Business and its Environment Flashcards
May be defined as all profit seeking activities and enterprises that provide goods and services to an economic system.
Business
Refer to the rewards for business persons who take the risk involves in producing and marketing goods and services.
Profit
Kind of business which are engaged in buying and selling of goods and services.
Commerce
Kind of business that are mainly engaged in the production.
Industry
Goods produced which are intended for ultimate consumption.
Consumer goods
Goods intended for use of business and industry.
Producers goods.
Industry business that involved in agriculture forestry and fishing culture.
Genetic industries
Industry business that involved in the extraction of goods from natural resources.
Extractive industries
Industry business that convert raw materials into finished products.
Manufacturing industries
Industry business that engage in building infrastructures.
Construction industries
A kind of business which sells service to the buyer
Services
Movie houses, TV show, and radio stations, theatres for drama and stage
Recreation
Restaurants, Barber shops transportation hotels tailoring shops slimming salons etc.
Personal
Banks insurance companies investment houses financing institutions credit unions savings and loans associations and the like
Finance
Primary goal of any business enterprise
Profit
Business should grow in all directions over a period of time
Growth
Business houses have vast resources at its command. These resources confer enormous economic and political power.
Power
Business is people caring for employee satisfaction and providing further development has been one of the objectives of the enlightened business enterprises
Employee satisfaction and development
Persistent quality of products earns brand loyalty a vital ingredient of success
Quality products and services
To earn a niche for oneself in the market innovation is the key factor
Market leadership
Business offers was scope and poses formidable challenges
Challenge
Business is a part of society and has several obligations towards it
Service to society
Means all of the internal and external factors that affect how the company functions including employees customer management supply and demand and business regulation
Business environment
A regular demand is always a problem for many business firms this is so because of the difficulty in making adjustments concerning manpower and equipment
smoothing
Is that stock file of fuel by a shipping company to provide some assurance of unhampered operation for a certain period.
Input buffer
When the production output of finished goods are not disposed as fast as they are produced it may cause disruption in the production activities of the firm.
Buffering
This refers to making predictions projections or estimates of future events or conditions in the environment in which the organization operates.
Forecasting
This happens when the organization ignores some operations and emphasizes others in order to reserve the most critical function of the technical core.
Rationing
Gather and collect critical information which can be used for planning in the technical core
Boundary spanners
This is the process of creating jobs or roles in which individual employees are required to have a strong communication links within their department with people in the other units and often with the external community
Boundary spanning
This is when the business adapts to the environment by setting up department or subsystems that will respond to specific groupings of environmental factors
Structural complexity
One way of adapting to uncertainty in the environment is the adaption of an effective
Executive succession
The replacement of a top manager by another manager is referred to as
Executive succession
Is a legal consolidation of two entities into one entity
Merger
There are times when the activities of one business firm caused uncertainty to another
mergers
It’s a business arrangement in which two or more parties agree to pull their resources for the purpose of accomplishing a specific task
Joint ventures
When some members of the board of directors of one company are also member of another companies board of directors such arrangement are called
Interlocking directorates
When companies hire executives who have prior experience in the industry
Executive recruitment
This type of advertising is designed to build goodwill for a company among stockholders employee distributors the public and the government
Institutional advertising
This refers to the pattern of resource exchanges between the organization and the environment
Resource flows
In the attempt to control the environment the manager can make important decision on the pattern of exchanges his option for under any of the
Frequency of changes
quantity involved in the exchanges
A business organization seek to manipulate its environmental elements in which it operates
Changing elements
This term refers to the act of attempting to influence business and government to create legislation or conduct an activity that will help a particular organization
lobbying
One way of manipulating the environment is through trade associations which are composed of member organizations that share a common interest
Forming trade associations
