Flashcards
What is a enterprise
Enterprise is seeing a opportunity to provide a product or service that people are willing to buy
What are the components if a buisness plan
Aims and objectives, market plan, Human Resources plan, production plan, finance plan
What is a role of a buisness plan
Identifying markets
Helping with finance
Identifying resources that a buisness needs to operate
Achieve buisness aims and obj
What is a sole trader and give 2 adv and disadv
Sole trader is buisness woned by one person
Adv: the owner keeps 100% profit
They are able to make all desicion
Disadv: unlimited liability
Lack skill in some areas
What is a partnership and give 2 adv and disadv
A parnership is a buisness owned by 2 to 20 people
Adv: alot of skill over different areas of the buisness
Alot of experience and better ideas produced
Disadv: unlimited liability
Profit is shared over all the people
Arguments as they may all not agree on a idea
What is a private limited company and give 2 adv and disadv
A buisness owned by shareholders who only sell privately to friends and family
Adv: limited liability
Continuity
Disadv: profits are given to companies in form if divdends
Cannot sell as much shares as plc
What is a plc and give 2 adv and disadv
A plc is a buisness owned by shareholders who sell to the public
Adv: limited liability
Finance can be raises by selling to the public
Disdv: prifits are shared in forms of dividends
Higher set up cost then partnership and sole trader memorandum and articles of association
Waht are the aims and obj of a buisness
To survive
Make profit
Expand
Market share
Providimg service
What are stakeholders
What are internal stakeholders
What are external stakeholders
Are groups of people who are interested in a buisness
Are the buisness owners and people who work in the business
Are the local community, suppliers, customers and government
Employees
Customer
Suppliers
Government
Local communities
Owners
What is organic growth
It’s concerned with increasing sales of products and services. It is internal, as in it grows by increasing its own size rather than taking over another business
What is external growth
External growth can be achieved by mergers and takeover.
What is eos
Economies of scale is the reduction of unit costs the more the business grows
What is primary objective of marketing
Tk increase the amount of sales
What is market research
Market research is how buisnesses collect information on whether or ont their products or services will be bought
What is primary research and give examples
Brand ne information that is collected by the business examples are:
Questionnaire
Survey
Interview
Focus groups
What is secondary research amd give examples
When a buisness uses information that already exists examples are
The internet
Magazine/ newspaper
Government reports
Competitors websites
What is qualitative data
The data related to attitudes , opinions and feelings. For example reasons why you do/ do not buy a particular product, and your feeling to that brand
What is quantitative data
This is data related to numbers. Fir example the number if times you gonshoppinh per week, or the number of hats you own
What is market segmentation
Market segmentation is where they split people into groups based on age gender lifestyle location
I hat are the four features of a good product
Made of high quality
Innovative
Functional
It meets the need of the customer
The benefits of branding
Brand loyalty in which the customer comes again and again
Higher prices in which well known brands are able to charge higher prices for their goods
The 4 stages of the product life cycle
Introduction
Growth( starts to grow)
Maturity(full potential)
Decline ( falls off)
What are was to extend the cycle of the product
A buisness could lower prices
Redesign packages to make it look more attractive
Advertising the product more widely
What is price skimming
It is where the product starts at the high price then decreases over time
