.
  • In Chapter 10, the section entitled "The International Marketing Mix" discusses international variations for product, pricing, promotion, and distribution decisions.
  • In Chapter 14, the section entitled "The International Payments Process" illustrates the steps in the international flow of funds with an example of payments and transactions for business exchanges between a Greek firm and a U.S. firm.

Significance of Entrepreneurship and Small Business

We recognize that many students will not go to work for large corporations; we have provided balanced coverage of both small and large companies throughout the text. Chapter 4, "Understanding Entrepreneurship and Small Business," is comprehensive. In addition, examples throughout the book deal with small businesses and entrepreneurial actions, and many chapters contain sections that apply specific practices and issues to the special concerns of small business.

Here are a few examples...

  • In Chapter 1, the section entitled "Entrepreneurs" discusses James Kimsey and the start-up of AOL, followed by its evolution into a large firm.
  • In Chapter 3, the opening vignette for the chapter presents the evolution of Patagonia from its beginnings as a small business.
  • In Chapter 10, the section "Small Business and the Marketing Mix" discusses small-business variations for decisions on products, pricing, promotion, and distribution.

Need to Manage Information and Communication Technology.

In our information-based society, the people and organizations who learn how to obtain and use information will succeed. The explosive growth of information systems stems from fast-paced emergence of communications technologies that provide instant and wireless linkages among people and organizations. We cover this important topic in detail in Chapter 12, "Managing Information Systems and Electronic Commerce."

Role of Ethics and Social Responsibility.

Because business ethics and social responsibility have been generating much discussion in recent years, we devote a full chapter to this topic, Chapter 3, "Conducting Business Ethically and Responsibly." We also treat issues of business ethics and social responsibility in our examples and cases. For further insights we have included at the end of each chapter a new feature called "Exercising Your Ethics," which challenges students to resolve an ethical dilemma relating directly to the topics discussed in the chapter.

Companion Web Site for Students and Faculty!

The Companion Web site is a fully customizable environment that ties students and faculty to text-specific resources. This powerful Prentice Hall Web site offers chapter-specific current events, Internet exercises, and downloadable supplements. The site also includes an online study guide containing true/false, multiple-choice, and essay questions.

Interested in an online stock market game try liven-up your course?

Visit our Companion Web site for a link to fantasystockmarket.com to introduce your students to the challenging world of personal investing. Available on the instructor's side of the site is a concisely written stock market game integration guide to ease your use of this real-world learning tool.

Special Features

  • Individual homepages for students and faculty. These pages provide easy, one-click navigation to our vast, dynamic database of online teaching and learning resources. Faculty and students can organize the online resources for all of their classes on this single, customizable homepage.
  • A powerful new point-and-click syllabus creation tool that faculty can use for each course and section they teach. Additionally, faculty can annotate and link each resource on the Companion Web site to their syllabi. Faculty can even upload their own personal resources to our site and have these resources available to their students via their personalized syllabus.
  • Faculty can post messages set to appear automatically on every student homepage for any length of time.

Online Resources

The continuous evolution of online course materials at Prentice Hall has taken us from providing a course management shell to offering robust material that could be incorporated into that shell. Now, we are raising the bar again by offering a prebuilt online course that can be used as is or tailored to I your specific needs.

This Special Online Course for Business Essentials, 4e provides a wealth of material to enhance the student experience and is available in the Blackboard, CourseCompass, and WebCT platform.

It includes the following...

  • Each chapter is divided into Lessons, which explain important chapter concepts and expand definition of key terms.
  • Each lesson begins with a prereadiness assessment quiz.
  • Learning Activities follow and take the information presented in the chapter and use it to give students an experiential understanding of the concepts.
  • In each lesson, students will complete an application—either a "You Have Mail" or an "Out of the Box" exercise. The "You Have Mail" exercises ask students to use what they have just learned to answer a question posed by a fictional supervisor, coworker or client. The "Out of the Box" exercises allow students to defend opinions and invent creative solutions to practical problems.
  • Lastly, students will complete a post-assessment quiz to examine proficiency.

An Unparalleled Supplements Package

The instructional resource package accompanying this text is specially designed to simplify the task of teaching and learning. Several new and exciting items have been added.

All New! Instructor's Resource Manual

This all-new, comprehensive manual contains time-saving resources to making prepping this course a snap. Each chapter contains:

  • brief chapter outline and chapter summaries
  • changes to the new edition
  • detailed lecture outlines and notes customized for both PowerPoint users and acetate users
  • sample syllabi
  • pop quizzes for every chapter
  • answers to all end-of-chapter questions, problems, and assignments
  • a detailed Video Guide with answers to video exercise questions
  • suggested classroom exercises and classroom projects, and supplemental cases
  • useful Web sites

All New! Test Item File

This new two-volume Test Item File contains approximately 4,000 questions, all of which have been carefully checked for accuracy and quality. This comprehensive set consists of multiple-choice', true/false, and essay questions. Each test question is ranked by level of difficulty (easy, moderate, or difficult) and contains section and learning objective references to allow the instructor a quick and easy way to balance the level of exams or quizzes. In addition, we have a special section that contains test questions for all boxed features and vignettes in each chapter. The Test Item File reinforces students' understanding of key terms and concepts and requires them to apply their critical-thinking and analytical skills. In addition, this test item features two pre-created sample tests for every part plus a mid-term and final exam for immediate use or distribution—an arrangement that provides both maximum flexibility and ease of use.

All New! Prentice Hall's Computerized Test Manager 4.2—ESATEST 2000 (Windows Version)

Our user-friendly software allows you to generate error-free tests quickly and easily by previewing , questions individually on the screen and then selecting randomly by query or by number. The Computerized Test Manager allows you to generate random tests with our extensive bank of questions. You can also edit our questions/answers and even add some of your own. You can create an exam, administer it traditionally or online, and analyze your success with the simple click of the mouse. The newest version of our Computerized Test Manager, ESATEST 2000, has been improved to provide users with a vast array of new options.

All New! Telephone Test Preparation

For those instructors who prefer not to use the Computerized Test Item File, Prentice Hall provides a special 800 call-in service for ease of use. All you need to do is call the 800 Testing Help Desk to have a customized test created. The test can then be delivered by e-mail, U.S. mail, or overnight carrier.

All New! Color Acetate Transparency Program

A set of color transparency acetates, available to instructors on request, highlights text concepts and supplies additional facts and information to help bring concepts alive in the classroom and enhance the classroom experience. All are keyed to the Instructor's Resource Manual.

All New! Videos

A set of 15 specially selected videos (one for each chapter) is available to adopters.

  1. Factors to Consider: Lands' End
  2. Entering the Global Marketplace: Lands' End and-Yahoo!
  3. Catering to Serious Users: Patagonia
  4. Doing Business Privately: Amy's Ice Creams
  5. The Management Picture: Quick Takes Video
  6. The Management Picture: Quick Takes Video
  7. Channeling Resources: Regal Marine
  8. Learning to Motivate: Student Advantage
  9. Channeling Human Resources: Showtime
  10. Niche Noshing: Terra Chips
  11. Promoting White Moustaches: The "Got Milk?" Campaign
  12. Space Age IT at Boeing
  13. Accounting for a Few Billion Sold: McDonald's
  14. The World's Lenders: The World Bank and the IMF
  15. Information Pays Off: Anatomy of a Stock Trade

All New! PowerPoint Presentation

Enhance your classroom presentations with this well-developed PowerPoint presentation set. More than 500 text-specific PowerPoints highlight fundamental concepts by integrating key graphs, figures, and illustrations from the text. PowerPoint slides come complete with lecture notes, which are available in the Instructor's Resource Manual or on the Instructor's Resource CD. Free to adopters, PowerPoints are available on CD or can be downloaded from the Instructor's Resource Web site.

New Version! Business PlanPro Software Business and Exercises

Business PlanPro 4.0 (BPP) software provides students with a step-by-step approach to creating a comprehensive business plan. Preformatted report templates, charts, and tables do the mechanics so students can focus on the thinking. Business PlanPro software can be packaged with the textbook for a nominal fee of $10.

All New! Mastering Business Essentials CD

Mastering Business Essentials is the first fully integrated CD-ROM that uses video-enhanced interactive exercises that are truly cross-functional. The CD revolves around the e-business Canto, an online entertainment company that is faced with real-world, on-the-job predicaments. The twelve interactive episodes are presented on the last page and inside back cover linking the appropriate chapters with the matching episodes. The format for each episode includes:

(1) unique video scenarios that set up each episode
(2) informative and stimulating interactive exercises with follow-up video clips
(3) additional case and discussion questions.

The Mastering Business Essentials CD can be shrink-wrapped with this text for FREE!
The following topics are covered:

  • The Goal of the Firm and Social Responsibility
  • The Economic Way of Thinking
  • Ethical Issues
  • Concepts of Strategic Management
  • Working in Groups and Teams
  • Work Motivation
  • Leadership
  • Marketing Concepts/Strategy
  • Understanding Consumer Behavior
  • Strategy and Operations
  • Managerial Accounting and Cost Behavior
  • Raising Capital

All New! E-Business and E-Commerce Supplement

In the new world of business, you'll run into e-commerce no matter what direction you turn. Take your students behind the scenes to explore the dynamic world of e-business with this new value-pack supplement. This unique print supplement provides an overview of the basic concepts of e-business and e-commerce, an introduction to popular search sites, a wide range of business-related sites and addresses, and an up-to-the minute look at online job searches and career sites. The Web component of this supplement provides updated coverage of the latest trends, challenges, and hot concepts in e-commerce, plus additional interactive exercises. This great supplement can be value-packaged with the text for FREE!

All New! Financial Times Offer

We are pleased to announce our new partnership with the Financial Times to offer a 15-week print subscription for $10 with our this text. The Prentice Hall textbook + subscription package will contain a 16-page, full-color Financial Times Student Guide, shrink-wrapped with the textbook. Bound inside the Student Guide will be a postcard that entitles the student to claim a prepaid 15-week subscription. The student mails in the reply card and the subscription should begin in 5 to 7 business days.

Study Guide

A Student Study Guide reinforces key concepts and tests student comprehension. For each chapter the following items are included: learning objectives, questions (true/false, multiple-choice, short-answer, essay, and critical-thinking), instructional games matching terms and definitions, word scramble, and a brain teaser to reinforce study skills and provide core study tips.

Beginning Your Career Search, 2nd edition

This concise book by James S. O'Rourke IV offers some straightforward, practical advice on how to write a resume, where and how to find company information, how to conduct oneself during an interview, marketing yourself online, and tips on the interview process. Included in the book are copies of sample introductory, cover, follow-up, and thank-you letters. This book can be value-packed with the text at no additional cost.

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