BUSINESS STUDIES
YEAR 7 SECOND
TERM
WEEK ONE
• TOPIC : FACTORS OF PRODUCTION
The term factor of production is defined as all the visible and invisible resources that are combined
together for the purpose of production of goods and services.There are four factors of production.
1. Land
2. Labour
3. Capital
4. Entrepreneur
• LAND: This is refers to the gift of nature or all the natural resources
available,applied and used for production without the help of a man. It includes
the fixed natural land and other natural resources such as water,forest,mineral
deposits etc. the reward for rent.
• Features of land
1. Land is immobile i.e. the location of land cannot be changed. It is fixed
2. The value of land varies from one location to another.
3. It is free gift of nature
4. The supply of land is limited
5. The reward for labour is rent
LABOUR:This means all human efforts physical or mental, skilled or unskilled directed toward the
production of economic goods and services. The reward of labour is wages and salaries.
Features of labour
1. Labour is mobile i.e. can move from one location to another.
2. Labour controls other factors of production
3. Labour has feelings
4. Labour requires motivation
5. Labour is not fixed
6. Labour is a human factor
CAPITAL: it is defined as the man made assets used in production. It is the man made wealth used in the
production of other goods. The reward for capital is “interest”
Features of capital
1.Capital is man made
2. Capital is durable
3. Capital exist in different forms
4. It promotes division of labour
5. Capital exist in different forms
• ENTREPRENUERS: the entrepreneur is the person who combines the all other factors of production.
He coordinates and directs the factors of production to produce goods and services.
• Features of Entrepreneurs
1. The entrepreneur takes risk in a business
2. He coordinates and manages all the other factors of production
3. The entrepreneur makes decision in the organization
4. They provide the capital
5. The reward for an entrepreneur is “profit”
Assignment
• 1. list the four factors of production.
• 2. explain the four factors of production.
WEEK TWO
TOPIC: OCCCUPATION
An occupation is what a person does for a living. It is the means of livelihood of a person. Example,
teaching, law, medicines, trading and agriculture are occupations people engage in to earn a living.
This enables them to live well in the society and rear families.
Occupation is any activity a person does to earn a living.
Some occupations do not require any formal education or training. Examples of such occupations
are farm labour, factory hands,cattle rearing etc. such occupations acquire proficiency through
experience and practice.
An occupation normally attracts wages or salary as rewards for work done.
Classification of occupation: there are five main classes of
occupation
• 1. Primary/Extractive occupation: it is occupation concerned with the production of products
that are extracted from nature. Example of Extractive occupation: farming, fishing etc.
• Secondary Occupation: they are divided into:
• 2. Manufacturing occupation: these are occupations that are engaged in conversion of raw
materials or primary product into finished goods or product. Example is the conversion of crude
oil into petroleum, kerosene, and diesel.
• 3. Construction occupation: these are occupations that are involved in the construction and building of
houses, bridges, airports, railways etc. examples of such occupations are civil engineer, bricklaying,
carpentry, architecture, etc.
• 4. Commercial /tertiary occupation: these are occupation that are directly concerned with making
goods available to the consumers. It involves trade,the act of buying and selling.
• 5. Service occupation: workers in these occupation make conducive available for their customers to
carry out other occupation. Service occupation can be divided into two. Direct and Indirect occupation.
• Direct occupation: this is the means of rendering direct services to those who employed them. It is the
service rendered straight to the final consumers. Example of direct occupation are teachers,
lawyers,doctors, tailors, accountants etc.
• Indirect occupation: it describes those occupations whose services are not for direct
consumption by the public. They are not paid directly by the consumers. They are paid by the
government from the public tax. Examples of indirect services are policemen, lawmarkers, civil
servants. Etc.
Assignment
• 1. Define occupation.
• 2. What do you understand by direct service? Give examples.
• 3. Mention the five main classes of occupation
WEEK THREE
TOPIC: OCCUPATION
• FACTORS WHICH AFFECT OCCUPATION
The following are the factors which affect occupation:
1. Education, skills and Training:
Education enables people to make choice over a wide range of jobs.
Literate people are not restricted to a particular type of job. Education
widens their scope and choice of jobs. This is however subject to a well
planned economy. A bad or unplanned economy levels everybody whether
educated or not.
skill is the knowledge and ability that enables one to do
something well. Many women engage in weaving as occupation
because they have the skill.
2. Natural resources :people in the riverine area, for example,
take fishing as occupation while those who are blessed with land
take farming as an occupation, hunter take advantage of forest
that are available in their environment.
Natural resources such as iron ore, crude oil,
minerials,coal,etc.can influence the occupation of people in a
particular environment.
3.Climate And Soil Type:
• In nigeria, it is either too much rainfall or too little of it in
certain areas. The humid regions of the South East and South
West grow oil palm trees, timber, cocoa, etc, in abundance.
The people inhabiting those areas have no better choice retain
water, have no better choice than to engage in rice and yam
production as their occupation. The Northern area encourages
groundnut, tomatoes and onions growing and cattle rearing as
occupations of the local people.
Rice farming is an occupation influenced by the soil and weather conditions
4. Family background: some people will want to take over their
family business because that is what their parents practiced and
also to keep the legacy of the family alive.
5. Religious beliefs: some people are unable to practice certain
professions on religious grounds.
6. Talent and skills: a lot of people are naturally talented in
certain areas of human endeavor so it is easy for them to
embrace certain occupation.
7. Passion: some people are attracted to a particular occupation
not because of the reward, fame or family background, but
because of the passion they have for the profession.
Differences Between Direct And
Indirect Services
• Direct service occupation involves people who are privately
employed in activities that provide amusement,
entertainment and personal services to others. People
perform such services in order to earn a living from those who
benefit from their services. Such services are rendered by
lawyers, musicians, authors, barbers etc.
• Indirect service occupations are provided by people who are
employed by government and paid with tax money paid by
citizens. Their services are enjoyed by people who do not pay
for them directly but indirectly through tax payment. They
include doctors, nurses, teachers, police, army etc.
WEEK FOUR
• TOPIC: ETHICS IN SOURCING CHEMICAL
WEEK FIVE
• TOPIC: ENTREPRENEURSHIP
WEEK SIX
• TOPIC: SUCCESSFUL ENTREPRENEURS
