Unit 1. Intro to BM
[1.1 Intro to Business] A decision-making organization involved in the process of using inputs to produce outputs.
What is a business?
[3.3 Costs and Revenues] Costs that are not easily identifiable or cannot explicitly be associated with the output of a specific good or service.
What are indirect costs or overheads?
[4.1 Intro to Marketing] An approach to marketing that focuses on meeting the specific demands (desires and needs) of customers and potential customers.
What is market orientation?
[Ansoff Matrix] Entering new market with a new product.
What is diversification strategy in Ansoff Matrix?
[1.3 Business Objectives] An activity must be done by all corporations to support social and environmental cause or the interests of the society.
What is Corporate Social Responsibility (CSR)?
[3.4 Final Accounts] A type of intangible assets that gives the owner exclusive commercial use of the registered brands, logos, and/or slogans (catchphrases).
What is a trademark?
[4.4 Market Research] Consist of closed questions that have finite numbers of answers or measurable answers.
What are quantitative questions/data?
[SWOT] Strengths and Weaknesses
What are the internal factors in SWOT analysis?
[1.5 Growth & Evolution] Where two (or more) businesses agree to work closely on a project and create a dedicated business division together for that project.
What is a Joint Venture (JV)?
[3.2 Sources of Finance] Overdraft, microfinancing, trade credit.
What are the examples of debt-based sources of finance?
[4.2 Marketing Planning] The process of dividing a market for a product into smaller or distinct groups of customers in an effort to meet their specific desired needs and wants.
What is market segmentation?
[Decision Tree] Expected Revenue minus all the costs.
What is Expected Value (EV) or expected profit?
[1.6 Multi-National Companies] Possible to become a threat to local competitors, exploitation of local workers, increase pollutions, possible reduction of cultural identity.
What are the possible negative impacts of MNCs on the host countries?
[3.5 Ratio Analysis] Ability of a firm to payback its current liabilities with its current assets, without using inventory.
What is Acid Test/Quick Ratio?
[4.2 Marketing Planning] Makes the product or brand stand out from the competition in the market; can lead to greater customer loyalty as customers identify something distinctive; add value for customers and are difficult for rivals to copy.
What are the benefits of having Unique Selling Propositions?
[BCG Matrix] Either invest and grow it to become a star, or divest before it becomes a dog.
What to do with a problem child/question mark?
[1.5 Growth & Evolution) Want to control quality and consistency, have a healthy working relationships, maintain direct communications with customers, avoid additional costs and logistics, etc.
Why do some businesses want to remain small?
[3.7 Cash Flow] The available cash is not optimized for gain, or having too much debtors, or overstocking/having too much inventory.
What does it mean by having too much working capital?
Also accepted: What are the reasons current ratio can be too high?
[4.4 Market Research] Sample size is too small, respondents are not representative, inappropriate sampling method, bias in research, etc.
What are the factors that can increase sampling error?
[Descriptive Statistics] A measure of variability around the median value in the data (the difference between the 75th percentile and the 25th percentile of a dataset).
What is Interquartile Range (IQR)?