Nature of Business
Business Management
Business Planning
Equations
Velasquez Facts
100
Define business
A coordinated effort by individuals to combine resources in order to produce goods and services that satisfy consumer needs and wants for the ultimate goal of making a profit.
100
Definition of Management:
the process of coordinating a businesses' resources to achieve their goals.
100
what is a Small to Medium enterprise (SME)
a firm with less than 200 full-time employees and/or less than $10 million in total
100
Assets = ?
Liabilities + Owners Equity
100
Favourite colour
Orange
200
List the types of classification of businesses there are.
- Classification by Size
- Classification by Geographical spread
- classification by Industry
- Classification by Legal structure
200
what are the 9 skills of management? Name 4
Interpersonal skills, communication skills, strategic thinking skills, Vision skills, problem-solving skills, decision-making skills, flexibility, adapting to change, reconciling the conflicting interests of stakeholders.
200
Legal considerations for a business (4)
business name, zoning, health and other regulations
200
COGS = ?
OS + P - CS
200
Height
5'4 / 164cm
400
What are the main factors influencing choice of legal structure of a business.
- Size
- ownership
- finance
400
What are the business goals?
profits, market share, growth, share price, social, environmental
400
What role do SME's play for a country
¨57% of Australia’s GDP
¨7 million people (66% - 42% in small, 24% in medium)
¨Innovation and inventions – $20.64bn spent on R&D ($11.35bn from SMEs)
¨90% of Australian exporters are SMEs contributing 50% of export revenue
400
Owners Equity?
A - L = OE
400
How many university qualifications
4
500
List the four stages of the business life cycle with one challenge each
Establishment, Growth, Maturity, Post-maturity
E - cash flow shortages, marketing strategies, survival
G - experience, growth and demand strain, labor shortages
M - survival, cost control, staff motivation, R&D
P- difficulty obtaining money, suppliers asking for cash payments due to high risk, profit decline, low staff morale
500
Classical management - management is ...
planning, organising, controlling
500
Critical issues in success or failure of a business
- importance of a business plan
- management – staffing and teams
- trend analysis
- identifying and sustaining competitive advantage
- avoiding over-extension of finance and other resources
- using technology
- economic conditions
500
Gross Profit
TR - COGS
500
If he didn't study economics he would have studied..
Biology
600
What is the role of businesses (9)
producing goods and services, profit, employment, incomes, choice, innovation, entrepreneurship and risk, wealth and quality of life
600
Behavioural management - management is...
leading, motivating, communicating
600
what are the downsides of purchasing an already established business?
(at least 4 reasons)
- Inherit immediate problems
- may loose business reputation due to new ownership
- employees may be resistant to change
- businesses may be overpriced
- difficulty of assessing goodwill
600
Net Profit
Gross Profit - Total Expenses
600
Second name
Tristan
800
What are the internal influences on a business?
Products, location, resources, management, business culture
800
How do you manage change effectively? Name 3.
- identify a need for change
- Business Information systems
- Setting achievable goals
- Resistance to change
- Management consultants
800
What are the sources of finance? (debt and equity) - name 3 each.
Debt: overdraft, commercial bills, factoring, mortgage, leasing, debentures, unsecured notes
Equity: capital, retained profits, family friends, Private investors, shares.
800
If sales forecast is $167 000 and actual is $159 000. What is the variance and percentage difference
-$8000 and -4.79%
800
Dog's name
Murphy
1100
What are the external influences on a business
economic, financial, geographic, social, legal, political, institutional, technological, competitive situation, markets
1100
what are the four key business functions and what do they involve? Choose your words carefully!
Operations I.TP.O., Marketing 4 Ps, Finance record and management of financial resources, HR - relationship
1100
Explain 1 advantage and 1 disadvantage for debt financing and 1 advantage and 1 disadvantage of equity financing
1100
Break-Even Point
Total fixed costs / Unit price - variable costs per unit
1100
How many rings total?
10