Booklet Flashcards
Entrepreneur Definition
An individual who takes the risk to create or start a new business or project
Characteristics of an Entrepreneur
Risk taking
Innovation
Decision Making
Determination
Business Employee Size Categories
Micro 1-9
Small 10-49
Medium 50-249
Large 249+
Working Capital Definition
Working Capital is money that is in the business/at hand
Social Enterprise Definition
A business with primarily social objectives and if any profit is made it is reinvested back in the business or community
Aims definition
Where the business wants to go in the future
Objectives definition
Measurable targets of how to achieve business aims
Marketing definitions
The management process responsible for identifying, anticipating and satisfying customer requirements profitably
Market research definition
The collection of information from consumers and people who may become consumers, finding out whether they like or will buy the firms products
Market research definition
The collection of information from consumers and people who may become consumers
Quota Sampling
Quota sampling involves selecting a sample according to certain features which reflect their percentage in the general population
Random Sampling Definition
Random Sampling selects the sample at random e.g. one in every 10 people
Marketing Mix Definitions
Marketing mix deals with the way in which a business uses price, product, place and promotion to market and sell its product
Product Lifecycle Stages
R&D
Introduction
Growth
Maturity
Decline
Consumer Protection Act 1987
Product must reach a reasonable safety level.
If a person is hurt or injured from a damaged product, they can sue the producer.
Warnings on all products.
Consumer rights act 2015
All products must be as described.
Must be fit for purpose when sold.
Automatic 30 day 100% refund right.
Trades Descriptions Act 1968
Prohibits false descriptions of goods
Advertising Standards Authority
Regulate advertising and investigate complains
OFCOM
The regulator and competition authority for the UK Communications industries. It regulates TV and radio sectors
Distribution Channel
The movement of the products from the manufacturer to the consumer
Manufacturer Definition
Producer or creator of goods
Wholesaler Definition
Link between manufacturer and retailer.
Retailer Definition
Final seller of the goods to the customer
Consumer Definition
Customer or the end user of the product or service
Choice of channels of distribution depends on
Type of good
Value of good
Life span of good
Cost involved
Competition Definition
The rivalry between businesses competitive against one another for a share in the market and employ tactics to encourage customers toward their business
Customer Service Definition
The experience a customer experiences when dealing with a business and the extent they meet and exceed the customers needs and expectations
E-Business Definition
The online transaction of goods and services, and the transfer of funds through digital communication
Examples of E-Business
EBay, Music, Amazon
M-Business definition
Refers to the application technology and systems used to undertake business transactions using mobile devices
Primary Production Definition
Extraction of the Earths natural resources
Secondary Production Definition
Involves taking raw materials and turning them into a finished product
Tertiary Production Definition
Providing service
Flow Definition
When one product is made continuously and in large numbers
