Learn: Resources Needed for Production

Welcome!Today we'll learn about resources needed for production. These are essential for making goods and services, so let's explore what they are and why they matter!

What are resources?Resources are inputs a business uses to produce goods or services. These are categorised into land, labour, capital, and enterprise. Together, they form the foundation of production.

LandLand refers to natural resources such as minerals, water, and land itself. Businesses rely on these for production, like using farmland for crops or oil for energy.

LabourLabour is the workforce used in production, such as employees who design, manufacture, or sell products. Skilled labour is especially important for high-quality production.

CapitalCapital refers to equipment, tools, and money used in production. Examples include machinery, technology, and vehicles, which help businesses produce efficiently.

EnterpriseEnterprise is the initiative and organisation by entrepreneurs to combine resources and create a business. Entrepreneurs take risks to bring ideas to life.

Why are resources important?Without resources, businesses cannot produce goods or services. Careful management of land, labour, capital, and enterprise ensures efficiency and profitability.

Review Time!Great work! You've learned about the four key resources: land, labour, capital, and enterprise. Let's test your understanding with a few more questions.