Influences On Business Decisions Flashcards
Mittelstand
The family owned small and medium sized businesses that are the backbone of the german economy
Intuition
Deducing something from circumstances without any direct evidence
Stock market index
A weighted average of the share prices of many companies added together, adjusted to equal 100, then measured for percentage change over time
Bureaucratic
An organisation in which initiative is stifled by paperwork and excessive checking and rechecking of decisions and actions
Person culture
An organisation, such as a legal practice, where common training practices mean everyone is trusted to get on with their jobs with minimal supervision
Power culture
The boss as spider in the web, with every decision going through him or her. Power is kept at the top.
Psychometric tests
Designed to test the psychological make up of a candidate-that is, the personality and character of an individual
Role culture
Where the job is treated as of more importance than the individual; this will be a bureaucratic, risk avoiding culture
Task culture
Making the task or project the focus, with staff brought in to form a temporary team empowered to get the task completed successfully
Pressure group
A group of people with a common interest who try to further that interest
Shareholder
An owner of a company
Shareholder value
A term widely used by company chairmen and chairwomen, which means the attempt to maximize the company’s share price
Social responsibilities
Duties towards stakeholder groups, which the firm may or may not accept
Stakeholder
An individual or group that affects and is affected by an organisation
Corporate culture
The culture of an organisation is the code that affects the attitudes, decision making and management style of its staff
Corporate social responsibility
A term intended to sum up the ethically driven activities of a business; but often it’s an extension of the PR department
Vested interest
When there’s a personal reason for making a decision
Whistleblowing
When an employee decides they can’t accept a moral dilemma so informs either senior staff or the media
Earnings per share
Company profits after tax divided by the number of shares issued; a rising EPS makes it easy to pay out rising dividends to shareholders
