Revision

Question 1

What is e-commerce?

Answer 1

Selling products online

Question 2

What is m-commerce?

Answer 2

Selling products on a mobile device

Question 3

How do you calculate percentage change?

Answer 3

You do the new number minus the original. Then divide that by the original and times by one hundred. B-A/A x100.

Question 4

What is revenue?

Answer 4

The money coming in. For example if a can of coke costs 50p and one is bought the revenue is 50p.

Question 5

How do you calculate revenue?

Answer 5

The price of the product times the quantity. For the coke can it would be 50p x Q.

Question 6

What is profit?

Answer 6

The money that the company keeps.

Question 7

How is profit calculated?

Answer 7

Profit is the revenue minus costs.

Question 8

What are some rewards of starting a new business?

Answer 8

Being your own boss. Creating something new. Providing quality products or services. Providing jobs for others of helping the local community. Make profit.

Question 9

What are some risks of starting your own business?

Answer 9

A competitor could do something better than you. A technical aspect of your product could go wrong. You may not be able to raise enough money to launch what could be a great idea. You could work very long hours without a guaranteed pay. Entrepreneurs often have to give up well paid jobs. You may use savings and borrow money to start a business, it could be years before the company starts making a profit. All of these different elements could lead to bankruptcy and a failed business.

Question 10

What is cash flow?

Answer 10

The amount of money coming in compared to the amount of money going out.

Question 11

What is the riskiest stage for a business?

Answer 11

Startup. Approximately one third fail within the first three years.

Question 12

On average what percentage of new products are unsuccessful?

Answer 12

80%. However innovative businesses still continue to develop and launch them.

Question 13

Who’s money does an entrepreneur’s decision risk?

Answer 13

Decisions risk there own money and reputation, also that of investors and lenders.

Question 14

Define the term startup

Answer 14

A newly established business.

Question 15

How many businesses are in the U.K.?

Answer 15

5.5 million

Question 16

What number of these businesses are micro?

Answer 16

5.3 million

Question 17

How many of these businesses are small?

Answer 17

204,000

Question 18

How many of these businesses are medium?

Answer 18

33,000

Question 19

How many of these businesses are large?

Answer 19

7,000

Question 20

How many of employees does each of these business sizes have?

Answer 20

Micro (1-9), small (10-49), medium (50-249) and large (250+)

Question 21

Who is the richest man in the world?

Answer 21

Bill Gates

Question 22

Who was briefly the richest man in the world during the summer?

Answer 22

Jeff Bezos

Question 23

What are the objectives that a good brand will achieve?

Answer 23

~Clearly, delivers the message
~Confirms your credibility 
~Emotionally connects your target prospects with your product or service 
~Motivates the buyer to buy
~Creates user loyalty

Question 24

What does USP stand for?

Answer 24

Unique Selling Point

Question 25

Who is the boss of amazon?

Answer 25

Jeff bezos

Question 26

What did amazon sell to start with?

Answer 26

Books

Question 27

Which 2 are part of the purpose of business activity?

Produce goods/services | Make more profit | Increase sale | Meet customer needs

Answer 27

Produce goods/services | Meet customer needs

Question 28

Which 2 are ways of adding value?

Buying a new warehouse | Recruiting more office workers | Improve branding | Creating a USP

Answer 28

Improve branding | Creating a USP

Question 29

What will help minimise risks?

Answer 29

Planning, market research, looking for a gap in the market

Question 30

How can added value can be achieved?

Answer 30

Have a strong brand, having a USP, offering convenience to the customer