Chapter 2 Small Business - Decision Making

Question 0

Market research

Answer 0

Market research is a process of systematically collecting, recording and analysing information concerning a specific market.

Question 1

What is demand?

Answer 1

Demand is the quantity of a product that consumers are prepared to purchase.

Question 2

Market conditions

Answer 2

Market conditions are a features of a market into which a new product or service is to be introduced, and include factors such as the number of potential customers, level of competition and potential for growth.

Question 3

Research and development

Answer 3

Is a set of activities undertaken to: improve existing products,create new products and improve production.

Question 4

Entrepreneurship

Answer 4

Is the ability and willingness to start, operate and assume the risk of a business venture in the hope of making a profit.

Question 5

Innovation

Answer 5

Is either creating a new product, service or process, or significantly improving an existing one.

Question 6

Business entity

Answer 6

A business entity is any organisation engaged in the production of goods and service.