business studies mock mistakes Flashcards
what is a impact of a decrease in interest rates
customers will borrow more money
explain one way the internet may affect where a small business chooses to allocate
- could chose cheaper location- e commerce
-good internet connection- communicate with stakeholdres
-barriers in communication
explain on disadvantage to a small business of not paying its employees on time
the employees will be mad and can quit leading to less workers therefore a decrease in profit would happen
discuss the impact on a small business from adapting existing products todevelop new businesses ideas
- may not be as innovative
- may not meet customers needs
- increase waste of money
explain one impact on a business using flow production
Flow production reduces the lead time, as items move along a continuous flow of automated machines. A short lead-time means that the product can be delivered more quickly, which improves customer satisfaction
explain one reason why business may decide to reduce the size of its workforce
-help to reduce overrall business costs
explain one disadvantage to a business of having poor relationship with its suppliers
- lack of transparency
-if the buyer and supplier relationship isn’t open and transparent, this can lead to a misunderstanding of business needs. If the correct information isn’t shared between each party, this can mean that vital business opportunities could be missed.
give one stage of the sales process
- presentation
-preparation
-approach
define the term person specification
a description of the qualifications, skills, experience, knowledge and other attributes (selection criteria) which a candidate must possess to perform the job duties.
define the term quality control
how a company measures product quality and improves it if need be.
state one reason why a business may provide induction training for new employees
-new employees are more familiar
state one reason why a business would employ temporary staff
a busy time of the year when a furniture sales is hapenning requires more sales assistances
explain one reason why cash flow forecatsing is important to a business
it will tell you if you’ll have enough cash to run the business or expand it. It will also show you when more cash is going out of the business than in
explain one reason why diseconomies of scale may occur
when a company or business grows so large that the costs per unit increase
explain one reason why businesses continually design new products
- to target new markets, -increase market share,
-sell more
-increase revenue
outline one reason why a business would read reports issued by goverments
- if a government reported that it was going to reduce the amount of money people would have to spend by increasing income tax, this could mean that peole might nor purchase more products
