People In Business Flashcards
What is a stakeholder?
An individual or group that has an interest in the success of a business.
What does an entrepreneur do?
Spots a gap, takes personal/financial risk to make a profit.
What is the role of an investor?
Gives capital to fund a business for a return on their investment.
What is an employer?
Hires employees to carry out work, paying them wages.
What is an employee?
Is paid wages to carry out work for their employer.
What does a manager do?
Runs a business or part of it (department) for the entrepreneur.
What is a producer?
Manufactures goods from raw materials, combining the factors of production.
What is a supplier?
Sells a business goods (stock) or partly finished goods (raw materials).
What is a service provider?
Offers a business services such as electricity, internet, legal, banking.
Who is a consumer?
Buys goods/services for their own consumption.
What is the government’s role in business?
Sets rules and laws, gets paid taxes, creates suitable climate for businesses.
What is an interest group?
Lobbies/negotiates on behalf of a group with a common interest.
What is a competitive relationship between stakeholders?
Win-lose: one party benefits at the expense of another.
What is a co-operative relationship between stakeholders?
Win-win: mutual benefit for both parties when working together.
What are the elements of a legally valid contract?
Offer and acceptance must exist; agreement of terms offered, consideration, legality of form, consent to contract, capacity to contract, legality of purpose, intention to contract.
