Insurance
The fee paid by the insured to the insurer is called what?
The premium
Name the 4 P’s of the marketing mix
Product, Price, Promotion and Place
What is the difference between a characteristic and a skill?
Characteristic = aspect of your personality
Skill = something you can learn over time
What is a market?
Any place where buyers and sellers can exchange goods and services.
Why do businesses prepare a business plan?
Must show evidence of planning in order to secure money from a financial institution or government grants
Name the 4 main types of insurance
Home insurance, Life Assurance, Car Insurance, Personal Insurance
Name two things a business need to consider when setting a price for their product or service
Cost to manufacture, Desired profit, Income level of the target market, brand recognition, competitors’ price
What are the 3 different categories that an Entrepreneur plays a role in?
Organisation, Society, Economy,
What is Price discrimination? Give an example
Selling the same product at different prices to different consumers.
Student fares / OAP
Name 3 things that you Would see on a business plan
Business details, Product or service, market research, fixed assets and finance
What type of insurance is required by law?
Car Insurance
What is Persuasive advertising?
Aims to convince consumers to buy the product or service. These adverts often use inviting imagery and language. They might feature a celebrity to help influence consumers.
What are the 3 different types of enterprise?
Financial, Cultural and Social enterprise
What does the law of demand state?
As the price of a good or service increases, the quantity demanded will decrease and vice versa.
What is money available to a business for day to day use Called?
Working Capital
What is the Principle of Subrogation?
The insurance company can seek to recover the amount paid to an insured in the event of a loss.
In relation to Place, what is the channel of distribution
The channel of distribution is the path a product follows from the manufacturer to the consumer
Name one organisation that supports the development of Enterprise
Enterprise Ireland, The Local Enterprise Office, Government grants/schemes
What does it mean when the demand curve shifts to the right?
Demand has increased
Name two examples of receipts and 2 examples of payments
Receipt: Money from cash sales, debtors, grant money, tax funds
payments: costs of purchases, creditors, staff wages, expenses
What is the formula for calculating the premium?
bonus: how are no claims bonuses calculated?
Total premium = Basic + loadings - discounts
no claim bonus: as a percentage of the total premium
What does PR stand for?
Public Relations
What is a Private Limited Company
Name something other than price that affects the supply curve.
Technology / Cost of production / Weather / Productivity / other Suppliers / cost of substitute and compliment goods / taxes / subsidies
What does Liquidity mean?
Liquidity is the ability of a business to meet its short-term debts