Business 101 Glossary

Question 1

Acquisition

Answer 1

When one company purchases most or all of another company’s shares to gain control of that company.

Question 2

Artificial Intelligence

Answer 2

Leverages computers and machines to mimic the problem-solving and decision-making capabilities of the human mind.

Question 3

Assertive Culture

Answer 3

The ability to speak up for ourselves in a way that is honest and respectful.

Question 4

Asset

Answer 4

Something a person or business owns, or has value e.g. buildings, vehicles, a copyright, cash in a bank account, money someone owes you

Question 5

Automation

Answer 5

The use of machines and technology to make processes run on their own without manpower.

Question 6

Business Model

Answer 6

A plan for the successful operation of a business, identifying sources of revenue, the intended customer base, products, and details of financing.

Question 7

Business 2 Business

Answer 7

A transaction or business conducted between one business and another, such as a wholesaler and retailer.

Question 8

Cash Injection

Answer 8

This is when cash is introduced into a business. For example, through investment from the business owner, shareholders or a bank loan.

Question 9

Depreciation

Answer 9

A reduction in the value of an asset over time, due in particular to wear and tear.

Question 10

Disposal

Answer 10

Selling or getting rid of something that you’ve owned for a long time e.g. disposing of a building by selling it to someone else, disposing of a written off vehicle by taking it to the scrap yard.

Question 11

Economic Life

Answer 11

When one company purchases most or all of another company’s shares to gain control of that company.

Question 12

E-commerce

Answer 12

Leverages computers and machines to mimic the problem-solving and decision-making capabilities of the human mind.

Question 13

Emerging markets.(2)

Answer 13

The economy of a developing nation that is becoming more engaged with global markets as it grows.

China, India, Brazil, Turkey, Russia, Mexico and Indonesia, grouped together because of their major emerging economies.-coined E7 by an economist at PWC

Question 14

Emerging technology.(2)

Answer 14

Emerging technologies are technologies whose development, practical applications, or both are still largely unrealized, such that they are figuratively emerging into prominence from a background of nonexistence or obscurity.
Examples include blockchain, AI, Robots, Drones,VR, AR, 3D printing, the “Internet of things”

Question 15

Lean

Answer 15

A business that maximizes value while minimizing waste.

Question 16

Litigation

Answer 16

The process of taking legal action.

Question 17

Mergers

Answer 17

Combine two separate businesses into a single new legal entity

Question 18

Operational change

Answer 18

A change to the way a business process takes place e.g. the way a supermarket sources their produce, or the way a company distributes their product.

Question 19

Phishing

Answer 19

The practice of sending fraudulent communications that appear to come from a reputable source.

Question 20

Revenue

Answer 20

The total amount of income generated by the sale of goods or services related to the company’s primary operations.

Question 21

Service model

Answer 21

The way that a firm chooses to deliver services to their customers.

Question 22

SWOT analysis

Answer 22

A study undertaken by an organization to identify its internal strengths and weaknesses, as well as its external opportunities and threats.

Question 23

USP

Answer 23

A feature or characteristic of a product, service, etc. that distinguishes it from others of a similar nature and makes it more appealing.

Question 24

How can drones be used in a modern world?

Answer 24

We’ve heard a lot recently about Amazon and Google using drones to deliver parcels, and although there are reasonable concerns around safety, especially in built-up areas, wider applications are being considered. In sectors such as construction or utilities, with large sites and assets to manage, equipping drones with pattern recognition technology to help identify locations that may require closer human inspection is just one potential application. Oil and gas firms have also exploited drone technology to check, for example, remote pipeline networks. This reduces the need for engineers to manually check these locations and can increase the frequency of checking.

Question 25

How can robots be used in modern world?

Answer 25

Manufacturing firms have been using them on their assembly lines for many years, but robots are starting to enter the white-collar workplace, in both physical and virtual form. Humanoid robots are being trialed on cruise ships, care homes (in Japan) and at visitor attractions; software robots on the other hand could enter the workforce in more prosaic roles such as handling basic customer service queries in a UK local authority contact centre, to back-office process automation in a bank.

Question 26

How can AI be used in a modern world?

Answer 26

AI is a set of software services that are taking machine ‘intelligence’ beyond the realm of beating the best human players at chess or Go, to solving real business problems. AI solutions exhibit the ability to: learn and store knowledge; undertake analysis; identify patterns and make recommendations; sense and interpret the external world; and interact using natural language. We believe AI will ultimately underpin how all businesses interact with each other and with their customers.
Examples we see around us include face recognition at passport control, financial fraud detection, virtual assistants on your smartphone or via devices in your home, messaging chatbots on social media, content recommendations for our video streaming services and increasingly driver support in vehicles.

Question 27

How can VR be used in a modern world?

Answer 27

Fully immersive and increasingly realistic, VR’s most obvious applications are in entertainment and gaming (and some sports at the Rio Olympics were already broadcast in VR), but advances in technology have increased accessibility while reducing development costs are starting to open up huge possibilities in fields as diverse as retail, healthcare, education, tourism, and journalism.

Question 28

How can AR be used in a modern world?

Answer 28

Initially seen as something of a curiosity, AR devices overlay information, graphics or audio content to the user’s experience of their real-world environment, with sometimes dramatic impact. The recent Pokémon Go phenomenon drew attention to AR but it has many applications beyond social gaming. Aircraft manufacturers, with hugely complex engineering projects are already piloting AR to help achieve increases in manufacturing accuracy, productivity and control. It can also enable trainees to get “virtually hands-on” with complex moving equipment that would otherwise dangerous or inaccessible.

Question 29

How can blockchain be used in a modern world?

Answer 29

This technology has already made a name for itself as the technology behind the virtual currency, Bitcoin, but its significance goes beyond virtual currencies to traditional financial services and beyond. Offering unprecedented levels of accuracy, traceability, reliability and security to any number of transactions and interactions, Blockchain offers the potential to cut costs too. The proof? The UK government is actively considering how it might be used in areas as diverse as national identity schemes and healthcare. Some large financial institutions are also relying on blockchain for internal transactions between territories, effectively reducing the internal cost of moving money.

Question 30

How can the internet of things be used in a modern world?

Answer 30

While there is huge potential to link consumer appliances and devices to the web, the industrial internet of things offers even bigger potential for business: there could be several billion connected consumer devices in the next five years, but the equivalent number for industrial machines will be in the hundreds of billions. Connecting physical assets to digital networks is generating vast amounts of data, enabling the potential for unprecedented levels of insight, prediction and real-time control over production processes.The ability to track, measure and monitor in real-time also opens up new business models allowing for companies to offer almost “anything as a service”.

Question 31

How can 3D printing be used in the modern world?

Answer 31

Established as a useful tool for prototyping, 3D printing offers an additive rather than reductive complement to mainstream manufacturing. It has been successfully used to support the manufacture of certain precision components and in some cases develop finished products, for example hearing aids and dental braces. It has also been used internally within organisations to assist with design visualization. For example, a consumer goods firm can test a new packaging design in multiple locations. Challenges remain around printing methods, the software for product design, and whether different materials can be combined for use in printing more complex organic and metallic and combined components.