paper 2 revision Flashcards
paper 2 mistakes
why person may set up their own business
made redundant own boss flexible working hours profit recognition and status creative / own ideas
advantages of part time employees
flexible hours
more hours when busy
easier to recruit
willing to accept lower pay / only work when busy
advantages of full time employees
trained
more committed
promotion
easier to communicate with
features of leaflets
cheap printing costs wide range of people can contain promotion can be kept for later use may be seen as junk (-)
features of the local newspaper
target market not seen by young people cheaper than national advertising a lot of info black and white
features of social media
free backs up reputation video and audio can be added can be targeted may be seen as fake/scam
ways break-even analysis = useful for business
sales needed for break even safety / profit margin profits/loss depending on output effect of change in price OR costs on break even persuade bank manager --> loan
roles of marketing
identify customer needs satisfy customer needs maintain customer loyalty gain information about customers anticipate changes in customer needs
importance of quality
establishes a brand image brand loyalty good reputation increases sales attracts new customers can charge a higher price ensure food safety regulations are met avoids costs of defects/waste increases market share
reasons why finance is needed
capital expenditure - machinery, owners capital insufficient
working capital - wages, output depends on it, prevents cash flow problems / illiquidity
new product - market research, outflow without inflow
start up - raw materials, not enough owners capital, time required to generate enough cash to pay for assets
quality control (-)
costs of inspector
source of fault unknown
doesn’t eliminate faulty process
high costs of fixing defects
quality assurance (+)
(define)
less customer complaints
less costs due to less defects
employees feel trusted = motivator
quality assurance (-)
expensive to train employees
rely heavily on employees
longer to produce output
application forms
wide range of written information easier to compare applicants time to review applicants may lie shows qualifications
interview
can easily assess personality tests for team work if unfriendly... increases costs can explain questions
aptitude test
cant lie about own skills
prevents unsuitable person being employed
easier to select most skillful person
expensive and time consuming
increase in minimum wage
improved motivation increased costs costs may not changed if already above minimum wage competition for workers increase in potential customers
advertisement control
may need to be changed - less attractive
if truthful - no difference
competitors have to tell truth - may increase sales
no waste plastic to landfills
increase costs to remove waste
if competitors have more waste - business has increased sales
train workers to be efficient
environmentally friendly as a goal
brand image less legal problems employees prefer it less pressure groups ... higher costs less competitive
