Influences On Business Flashcards
ICT
The computing and communication systems that a business might use to exchange information in a business between stakeholders
What are intranets
Communication networks which can only be used by employees
What are extranets
Communication networks that can only be used by other organisations like suppliers
What is cloud computing
A term for the delivery of computing services like storing lots of data by a business
What are software robots
Advanced computer programs that carry out administrative activites that were before carried out by employees
What is an m commerce
The act of buying and selling products through wireless devices such as phones
What is an e commerce
The act of buying or selling a product through electronic systems such as the internet
What are ethics
Wether a businesses decision is morally right or wrong, it is judged on what is morally right
What are fair trade products
Products whose customers pay higher prices so that employees and any workers to do with the business get a fair wage
What is social responsibility
An approach to business decisions that takes into account all groups in society
What is a pressure group
A group of people who share a common interest and influence the public decisions
What is sustainibility
Refers to how production can be continued in the long term without damaging the enviornment
What is the economic climate
The level of goods, services and available jobs in a country
Whats the economy made up of
Millions of consumers, businesses and the government
What are interest rates
The rate of borrowing money, in a loan or for saving money in a bank
What is an overdraft
A flexible loan which businesses can use up to a limit
What is consumer spending
The value of goods bought by consuemrs over time
What is income elastic products
Sales that change based on the consumers income
What is a tariff
A tax on foreign goods imported into another country
What are exports
Goods and services produced by another business and sent a foreign country
What is inward investment
When governments , businesses ans induviduals invest capital into another country, a foreign one. Like building factories
What is product design
The need of consumers. Entrepreneurs invent into a saleable product
What is quality
How much a product / service satisfies a consumer
What is legislation
The set of rules by a government to change how a society operates
What is the national living wage
The hourly rate of pay set by the government, based on their age they must at least recieve that amount
What is a trade union
A group of workers who work to improve pay and conditions
What is a contract of employment
A legal document stating the hours, rates of pay of an employee
What are consumer laws
Laws that have been put in place to prevent businesses from treating customers unfairly
Give an example of a UK export
A car made in the UK sold to a foreign business in another country e.g Spain
How can a weak currency be bad for a business
Bad for a business that exports as it will be more expensive
Give an example of a UK import
A mobile phone made in China is sold to UK customers
Imports and exports difference
Imports : goods bought from another country , into the UK
Exports : goods that are sold in another country,
How do you remember a strong pound’s effect
SPICED
S-Strong P-Pound I- Imports
C-Cheaper E-Exports D-Dearer
How do you remember the effect of a weak pound
The opposite effects of SPICED
In what strength of the pound is importing more expensive
Weak pound
3 drawbacks of globalisation
Enviornmental degregation
Widening wealth gap
Loss of cultural identity
3 benefits of globalisation
Better information exchange
More variety of goods and services
Acess to cheaper land / more opportunities
What are markets
Places where there are buyers and sellers of a product/service
What is a monopoly
When a business does not face any competition in a market
What is competition
When more than one business tries to attract the same customers
What is a recession
When the value of a economies output of goods and services decreases for more than six months
What is diversification
When a business starts selling new products in new markets
Exports
Out of the country
Imports
Into the country
Imports
Into teh country
Why promotion
Informing customers / reminding them of a product and getting new customers
Ways of sales promotion
Online ads
Mails
Emails
Does marketing increase sales
It can as its purpose it to attract as many people as possible to your product
How do you compete in a business
Price, new products and advertisement
What is the market volume
The amount of a specific products in a market sold e.g pizza
How do you measure mean growth in a business or market
Percentage change between years, add them up and divide by total years passed e.g 2016 , 2017, 2018
____________ divided by 3
