mcq terminology Flashcards
history kid does business like an econ kid (and doesn't fail) 😀
Franchise
Someone opens a location of a brand
Sole Proprietorship
Owner has full control and runs the entire business (also unlimited liability)
Corporation
Legal entity owned by shareholders (owners not liable for debts
Partnership
Two or more people own a business and share liabilities, profits, and losses
Liability
basically debts
channel
how goods/services get from a company to a customer (ex. retailers, wholesalers, or direct online sales)
tort (against a business)
They did something wrong and it causes the company harm/a loss. The injured business may seek compensation via legal action (ex. fraud, defamation, IP infringement).
Wholesalers
purchase products in large quantities from manufacturers and sell them to retailers (or people I guess if you’re costco)
vertical and horizontal channel integration
strategies to control different parts of the supply chain or presence in a market
vertical: company controls more stages of a supply chain (like a clothing company owns manufacturer and retailers rather than just retailers) can control quality and quantity better + distribution
horizontal: merges/buys out a company (increases presence in market without controlling supply chain)
supply chain
starts at production ends when it reaches the customer
supplier (raw materials) -> manufacturer -> distributer/wholesaler -> retailer -> customer
variable vs fixed expenses
variable: factors like material cost can increase/decrease prices (I think an example could be gas)
fixed: paid regularly, price does not change (like if you pay off your car)
sugging
pretend to conduct research but in reality try to build a database or sell things
sovereign/crown/state immunity
you can’t sue them because they cannot commit a legal wrong
slotting fee
fee paid to retailer by supplier to have their products placed on shelves
(project) projection report
estimate of expenses, materials, and timeline
formal inquiry
complaint found valid/complaint undergoing investigation of validity
pressure selling
interaction in which the seller pressures the customer to make a purchase (what it sounds like bro)
opportunity cost
loss of potential gain from other options - NOT how much it costs in a monetary sense
limited-line vs specialty business
Limited-line businesses focus on the quality of their very narrowed-down assortment of products and a wider assortment in this line. Specialty stores carry a limited variety of products comparatively.
copyright vs patent vs trademark vs license
copyright: protects artistic work (28 years apparently but in Canada it’s lifetime + 70 years), can be renewed
patent: protects invention/process (20 years Canada) and these can be licensed, not renewable
trademark: name/symbol on a product
license: permission to own or do something
gdp
monetary value of everything made and sold in a country (per annum I believe)
collectivism
group > you
employee turnover
people leaving company during time period
commercial money
business transactions (cash, bank deposits, electronic payment)
fiat money
legal tender (bills, coins)
commodity money
worth of material (gold coins)
fiduciary money
government approved, has no value (checks, banknotes)
store of value
stable value (can increase but will not depreciate), such as money saved and not spent
restrictive endorsement
signs the back of a check and restricts who it may be used by and which account it goes into
general endorsement
person may decide which account to deposit the amount in
sales invoice
accounting document sent to purchaser provided by provider
marginal utility
more of an item gives additional happiness
situational analysis
analysis of the situation of the business
statement of work (sow)
legally binding contract between a company and external worker outlining a project
project charter
basically a clear outline of why and what’s happening
Pareto principle
Pareto 80/20 rule
20% of work is important = 80% of results
80% of work is less important = 20% of results
outlines prioritizing factors based on their impact
Arbitration
Third party steps in to resolve a matter (arbitrator)
Attrition
Natural reductions in numbers due to deaths, retirements, etc.
Stock-turn
how often a company’s inventory to be sold and restocked over a period of time
capital investment
money invested for a company’s long term growth
protected brands
national (manufacturer)/private/generic brands
stratified random sampling
divided into clear groups
cluster sampling
divided into random clusters
target pricing
method to determine price for a product based on market prices
Oligopoly
limited competition, few businesses (cannot prevent competitors from wielding significant influence as result)
Promotional mix
using a mix of marketing tools to promote products or services
agent
may act on one’s behalf
central tendancy
summarizing data with a value that represents the middle distribution
product life cycle
development, introduction, growth, maturity, and decline
central bank
provides banking services for commercial banks and the government, issues currency and implements policies
commercial bank
offers services to the public and businesses
cooperative bank
owned and used by its members, focuses on financial needs rather than profit
Regional Rural Banks
In India, specifically for people who live in rural communities and work in agriculture
exploratory research
explore a poorly-defined problem in order to define it
casual research
answers a “what if” question through experiments and such (usually costly)
tangible vs intangible output
intangible are not physical, physical and digital products are tangible
enterprise
business/company
environmental scan
scan things inside and outside a business (beginning with people inside and their responsibilities)
