nature of markets Flashcards
What are internal influences? identify some of them.
internal influences can be controlled by business management. this includes location, management, and resources
What are external influences? identify some of them.
external influences are those businesses can’t control but must be monitored. this includes technological developments, ,economic change, social change, government decisions (law & policies), competition and globalisation
what does globalisation mean?
moving away from self-contained countries and toward a more integrated world
What is the globalisation of business?
change in a business from a company associated with a single country to one that operates in multiple countries
What is market globalisation?
the decline in barries to selling in countries other than your home country
what is production globalisation?
the selling of materials and services from other countries to gain advantage from price differences in different nations - lower prices for consumers
What is the quality of entrepreneurship?
they have the willingness to take the risk to open a new business and to make it a success requires the quality of entrepreneurship
How does innovation differ from invention?
innovation differs from invention, which is new product development, but both are important in business
What is CSR?
corporate social responsibility involves going above and beyond legal and financial implications when making business decisions
What is the triple bottom line?
when a business considers the financial, social and environmental consequences of its decision (people, planet, profit)
What are stakeholders and identify them.
they are anyone who has an interest in the business. they include the environment, suppliers, employees, community
Why have CSR?
stakeholders are looking for ethical businesses
Why is ethical decision making and CRS important?
because stakeholders will go elsewhere and that will result in no business growth
What are the advantages of CSR?
improved brand reputation, increased profits, more productive workforce, attract ethical investors
What are the disadvantages of CSR?
cost, lower profits, perception of greenwashing
