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Business Definitions

Business Definitions
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Business Terms and Definitions

Knowing the right investment terms and definitions is the key to making the right choices when making business decisions, whether it is investing in the stock market, buying real estate, or putting your hard earned money in a retirement fund like a 401k or SEP plan.

If you are trying to find a job, starting a business, or if you are simply looking to bolster your knowledge about the economy, the best course of action is to learn crucial terms and definitions.

Many of the terms and definition are standard in everyday conversation and you probably already know them, but many are not. You may never hear the term "Intrinsic Value" unless you are knowledgeable about stock options and other securities.

Although most words and phrases remain the same year after year, there are always new words being added. Some of the popular words and phrases of last year are not used today and some of today's words and phrases will be obsolete next year.

When was the last time you heard someone say, "let's do lunch?" "Surfing the web" has also gone the way of the dinosaur.

The most successful investors know the importance of understanding definitions of words and terms as they relate to business, finance, and economic trends. They keep up with the daily changes that take place in the business vocabulary.

Business people have a need to know what they are talking about because what they say, and how they say it can make or break an investment opportunity, so they keep up with the lingo, they understand it, and they learn how to use it to their advantage.

Today, there is a lot of talk about investing. There is the stock market where millions of dollars are made and lost every day. The bulls and the bears may be out on any given day and no one is confident where they are heading. The real estate and mortgage markets are going through convulsions, unemployment figures are skyrocketing, jobs are being outsourced, and oil and gas prices are ridiculously high.

Most people don't have big bank accounts to play with, so they want to make sure that their hard earned money remains safe and secure and they are not thrilled about gambling with it. Unlike the wealthy, they will never be involved in high stake business ventures.

The biggest investment most people will ever make is the purchase of a home, but buying a home requires more knowledge and understanding today than ever before.

If you listen to the news or read about it online, you know that words like identity theft, predatory lending, subprime loans, the slumping housing market, recession, inflation, foreclosure, bankruptcy, government intervention, takeover bids, and NAFTA are the prime time words of today. Some of these words and terms have always been around and some are new to the dictionary.

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