Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Yr 11 Business Studies > Business Management > Flashcards

Business Management Flashcards

1
Q

Define management

A

process of coordinating and integrating business activities and resources to achieve the goals of a business.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

3 roles of management

A

interpersonal, informational & decisional

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

6 skills of management

A

interpersonal, dispute resolution, strategic thinking, vision, flexibility & adaptability to change, problem-solving + decision making

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

6 steps to achieving business goals

A

profit maximisation, market share, growth, share price, social, environmental

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

3 management approaches

A

classical, behavioural, contingency

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Principles of classical approach

A
  • Specialisation
  • Tight supervision/control by management
  • Financial incentives to increase output
  • People aren’t important, task is important
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Principles of behavioural approach

A
  • Focused on people (employees)
  • Success = employee’s behaviour
  • Managers need to understand, work collaboratively and value employees so they work harder
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Principles of contingency approach

A
  • Flexible and uses strategies that suit the business

- Accepts that there is not one best way to manage a business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

4 key business functions

A

operations, marketing, finance, HR

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Managers are responsible for…

A

Inputs - Transformation - Outputs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Examples of transformed resources

A

Raw materials, information, customers, unfinished goods

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Examples of transforming resources

A

Machinery, facilities and labour

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What is quality management?

A

Involves activities to plan, organise and control operations activities to ensure outputs produced meet customer expectations

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

3 features of quality

A

durability, functionality, efficiency

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What is quality control?

A

Inspections to check for problems and then fix them

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Positives of quality control

A
  • Being able to hand over a flawless product

- Check for faults and defects

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Limitations of quality control

A
  • Time
  • Cost of testing goods and inspectors
  • Requires staff training
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

What is quality assurance?

A

Implementing a system to ensure standards are achieved in production.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Positives of quality assurance

A
  • Certified individual system
  • Positive reputation
  • Ensures product isn’t faulty
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Limitations of quality assurance

A
  • Training staff (cost and time)

- Cost of certification

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

What is total quality management?

A

A commitment to excellence and continual improvement.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

What is marketing?

A

activities to communicate with consumers and turn potential sales into actual sales

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

Approaches to marketing

A

mass and niche

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

4 common characteristics of target market

A
  • Demographic features
  • Geographical location
  • Use of product
  • Social status
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

7 key areas of the marketing mix

A
  • Product
  • Price
  • Promotion
  • Place
  • People
  • Process
  • Physical evidence
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

Ways of positioning

A
  • Premium/high-end
  • Affordable/accessible
  • Specialist
  • Cutting edge
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

What is positioning?

A

the place the brand occupies in the minds of customers.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

Examples of branding.

A

logos, colour scheme, business name

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

4 pricing strategies

A

cost based, market based, competition based, value based.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
30
Q

Cost based strategy

A

Setting prices in relation to how much it costs to make the product

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
31
Q

Market based strategy

A

Setting prices using the market forces of supply + demand

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
32
Q

Competition based strategy

A

Using the price of competitors as a guide

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
33
Q

Value based strategy

A

Setting a price based on customer perception rather than costs  level of service, environmental + social credentials or status.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
34
Q

Penetration pricing

A

Start with a low price which is raised overtime

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
35
Q

Market skimming

A

Start with a high initial price which is then reduced overtime.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
36
Q

Loss leaders

A

Selling a product at a loss in order to attract people into the shop to buy other products.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
37
Q

Price points

A

Selling a range of products at fixed price levels to appeal to multiple target markets.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
38
Q

Types of discounts

A
  • Cash
  • Bulk
  • End of season/financial year
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
39
Q

Objectives of promotional strategies

A
  • Creating brand and business awareness
  • Informing and reminding customers about the business
  • Persuading customers to buy products
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
40
Q

4 types of promotion

A

personal selling, advertising, sales promotion, PR + publicity

41
Q

3 types of distribution

A

direct, indirect, multiple channel

42
Q

Direct distribution

A

The business sells directly to the consumer either through their own shop or via the internet.

43
Q

Indirect distribution

A

The use of intermediaries to sell + distribute products to consumers.

44
Q

Multiple channel distribution

A

Business sells directly to consumers but also uses intermediary.

45
Q

3 types of distribution intensity

A

exclusive (one outlet), selective (limited outlets), intensive (all outlets)

46
Q

Physical issues in distribution

A
  • method of transport used to deliver products to customers

- location, size and management of warehouse facilities for stock and levels of stock to hold

47
Q

Role of HR

A

To provide a highly skilled workforce who are motivated and working towards achievement of business goals.

48
Q

4 steps in HR cycle

A

acquisition, induction, training, performance appraisal

49
Q

Role of acquisition

A
  • Bringing new employees into the business
  • Identify staffing needs
  • Recruitment
  • Selection
50
Q

Strategies of acquisition

A
  1. Outsourcing recruitment activities to a specialist service/source
  2. Embracing new technologies in selection activities
51
Q

Induction

A

Activities to introduce new employees to business including its processes, culture and expectations.

52
Q

Types of training

A

On the job: develop skills whilst actually on the job (supervision in operations).
Off the job: employers encourage employees to develop skills by attending a course (first aid)

53
Q

Performance Appraisal

A

Process of analysing and evaluating employee performance for strengths, weaknesses and opportunities for further development.

54
Q

3 types of employment contracts

A

awards, enterprise agreements, individual contracts

55
Q

What is an award?

A

Sets out minimum terms and conditions that apply to a particular employment role, profession or industry.

56
Q

Advantages of an award

A

set a minimum for pay + conditions, cover + protect all employees from exploitation.

57
Q

Disadvantages of an award

A

inflexible - may not suit all employees, prevent recognition of individual initiative.

58
Q

What is an enterprise agreement?

A

A negotiated arrangement between an employer and group of employees.

59
Q

Advantages of enterprise agreement

A

involvement of employees, possibility of improved pay + conditions, flexibility.

60
Q

Disadvantages of enterprise agreement

A

inequity in wage rates between employees, disadvantage employees with poor bargaining skills.

61
Q

What is an individual contract?

A

Cover workers specific to them and contracts are signed individually and in secret. Common among managers or high income earners.

62
Q

Advantages of individual contract

A

right to sue for compensation, flexibility, individual initiative awarded.

63
Q

Disadvantages of individual contract

A

no union representation, exploitation of employees due to bargaining skills, expense of court case if you sue.

64
Q

What is maintenance?

A

Refers to the activities of the business to ensure staff remain with the business and complete tasks to best of ability.

65
Q

Two types of awards

A

monetary (money based) and non-monetary (privileges + opportunities)

66
Q

2 types of separation

A
  1. Voluntary - person decides to leave

2. Involuntary - forced to leave

67
Q

Examples of voluntary separation

A
  • Promotion at another business
  • Start own business
  • Change of lifestyle
  • Retirement
68
Q

Examples of involuntary separation

A

dismissal, retrenchment, redundancy

69
Q

What is a cash flow statement?

A

Shows a summary of cash transactions which have occurred over a period of time

70
Q

Examples of inflows

A
  • Initial capital
  • Sales revenue
  • Money received from loans
  • Sale of land, machinery etc.
71
Q

Examples of outflows

A
  • Wages + salaries
  • Stock
  • Repayment of interest on loan
  • Purchase of assets
72
Q

Closing balance calculation

A

Closing balance = opening balance + net cash increase + decrease

73
Q

Income statement

A

Determine the business operating outcome for a stated period.

By matching revenue with the expenses incurred in earning the revenue.

74
Q

3 categories of expenses

A
  • Admin: expenses associated with running the business
  • Selling: expenses associated with selling + delivering products to customers
  • Finance: expenses related to borrowing money
75
Q

Profit calculation

A

Profit = revenue – expenses

76
Q

Gross profit calculation

A

Gross profit = sales – cogs (cost of goods)

77
Q

Net profit calculation

A

Net profit = gross profit – other expenses

78
Q

COGS calculation

A

COGS = opening stock + purchases – closing stock

79
Q

What is a balance sheet?

A

Show us the financial position of a business at a point in time. Provide a snapshot of what the business owns and how they paid for it.

80
Q

Accounting equation

A

Assets = liabilities + owners equity

81
Q

Assets

A

What the business owns or directly controls  items of financial value.

82
Q

Examples of current assets

A

Easily converted into cash (within 1 year)

e.g. stocks, accounts receivable (money owed by customers), cash

83
Q

Examples of non-current assets

A

Unlikely or harder to convert to cash within 1 year.

e.g. buildings, machinery, vehicles

84
Q

Liabilities

A

Debts owed by business and will need to be repaid.

85
Q

Examples of current liabilities

A

Short-term debts must be repaid within 1 year.

e.g. overdrafts, accounts payable (money owed to suppliers)

86
Q

Examples of non-current liabilities

A

Long-term debts repaid over a longer period than 1 year.

e.g. mortgage, business loan or debentures (fixed interest loan)

87
Q

Owners Equity

A

Owners claim in business. Amount of capital they have put into business.

  1. Capital (money put in by owners)
  2. Retained profits (previous profits reinvested in business)
88
Q

Advantages of ethics

A
  • Develops good reputation

- Improved sales and profits

89
Q

Ethics in operations

A

honour commitments

90
Q

Ethics in marketing

A

truthful in communication with stakeholders

91
Q

Ethics in HR

A

being honest, fair and truthful in communication with stakeholders

92
Q

Ethics in finance

A

avoiding conflicts of interest, being honest and accurate in accounting

93
Q

Triple bottom line

A

people, planet, profit

94
Q

Two types of change

A

Transformational change = complete restructure throughout whole organisation

Incremental change = minor changes, usually involving only a few employees

95
Q

3 steps of change management

A
  1. identify need for change
  2. formulate appropriate, timely responses
  3. reduce resistance to changes
96
Q

Signals of need for change

A

o loss of sales
o decreasing market share
o negative financial performance/position
o employee dissatisfaction

97
Q

3 steps of Kurt Lewin Model

A 
Unfreeze = break down support of existing system  Change = explanation, modelling + practice  
Refreeze = reinforce change behaviour
98
Q

4 sources of resistance

A

financial costs, inertia of owners + managers, cultural compatibility, staffing considerations

99
Q

Who helps overcome resistance

A

Management consultants – help businesses improve performance by investigating existing problems and developing plans for improvement.

Yr 11 Business Studies (3 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions