Market - An actual or nominal place where forces of demand and supply operate, and where buyers and

sellers interact (directly or through intermediaries) to trade goods, services, or contracts or instruments, for
money or barter.

Consumer goods - Broad category that covers mass-market items divided into consumer durables, consumer
non-durables, and soft goods. See also consumer product.

Labor Market - The nominal market in which workers find paying work, employers find willing workers, and
wage rates are determined.

Stock Market - a place where shares are bought and sold, i.e. a stock exchange.

Demand - The aggregate quantity of a product or service estimated to be bought at a particular price.

Demand Curve - Graph curve that normally slopes downward towards the right of the chart (except for a Giffen
good, where it slopes toward the left), showing quantity of a product (good or service) demanded at different price
levels.

Labor Force - Number of individuals in an economy who either are employed or are seeking employment.

Savings - The portion of disposable income not spent on consumption of consumer goods but accumulated or
invested directly in capital equipment or in paying off a home mortgage, or indirectly through purchase of securities.

Investment - Money committed or property acquired for future income.

Supply - The total amount of a product (good or service) available for purchase at any specified price.

Taxes - Compulsory monetary contribution to the state's revenue, assessed and imposed by a government on the
activities, enjoyment, expenditure, income, occupation, privilege, property, etc., of individuals and organizations.

Wages - Monetary remuneration computed on hourly, daily, weekly, or piece work basis. A fixed weekly or monthly
wage is usually called a salary.

Monopoly - Market situation where one producer (or a group of producers acting in concert) controls supply of a
good or service, and where the entry of new producers is prevented or highly restricted.

Monopolistic Competition - Market situation midway between the extremes of perfect competition and monopoly,
and displaying features of the both. In such situations firms are free to enter a highly competitive market where
several competitors offer products that are close (but not perfect) substitutes and, therefore, prices are at the level of
average costs (a feature of perfect competition)

Non-price competition - Market situation in which competitors would not lower prices for fear of a price war.
Instead they focus on extensive promotions to highlight the distinctive benefits or features of their products. Non
price competition is an anomaly in a free market systems based on price-quantity relationship.

Foreign exchange rate - Conversion rate of one currency into another. This rate depends on the local demand for
foreign currencies and their local supply, country's trade balance, strength of its economy, and other such factors.

Market Equilibrium - A situation in which the supply of an item is exactly equal to its demand. Since there is neither
surplus nor shortage in the market, price tends to remain stable in this situation.

Elasticity - Measure of the responsiveness of demand and supply of a good or service to an increase or decrease
in its price.
Income - Consumption that, at the end of a period, will leave an individual with the same amount of goods (and the
expectations of future goods) as at the beginning of that period. Therefore, income means the maximum amount an
individual can spend during a period without being any worse off.

Taste - this is usually a synonym for preferences, in the sense of attitudes toward different goods.

Complement - refers to supporting or enhancing something and is the usage you would probably see more in a
business context

Population - All elements, individuals, or units that meet the selection criteria for a group to be studied, and from
which a representative sample is taken for detailed examination. The total of all populations is called a universe.

Overseas Filipino Workers - a person from the Philippines who is living and working in another country, typically
on a temporary basis.

Production Capacity - Volume of products that can be generated by a production plant or enterprise in a given
period by using current resources.

Resources - An economic or productive factor required to accomplish an activity, or as means to undertake an

enterprise and achieve desired outcome. Three most basic resources are land, labor, and capital; other resources
include energy, entrepreneurship, information, expertise, management, and time.

Economic Rent - Difference between what a factor of production (capital, land, labor) is earning, and what it could
earn in the next best-paid employment.

Public Goods - An item whose consumption is not decided by the individual consumer but by the society as a
whole, and which is financed by taxation. A public good (or service) may be consumed without reducing the amount
available for others, and cannot be withheld from those who do not pay for it.

PRODUCTS APPLYING SRP

CANNED GOODS LAUNDRY SOAP BATTERIES

PROCESSED MILK BOTTLED WATER

POWDERED MILK CANDLES

COFFEE MEAT LOAFS

BREAD TASTY LUNCHEON MEAT

INSTANT NOODLES CORNED BEEF

SALT CONDIMENTS

DETERGENT SOAP TOILET SOAP