Business Definitions

Question 1

Wholesaler

Answer 1

A person or company that sells goods in large quantities at low prices, typically to retailers.

Question 2

Distributor

Answer 2

An agent who supplies goods to stores and other businesses that sell to consumers.

Question 3

Retailer

Answer 3

A person or business that sells goods to the public in relatively small quantities for use or consumption rather than for resale.

Question 4

Consumer price index data

Answer 4

Data that is an indication of economic health, signaling inflationary and deflationary forces and possible changes in consumer spending habits.

Question 5

Regulatory environment

Answer 5

Set of taxes, rules, and laws or regulations that businesses must adhere to.

Question 6

Vertical market

Answer 6

One in which all of your customers are in one particular industry, regardless of where in the food chain they are. For example, the site Noodle.org is a vertical search engine for the education industry. It doesn’t matter if you’re looking for a kindergarten class, an Ivy League college, or an adult education polka dancing course, it covers its industry top to bottom.

Question 7

Horizontal market

Answer 7

One in which all of your customers use your product to do the same thing, regardless of what industry they are in. For example, Google.com is a search engine that can be used to find polka classes… as well as ball bearings and hippopotami.

Question 8

RFP

Answer 8

Request for proposal

Question 9

Product differentiation

Answer 9

The process of distinguishing a product or service from others, to make it more attractive to a particular target market. This involves differentiating it from competitors’ products as well as a firm’s own products.

i.e. global furniture company vary sofa fabrics and dimensions to fit local market tastes

Question 10

Stakeholder

Answer 10

A member of “groups without whose support the organization would cease to exist”

Customers
Employees
Investors
Suppliers
Communities
Governments

Question 11

Value Proposition

Answer 11

The promise of value to be delivered, communicated and acknowledged.

Innovation, service, or feature that makes a company product attractive to customers.

Question 12

Weighted Mean

Answer 12

Similar to an ordinary arithmetic mean, except that instead of each of the data points contributing equally to the final average, some data points contribute more than others.

Question 13

Median

Answer 13

The median is the value separating the higher half from the lower half of a data sample. For a data set, it may be thought of as the “middle” value. For example, in the data set {1, 3, 3, 6, 7, 8, 9}, the median is 6, the fourth largest, and also the fourth smallest, number in the sample.

Question 14

Unweighted mean

Answer 14

Finding the average

Question 15

Matrixed organization

Answer 15

company structure in which the reporting relationships are set up as a grid, or matrix, rather than in the traditional hierarchy. In other words, employees have dual reporting relationships - generally to both a functional manager and a product manager.

Question 16

Decentralized organization

Answer 16

Structures feature flatter hierarchies and greater decision-making power for a wider range of employees.

Question 17

Centralized organization

Answer 17

Hierarchy decision-making structure where all decisions and processes are handled strictly at the top or the executive level. … In simple terms, executives or business owners assign tasks to management and employees and maintain a very open communication.

Question 18

Nepotism

Answer 18

the practice among those with power or influence of favoring relatives or friends, especially by giving them jobs.

Question 19

Enterprise Resource Planning System (ERP)

Answer 19

Enterprise resource planning (ERP) is business process management software that allows an organization to use a system of integrated applications to manage the business and automate many back office functions related to technology, services and human resources.