A-level Business Studies Lesson 05 (3.1.3)

Question 1

Demand

Answer 1

The amount of a product (i.e. a good or service) that consumers are willing and able to buy at any given price over a period of time.

Question 2

External environment

Answer 2

The conditions, entities, events, and factors surrounding an organisation that influence its activities and choices.

Question 3

Market conditions

Answer 3

The various factors and dynamics that characterise the state of a market at a given time. These include elements such as the level of demand for products and services, the intensity of competition among businesses, economic trends, regulatory environment, technological advancements, and the behaviour of consumers and suppliers.

Question 4

PESTLE analysis

Answer 4

A framework used to analyse the external environment by examining Political, Economic, Social, Technological, Legal, and Environmental factors.

Question 5

Competition

Answer 5

Refers to the rivalry between companies selling similar products or services with the goal of achieving revenue, profit, and market share growth.