Unit 1: Introduction to BM
This term refers to a type of business ownership where a single individual holds control.
What is a sole trader?
This is the process of finding, attracting, and hiring candidates for jobs.
What is recruitment?
This financial statement provides a snapshot of a company’s profits during a particular time period.
What is the Statement of Profit and Loss?
The marketing mix includes at least these four key elements.
This method of production involves making a wide variety of products, but in smaller groups.
What is batch production?
This type of business is owned by shareholders and its shares are traded on a stock exchange.
What is a public limited company?
A systematic method used to assess employees against set targets.
A ratio that measures the profitability of a company in relation to its total revenue.
What is the profit margin?
This marketing strategy involves offering a product at a low price to attract customers.
What is penetration pricing?
This is a strategy of maintaining low levels of inventory while ensuring production is not interrupted.
What is Just-in-Time (JIT)?
This is a decision-making model where business leaders consider their ethical responsibilities along with profit-making motives.
What is corporate social responsibility?
This theory suggests that individuals are motivated by intrinsic and extrinsic rewards.
What is Herzberg’s Two-Factor Theory?
This term refers to the amount of profit generated for each unit of capital invested.
What is return on capital employed (ROCE)?
A marketing technique where a company targets a specific segment of the market, rather than attempting to appeal to the entire market.
What is market segmentation?
This measure refers to the amount of product produced per unit of input.
What is productivity?
This method of expansion involves acquiring companies in the same industry but at different stages of production.
What is vertical integration?
Anarrangement where employees have the autonomy to choose their work hours.
What is flextime?
This ratio measures a company’s ability to cover its short-term liabilities with its short-term assets.
What is the current ratio?
A model used to assess a product or brand in relation to competitors in terms of two dimensions: price and quality.
What is a position map?
This type of management deals inputs, and with ensuring timely production and delivery of goods.
What is supply chain management?
These focus on the long-term direction of the company, like profit growth or market dominance.
What are strategic objectives?
This refers to the process of ensuring that employees’ tasks and roles align with their personal strengths and the company’s needs.
What is job design?
This term describes the costs that must be paid, no matter the amount produced.
This model helps companies evaluate potential product lines by assessing the stage of the product life cycle and its profitability.
What is the Boston Consulting Group (BCG) matrix?
This term refers to a set of methods used to ensure that products or services meet specific standards.
What is quality management?