Nature of a business
What is the aim of most business?
To gain a profit
How does legal aspect effect a business?
Laws that regulate how businesses operate are part of this environment
What is a business plan?
This written document outlines the goals, strategies, and operations of a business.
focuses on task specialisation and efficiency.
What is the human resources?
Acquisition, Developing, Maintenance, Separation
Businesses who sell intangible products such as transport or education are in which sector?
Tertiary
What are some examples of external business factors?
Customers, competitors, and suppliers are all part of this environment.
What is establishing a new business?
When a business starts from scratch rather than buying an existing one, it is called this.
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What is marketing?
This function ensures goods and services are promoted and sold.
What is production
The term used to describe when a business combines resources to satisfy needs and wants
What is the economic environment?
Interest rates, unemployment, and inflation are part of this environment.
What are strengths, weaknesses, opportunities, and threats?
A SWOT analysis examines these four areas.
What is the behavioural management approach?
The participative or democratic management style is part of this approach.
What is finance?
The function responsible for budgeting, cash flow, and profits.
What is a large enterprise?
A large business with more than 200 employees is classified as this.
What is the socio-cultural environment?
Social attitudes, beliefs, and values influence this type of environment.
What is a private or public company?
This legal structure gives owners limited liability.
What is the systems approach?
This modern approach sees the business as interdependent parts working together.
What are inputs?
The operations function focuses on turning these into outputs.
What is value-adding?
The process of turning raw materials into finished goods is known as this.
What is the technological environment?
Changes in automation and digital platforms are examples of this environment.
What is the financial plan/forecasts section?
The part of a business plan that explains financial forecasts.
What are the circumstances/situations faced by the business?
The contingency approach suggests management styles should adapt to these.
How do you calculate profit?
Revenue - Expenses