AnswerWrite Regionals 12-13 Flashcards
Investment Bank
A financial institution that assists companies with raising capital, mergers, and acquisitions, but typically does not offer standard banking services like loans or checking accounts.
Predatory Pricing
- Strategy where a business sets its prices extremely low, often below cost, to drive competitors out of the market and gain market dominance.
- Unethical practice because it can create economic conditions in which consumers have fewer choices.
Commercial Bank
A bank that provides everyday financial services such as business loans, checking and savings accounts, and overdraft protection to individuals and businesses.
CPA Firm
A firm of Certified Public Accountants that provides accounting, tax, and audit services but does not offer banking or loan services.
Brokerage Firm
A financial institution that helps individuals and companies buy and sell securities, like stocks and bonds, but does not usually offer traditional banking services.
Intranet
Company’s private computer network that allows authorized users to share information.
Diminishing Returns
As more effort or resources are added to a process, the additional benefit or output gained from each extra unit eventually decreases.
Integrated Software Application Package
- Collection of related programs bundled together that work seamlessly to perform a variety of tasks (example: word processing, spreadsheets)
- Allows businesses to manage all aspects of the operation
Payroll Deduction
Amount taken out of an employee’s paycheck by their employer for taxes, benefits, or other contributions, such as retirement savings or health insurance.
Disseminate
Spread widely
Cost of goods
The total expense a business incurs to produce or purchase the products it sells, including materials and labour.
Cost of utilities
The bills a business pays for essential services like electricity, water, and gas needed to keep the operation running.
(Represents operating expenses for a business)
Mass Customization
Advanced method of creating tailored products to meet individual customer preferences while still producing them on a large scale.
Company Manual
- document that outlines a business’s policies, procedures, and guidelines
- used as a source of information to orient new employees by introducing them to the company and its policies.
Occupationally Specific Trade Associatoin
An organization that supports and represents professionals in a SPECIFIC job or industry, providing resources and networking opportunities.
Slotting Fee
payment made by a manufacturer or supplier to a retailer for the privilege of having their product placed on the store’s shelves
Transfer Payment
Government payment to individuals or groups without requiring anything in return, often to provide financial assistance. (INTENDED TO SUPPORT THOSE IN NEED)
Eg. Unemployment check
Payroll and Benefits
- The total amount a business spends on employee wages, salaries, and additional perks like health insurance and retirement plans.
- Often one of the largest sources of money flowing out a business!
Accounts Receivable
Money that customers owe to a business for products or services that have already been delivered.
Profit and Loss
A financial report that shows how much money a business earned and spent over a specific period.
Goods and Services
Products sold and services provided by a business to customers in exchange for money.
Volume-tracking Scanner
- Device that records the quantity of items sold or scanned in retail, helping businesses manage inventory and analyze sales patterns.
- Used to obtain product information during the point-of-purchase process
Eg. By scanning barcodes, instantly obtaining product info.
Acquired Needs Theory
Person’s buying behaviour is affected by 3 primary needs:
- Achievment
- Power
- Enrichment
Matrix Organizational Structure
Employees report to multiple managers(more collaboration and flexibility across different departments but can lead to confusion and conflicts in authority).
Unity of Command Principle
Employees should only report to one manager(to avoid confusion and ensure clear lines of authority).
Cause and Effect
way to explain how one thing makes another thing happen.
Distribution
distribution refers to how income is allocated among those who create goods and services (producers) and those who provide the resources needed to make those goods and services (resource owners).
