Factors of Production JSS 1 Business Studies

Subject: Business Studies
Class: JSS 1
Term: Second Term
Week: 2
Topic: Factors of Production
Sub-topic: Understanding the Four Factors
Duration: 40 minutes
Entry Behaviour: Students are expected to recall basic knowledge about goods and services.
Key Words: Land, Labor, Capital, Entrepreneurship
Behavioral Objectives: By the end of the lesson, students should be able to define and provide examples of each factor of production.

Embedded Core Skills: Critical thinking, Communication, Collaboration
Learning Materials: Whiteboard, markers, charts, examples of goods and services.

Content:

Factors of Production:

1. Land: Natural resources like soil, water, and minerals. Example: Farmland for growing crops.
2. Labor: Human effort and skills used in production. Example: Workers in a factory making products.
3. Capital: Tools, machines, and buildings used for production. Example: A computer in an office.
4. Entrepreneurship: Taking risks and organizing resources to create goods or services. Example: Starting a small business like a bakery.

Understanding these factors helps us see how things are made and how businesses operate.

1. Land is a factor of production that includes __________ resources like soil and water. a. Human b. Natural c. Capital d. Financial
2. Labor involves human effort and __________ in production. a. Capital b. Skills c. Machines d. Buildings
3. Capital includes tools, machines, and __________ used for production. a. Labor b. Land c. Buildings d. Equipment
4. Entrepreneurship involves taking risks and organizing resources to create goods or __________. a. Services b. Buildings c. Machines d. Landscapes
5. Farmland for growing crops is an example of __________. a. Labor b. Capital c. Entrepreneurship d. Land
6. Workers in a factory making products represent the factor of production called __________. a. Entrepreneurship b. Land c. Labor d. Capital
7. A computer in an office is an example of __________. a. Land b. Capital c. Entrepreneurship d. Labor
8. Starting a small business like a bakery demonstrates __________. a. Labor b. Land c. Entrepreneurship d. Capital
9. Natural resources like minerals fall under the factor of production known as __________. a. Capital b. Labor c. Entrepreneurship d. Land
10. The factor of production involving human effort and skills is __________. a. Capital b. Land c. Labor d. Entrepreneurship
11. Tools, machines, and buildings used for production are part of __________. a. Entrepreneurship b. Labor c. Capital d. Land
12. Taking risks and organizing resources to create goods or services is associated with __________. a. Land b. Capital c. Entrepreneurship d. Labor
13. A factor of production that encompasses soil, water, and minerals is __________. a. Capital b. Entrepreneurship c. Labor d. Land
14. The factor of production that involves starting a business and taking risks is __________. a. Labor b. Entrepreneurship c. Land d. Capital
15. In the context of factors of production, natural resources are categorized under __________. a. Labor b. Land c. Capital d. Entrepreneurship

Presentation

• Step 1 (Revision): The teacher revises the previous topic, which was “Introduction to Business Studies.” Emphasis will be placed on the importance of understanding the basics of business in today’s world.
• Step 2 (Introduction of New Topic): The teacher introduces the new topic, “Factors of Production,” explaining that these are the resources needed to create goods and services. The four factors—Land, Labor, Capital, and Entrepreneurship—will be explored.
• Four Factors of Production:
  • Land, Labor, Capital, Entrepreneurship.
• Natural Resource under Land:
  • Example: Soil used for farming.
• Concept of Labor:
  • Labor involves human effort and skills applied in the production of goods and services.
• Real-life Example of Capital in Business:
  • Example: Machines and equipment used in a factory.
• Entrepreneurship and its Importance:
  • Entrepreneurship is the process of starting and managing a business, involving risk-taking and resource organization. It’s essential for business as it drives innovation, creates job opportunities, and contributes to economic growth.
• Definition of Factors of Production:
  • Factors of production are the resources (land, labor, capital, and entrepreneurship) used to produce goods and services in an economy.
• Crucial Understanding for Business Success:
  • Understanding these factors is crucial for efficient resource allocation, cost management, and strategic decision-making, leading to business success and sustainability.
• Contribution of Labor to Production:
  • Labor contributes by providing the necessary human skills and effort in the production process, ensuring tasks are completed effectively.
• Business Showcasing Entrepreneurship:
  • Example: A small bakery started by an individual who took the initiative to create a unique product and manage the business.
• Types of Capital in Businesses (Partner Discussion):
  • List can include Financial Capital (money), Human Capital (skills and knowledge), and Physical Capital (machinery and tools).
• Step 3 (Teacher’s Activities):
  • Define and explain each factor of production.
  • Provide real-life examples for better understanding.
  • Encourage students to ask questions and participate in discussions.
• Learners’ Activities:
  • Take notes on definitions and examples.
  • Engage in class discussions by sharing their understanding.
  • Ask questions for clarification.
• Assessment: Observations during class discussions and students’ participation in answering questions.
•  Evaluation:
  1. What are the four factors of production?
  2. Give an example of a natural resource under the factor of land.
  3. Explain the concept of labor in the context of production.
  4. Provide a real-life example of capital used in a business.
  5. What is entrepreneurship, and why is it essential for business?
  6. Define factors of production in your own words.
  7. Why is understanding these factors crucial for business success?
  8. How does labor contribute to the production process?
  9. Share an example of a business that showcases entrepreneurship.
  10. Discuss with a partner and list different types of capital used in businesses.
• Conclusion:
  • The teacher goes round to mark and address any misconceptions or questions students may have. Reinforces the importance of factors of production in the business world.