Business Terms - General Flashcards
These are the basic terms need for the core of this class. A general overview of assigments to come.
Private Sector
Businesses owned by individuals or shareholders.
Industry
A term describing a large-scale economic activity.
Line of business
Informal term describing part of an industry.
Niché
A market within a line-of-business with very specialized needs.
Market
As a noun:
- a place where products or services are bought and sold.
- the sum of a product’s sales.
- a geographical location where goods and products are sold.
As a verb:
- to advertise and sell goods.
Market Share
The portion of the market made up of a single firm’s shares.
Value
The worth of the product.
Benefit
The value created by a product feature.
Feature
A part of the product that creates benefits.
Market needs
What people want when they are in the market for a good or service.
Quality
Informally, something well-built.
Profit
Money left over when costs and expenses are paid.
Gross sales
The total amount of money received from customers for their purchase of products or services for a specific time period: month quarter or year.
Competitor(s)
Business offering similar products or services in the same markets.
Competitive Advantage (products)
Why a product or service is better than competitors’ product and services.
Threat
An person, place or thing that may reduce an entity’s success. e.g. A new technology, a superior product introduced by a competitor, inexperience within the firm, or a new law.
Competitive Advantage (firms)
Why a firm is better than its competitors.
Competitive Advantage (nations)
The qualities of a nation enabling it to produce or market better than others.
Entrepreneur
Someone who starts a business.
Sole Proprietorship
A business entity owned and operated by a single person.
Corporation
A legal entity defined by the legislatures of the states and the federal government to protect owners and employees from lawsuits. In court, considered a “person.”
Subjected to laws regarding financial reporting, tax, being its to employees, ownership.
Subsidiary
A corporation owned by another cooperation
Non- profit
S cooperation that furthers the public good, largely funded with philanthropic donation.
Co-operative
A cooperation owned by members, usually established to gain economic advantages.
By law prevent single investors from gaining control. All members benefit.
Investor
Some who pays money for shares of ownership on an enterprise.
ie may mean stork or a formal agreement about the assets of an enterprise.
Capital
Money available for investment
Investment
Cash transferred to a business entity in exchange for equity, normally defined as one or more shares of stock (specifying a percentage of the total value of the business entity).
Free market
A fantasy
Income (wealth) inequality
Two or more distinct class exist in society, differentiated by income or wealth.
