Business Environment Flashcards
what is a stakeholder
Any individual or group with an interest in the success of the business
name all 8 stakeholders
Owners Managers Employees Customers Community Suppliers Competitors Government
what is ethics in business
Where a company decides and acts in a morally correct way not necessarily the most profitable way
what are the disadvantages of a business being unethical
Bad publicity
what is a pressure group
Group of people that try to influence the decisions of a business
what is a social cost
negative impact of the businesses environmental activity
what is a social benefit
positive impact of the businesses environmental activity
give three incentives the government can offer businesses
grants
loans
tax breaks
what can a rise in demand lead to
price increase
what can a rise in demand lead to
price decrease
what 5 factors does the location of the business depend upon
Customers Staff Suppliers Competitors Cost
what is a grant
Money governments can give money to businesses they don’t have to repay
what is a tax break
Governments allow businesses to be exempt from paying tax for a certain period of time
what is interest rate
percentage rate charged on a loan or paid on savings
what three things do expect the government to do for the economy
low unemployment
low prices
economic growth
give 3 pros for UK businesses being in the EU
freedom of movement for workers
Customs Union / single market
attracts investment from foreign investors
give 3 cons for UK businesses being in the EU
strict regulations
membership fee took away £8.5bn from UK economy in 2016
lack of support for smaller and medium sized businesses
give 3 potential pros for Brexit
Wont have to pay membership fee
Wont have to abide by strict regulations
less competition for trying to get jobs
give 3 potential cons for Brexit
No access to single market
Less protection for workers
Lower employment pool to pick from
what are the three parts of the business cycle
Upturn
Downturn
Recession
