1.5 business

Question 1

Give some examples of internal (inside the business) and external (outside the business) stakeholders

Answer 1

> owners
employees
managers
External
suppliers
local community
government

Question 2

What did the consumers rights act 2015 state

Answer 2

Goods must be
-as described
-fit for purpose
-satisfactory quality

Question 3

What is e-commerce?

Answer 3

shopping on intetnet

Question 4

Give some advantages for e-commerce

Answer 4

-can trade around the world
-24/7
-can give real time order updates to customers
-reduce costs (no shop needed)

Question 4

Give some disadvantages of e-commerce

Answer 4

-can be expensive to keep up with technology
-customers may have security concerns over fraud
-can make it had to build a relationship with customers

Question 4

What is economic activit

Answer 4

The amount of buying and selling that takes place in a period of time. This can either grow or decline.

Question 5

What is digital communication

Answer 5

Communicating using text, email, mobile phone, Skype ect.
A business will use this to communicate with their customers, suppliers, government agencies ect.

Question 6

What is the economy

Answer 6

ll of the people and businesses in the country that engage in buying and selling.

Question 7

What is the definition of unemployment

Answer 7

The number of people willing to work but out of work and seeking work

Question 8

What can happen if there is a high unemployment rate

Answer 8

Falling income > consumers reduce their spending > fewer goods and services are bought > falling revenue and profits for businesses > workers get made redundant and businesses close down > leading to more unemployment

Question 9

What is a stakeholder?

Answer 9

Anyone who has an interest in a business
Its not about ownership, it is about being i terested in how the business is run