Unit 2 Definition
The legal right to use the name, logo, and trading systems of an existing successful business.
Franchise
What are Ben and Jerry's owners?
Franchiser
Revenue
Quantity sold x Selling price = trading period
The total value of sales made during the trading period
Revenue
A business with mainly social objectives that re-invests most of its profits into benefiting society rather than maximising returns to owners
Social Enterprise
What is McDonalds an example of?
Franchise
Company X has a market capitalization of $800 million. If its stock price is $40 per share, how many shares outstanding does company X have?
20 Million Shares
The total value of all long - term finance invested in the business
Capital employed
A person or business that buys the right from the franchiser to operate the franchise.
Franchisee
What is it when a business reinvests its profits to benefit society, demonstrated through TOMS, a shoe company which donates a pair of shoes for every single pair that is purchased.
Social Enterprise
Market Capitalisation
total number of shares issued x current share price = market capitalisation
The total value of a company's issued shares
Market Capitalisation
Two or more business agree to work closely together on a particular project and create a separate business division to do so.
Joint Venture
What is it when two business join together on a project demonstrated through HULU, owned by Disney, a subsidiary of the Walt Disney?
Joint Venture
A business generates $450,000 in revenue for the years. If its revenue from product A is $180,000, what percentage of the total revenue does product A represent?
40%
Sales of the business as a proportion of the total market sales
Market Share
A jointly owned business operated by members for their mutual benefit, to produce or distribute goods or services - as in consumers' cooperatives or farmers' cooperatives.
Cooperative
What is a an entrepreneur interested in owning and operating a business such as Mcdonalds while following all of its rules and regulations.
Franchisee
Market Share
(total sales of business รท total sales of industry) x 100 = Market Share
What terms have equations as part of them?
Revenue
Market Capitalisation
Market Share