Economics examines the management of limited resources against unlimited human wants. This disparity creates scarcity, forcing individuals, firms, and governments to make choices. These decisions occur within markets, where buyers and sellers meet to facilitate transactions through the supply process.

Stakeholders are entities influenced by business operations. Internal stakeholders, such as owners and employees, have a direct interest in the firm’s success. External stakeholders, including customers, suppliers, and the government, are indirectly affected by the organization’s decisions and performance.