Final answer:
The four factors of production in the private enterprise system are land, labor, capital, and entrepreneurship. These components are integral to producing goods and services and are managed by entrepreneurs to achieve economic success.
Step-by-step explanation:
The four factors of production in the private enterprise system are essential components that enable the creation of goods and services. These include:
- Land: This represents all natural resources used to produce goods and services.
- Labor: This encompasses the human effort used in the production of goods and services, from physical to intellectual contributions.
- Capital: This includes all tools, machinery, and buildings that are used for producing goods and services.
- Entrepreneurship: This is the drive and innovation provided by individuals who organize the other factors of production and take on the risks of starting and running businesses.
These factors are interlinked and must be effectively managed to achieve economic success in the production of goods and services. Entrepreneurs play a vital role by combining these resources to meet consumer demand and fostering growth within an economy.