A1 Human Resources as a Factor of Production
Factors of production are the inputs required to produce a good or service. They can be classed and land, labour, capital and enterprise.
Land includes the plot of commercial property and anything that comes from the land such as raw materials and resources such as oil and gas.
Labour (human resources) refers to the human effort needed to produce a good or service. This may include a range of different skills across many staff.
Capital refers to the financial investment in a business which can be used to invest in assets.
Enterprise refers to the ideas and drive to combine all other factors to produce the good or service. It usually refers to the entrepreneur of the business.
