U1: Business Activity
The advantages of this type of ownership include:
What are the advantages of a Sole Trader?
This is the route taken by a product from when the raw materials are created through to the final consumer.
What is the SUPPLY CHAIN?
Surveys, Primary research and Instore feedback can be used to measure this.
What is QUALITY?
These 4 P's make up the Marketing Mix.
What is PRICE, PRODUCT, PROMOTION and PLACE?
What are SOURCES OF FINANCES?
Three possible AIMS or OBJECTIVES a business may have are...
What is (any three of the following)
SURVIVAL
MAXIMISE PROFIT
GROWTH
INCREASED SHAREHOLDER VALUE
INCREASED MARKET SHARE
SOCIAL AND ETHICAL RESPONSIBILITY
CUSTOMER SATISFACTION
This is made up of millions of CONSUMERS, thousands of BUSINESSES and of GOVERNMENT(S)
What is the ECONOMY
Repeat business; attracting new customers; or seeing an increase customer spend, profit and loyalty can occur when a business achieves this?
What is CUSTOMER STATISFACTION?
This is where people are divided into different groups, such are age, income and gender.
What is MARKET SEGMENTATION?
Wages, purchases, and energy costs are examples of this?
What is the COST OF SALES?
They run the company to make a profit. Part of this profit is then used to pay each shareholder this.
What is a DIVIDEND?
This is a legal agreement that employees should have. You may accept verbally but the employer must provide a WRITTEN statement of employment within 2 months of starting work.
What is a CONTRACT?
Expensive equipment, extra staff training and maintenance, and difficultly changing after investments are made are disadvantages in what?
What is AUTOMATION?
This is information you gather for yourself.
What is Primary Market Research?
This helps you predict and manage times when cash flow is difficult.
What is a CASHFLOW FORECAST?
The type of Business; Proximity to Market; Competitors and Transport Links are examples of what can influence this.
What are influences LOCATION of a business?
This is the process by which businesses or other organisations develop international influence or start operating on an international scale
What is GLOBALISATION?
Commonly used in manufacturing and supply chain management, this is the elapsed time from the start of a process to its completion.
What is LEAD TIME?
Making your product stand out from the competition is an example of this.
What is product differentiation?
This type of cost will not change even if output increase?
What is FIXED COSTS?
This is a collaboration which results in 2 businesses forming a new one together.
What is a merger?
This was the result of THE CREDIT CRUNCH; where global banking system became short of funds, leading to a decline in confidence and a decline in bank lending.
What is (the great) recession?
Coke Cola uses this type of production, when they bottle their products using a method that is continuous and uninterrupted.
What is FLOW PRODUCTION?
These are 2 reasons why market research is gathered.
What are (any 2 of the following):
Prevents you working in the dark
Stimulate new ideas
Understand demand
Understand competition
Understand the market share values for similar products
Identify a target market
This is an another name for a statement of financial position, which sets out the assets and liabilities that a business has on a particular day.
What is a BALENCE SHEET?