Business Management Flashcards
Define ‘superiority’ in terms of economics.
Refers to providing customers with superior value in terms of service, or some added feature compared to lower priced competitors.
What are the three points of superiority?
Superior Quality, Flexibility and Speed of Delivery.
What is a ‘competitive advantage’.
Being able to better sell your product in the market based on cost or a point of superiority.
What is a ‘Competitor’ in terms of economics.
A rival whom sells the same/similar product to you.
Define ‘Market Share’.
Proportion of total sales your firm sells over a specified time period.
What is ‘flexibility’ in terms of economics.
The ability to use/order in a more convenient manner to suit the customers.
What is ‘quality’ in terms of economics.
Being able to produce and sell products at a high standard.
What is ‘speed of delivery’ in terms of economics.
Customers desire fast delivery and are willing to pay extra for the service.
What is a ‘motivation theory’?
Theories designed to improve the performance of workers in organisations.
What is Herzbergs’ theory?
A two factor motivation theory of motivator factors (from the job itself) and hygiene factors (are dissatisfiers- they must be as good as possible but do not motivate).
What is Edwin Locke’s theory?
Involves the establishment of clear goals for staff that provide a sense of direction and motivation. They must be challenging yet not overwhelming, the employee must be committed and there should be constant feedback.
What does the employment cycle consist of?
Establishment.
Maintenance.
Termination.
What does ‘Establishment’ consist of?
- Planning- Right amount/type of employees, job analysis
- Recruitment- Communicate existence of vacant positions
- Selection- Choosing most suitable applicants from the recruitment (screening applicants, short list, interviews, referee checks and offer job to most suitable applicants).
What are two ‘Motivator and Hygiene’ Factors
Motivator: Achievement, Recognition, Work itself, Responsibility etc..
Hygiene: Status, Security, Salary, Personal Life, Work Conditions, Relationship with Supervisor/Peers etc…
What are Herzberg’s Motivator and hygiene factors?
Motivators; Achievement Recognition Work Itself Responsibility Advancement Personal Growth
Hygiene factors; Security Relationship with peers/subordinates/supervisor Salary Personal life Work conditions Supervision Company Policy/Administration
