Influences on business

Question 1

what is the definition of ethical?

Answer 1

concerned with what is right and wrong or behaving in a morally correct way

Question 2

how do you ethically treat workers?

Answer 2

not employ child labour, fair wages, safe working conditions

Question 3

how do you source materials ethically?

Answer 3

not buying from suppliers who do not produce in a sustainable way, avoid buying from business that employ child labour

Question 4

how do treat customers ethically?

Answer 4

not overcharging, avoid making false claims

Question 5

how do you treat suppliers ethically?

Answer 5

avoid late payment, pay fair prices

Question 6

what are the advantages of behaving ethically in business?

Answer 6

sales may be higher because of their reputation, increased retention

Question 7

what are the disadvantages of behaving ethically in business?

Answer 7

higher costs because paying a fairer wage
investment may be lower due to lower profits

Question 8

what is the definition of climate change?

Answer 8

what average temperatures rise or fall and patterns of weather change

Question 9

what is the definition of environmentally friendly?

Answer 9

describes consumers and businesses that act to make production sustainable

Question 10

what is the definition of pollution?

Answer 10

causing harm to the environment, including air, land and water

Question 11

what is the definition of sustainability?

Answer 11

production that does not lead to the depletion of natural resources

Question 12

what is the definition of waste disposal?

Answer 12

the process of getting rid of unwanted materials

Question 13

what are the advantages of being environmentally friendly for a business?

Answer 13

costs may be lower due to less waste, lower taxes

Question 14

what are the disadvantages of being environmentally friendly for a business?

Answer 14

production costs may be higher, sales may be lower if the business charges a higher price

Question 15

what is the definition of consumer income?

Answer 15

the amount of money consumers receive from work and from assets they own

Question 16

what is the definition of economic climate?

Answer 16

refers to how well the country is doing in terms of levels of income and employment

Question 17

what is the definition of level of income?

Answer 17

the average income of people in a country

Question 18

what is the definition of level of unemployment?

Answer 18

the number of people out of work in a country and aren’t looking for work

Question 19

how could a rise in incomes and employment impact a business?

Answer 19

increase in sales, sales of luxury goods will increase, cheaper goods and services may fall in sales

Question 20

how could a business change its strategy of production when income and employment fall?

Answer 20

try reduce costs by reducing waste and motivating workers

Question 21

how could a business change its strategy of human resources when income and employment fall?

Answer 21

try reduce costs by improving works productivity or laying off workers

Question 22

how could a business change its strategy of finance when income and employment fall?

Answer 22

try reduce costs by taking out cheaper loans or reducing its overdraft

Question 23

how could a business change its strategy of marketing when income and employment fall?

Answer 23

try increase sales by increasing advertising or lowering prices and producing cheaper products

Question 24

what is the definition of globalisation?

Answer 24

the process by which business activity around the world has become increasingly interconnected

Question 25

how are businesses connected by global buying and selling?

Answer 25

businesses buy and sell goods and services from and to each other

Question 26

how are businesses connected by global production?

Answer 26

businesses may produce all or part of a product in different countries

Question 27

how are businesses connected by global movement of people?

Answer 27

businesses may recruit workers from other countries and send workers to do work abroad

Question 28

how are businesses connected by global movement of capital?

Answer 28

businesses may raise investment money from other countries by borrowing money and selling shares

Question 29

what is the definition of international brand?

Answer 29

an image or values for a product that are communicated in countries around the world

Question 30

what is a definition of multinational companies?

Answer 30

businesses that operate in different countries around the world

Question 31

what are the advantages of locating abroad?

Answer 31

lowering production costs, different skilled workers

Question 32

what are the disadvantages of locating abroad?

Answer 32

transport costs may be higher, sales may be lost