Business Terms
To make the most profit possible from a given
amount of resources
What is a profit maximization?
A formal document outlining a company's goals, strategies, and financial forecasts.
What is a business plan?
The set of activities required to transport and store products and make them available to customers.
What is distribution?
a business owned by two or more people.
What is a partnership?
the study of how money is managed and the markets where investments are made
What is finance?
To identify strengths, weaknesses, opportunities, and threats related to a business venture.
What is SWOT analysis?
A financial plan for business operations for a specific
period.
What is a budget?
The study of a company’s current and prospective customers.
What is market research?
A business owned by a group of people and authorized by the state in which it is located to act as though it were a single person, separate from its owners.
What is a corporation?
Amounts paid on borrowed money
What is interest expense?
The process of gathering, analyzing, and interpreting information about a market.
What is market research?
A specific measure against which something is judged
What is a standard?
Product designed for personal or home use.
What is a consumer good?
a special type of corporation that is taxed as if it were a sole proprietorship or partnership.
What is a Limited Liability Company?
This financial statement summarizes a company's revenues and expenses over a specific period.
What is an income statement?
A brief description of a company's fundamental purpose and values
What is a mission statement?
Short-range planning that focuses on forming ideas for dealing with specific functions in the company.
Operational Planning
Stage of the product life cycle when a new product is introduced that is much better or easier to use and customers begin to switch from the old product to the new product.
What is the decline stage?
An agreement among two or more businesses to work together to provide a good or service.
What is a Joint Venture?
Firm that specializes in lending money to businesses based on the business’s accounts receivable
What is a factor?
Analyse the budget figures against what actually happens
What is variance?
Planning that provides information and procedures for making effective decisions about the directions and goals of a business
Strategic Planning
Chart used to identify alternate market segments with unique needs based on major choice criteria.
What is the positioning chart?
an organization that does not pay taxes and does not exist to make a profit.
What is a nonprofit organization?
The authorization to borrow up to a maximum amount for a specified period of time.
What is line of credit?