External Influences on Business Activity Flashcards
Privatisation
the act of selling state - owned and controlled business organisations to investors in the private sector
Nationalisation
the transfer of privately owned businesses to state (government) ownership and control
Minimum Wage
employers are not allowed to pay less than the set minimum wage per hour (in some countries it is a minimum payment per week or per month)
Monopoly
a market in which there is only one supplier with no close competitors
Collusion
businesses agree to work together and restrict competition by fixing prices and sharing contracts between themselves
Social audit
a report on the impact a business has on society
demographic
relating to the structure of the population
globalisation
the increasing freedom of movement of goods, capital and people around the world
information technology
the use of electronic technology to gather, store, process and communicate information
job enrichment
aims to use the full capabilities of workers by giving them the opportunity to do more challenging and fulfilling work
protectionism
the use of barriers to free trade to protect a country’s domestic industries
tariff
a tax composed on an imported product
quota
a physical limit placed on the quantity of imports of certain products
voluntary export limits
agreed limits to the quantity of certain goods sold by one country to another (possibly to discourage the setting of tariffs/quota)
free international trade
trade with no restrictions or barriers that might prevent or limit trade between countries
greenwashing
giving a false impression or providing misleading information about how a company’s products are environmentally sound and sustainable
environmental audit
assesses the impact of the activities of the activities and decisions of a business on the environment
sustainability
activities that meet the needs of the present without compromising the ability of future generations to meet their needs
green consumerism
the trend for consumers to only buy products that are produced sustainably without environmental damage
