Business Basics
This is an organisation that uses resources to produce goods or services to satisfy customer needs and wants.
What is a business?
Product, price, promotion, and place are collectively known by this name.
What is the marketing mix?
Selling price multiplied by the number of units sold gives this figure
What is Revenue?
This describes an employee’s willingness to work hard and contribute towards business objectives.
What is Motivation?
This is a person or group affected by the decisions and activities of a business.
What is a stakeholder?
A business owned and operated by one person has this legal structure.
What is a sole trader?
This process divides customers into groups based on characteristics such as age, income, location, or lifestyle.
What is Market Segmentation?
Revenue minus the cost of goods sold produces this financial result.
What is gross profit?
In this leadership style, the manager makes decisions without consulting employees.
Employees, managers, owners, and shareholders belong to this stakeholder category.
What are internal stakeholders?
A business that opens new branches using its own resources is using this type of growth.
What is internal growth?
A new business launches its product at a low price to attract customers and gain market share quickly.
What is Market Penetration?
A product sells for Rp80,000 and has a variable cost of Rp50,000. This is its contribution per unit.
What is Rp30,000?
An employee learns to use new equipment while working alongside an experienced colleague.
What is on-the-job training?
Customers want lower prices, while shareholders want higher profits. This disagreement is known by this term.
What is stakeholder conflict?
A business owned by shareholders but legally separate from its owners benefits from this protection.
What is limited liability?
A business has sales of Rp3 billion in a market worth Rp20 billion. This is its market share.
What is 15%?
Rp3 billion ÷ Rp20 billion × 100 = 15%
A business has fixed costs of Rp120 million and contribution of Rp30,000 per unit. This is its break-even output.
What is 4,000 units?
Rp120,000,000 ÷ Rp30,000 = 4,000 units
A company promotes one of its current employees instead of hiring someone from outside.
What is internal recruitment?
A factory creates jobs but also produces noise and pollution. Local residents belong to this stakeholder group.
Who are the local community?
As a business becomes very large, communication may slow down and decision-making may become less efficient. These disadvantages are known by this term.
What are diseconomies of scale?
A luxury watch company advertises mainly through cheap student discount websites. Its promotion does not match this important customer group.
What is Target Market?
A profitable business cannot pay its suppliers because customers have not yet paid their bills. The business is experiencing this problem.
What is a cash-flow problem?
Ten employees leave a company that has an average workforce of 100. This is the company’s labour turnover rate.
What is 10%?
A company pays higher prices for environmentally friendly materials to protect its reputation and reduce environmental damage. This demonstrates this business approach.
What is corporate Social Responsibility