Revision Flashcards
(30 cards)
What is e-commerce?
Selling products online
What is m-commerce?
Selling products on a mobile device
How do you calculate percentage change?
You do the new number minus the original. Then divide that by the original and times by one hundred. B-A/A x100.
What is revenue?
The money coming in. For example if a can of coke costs 50p and one is bought the revenue is 50p.
How do you calculate revenue?
The price of the product times the quantity. For the coke can it would be 50p x Q.
What is profit?
The money that the company keeps.
How is profit calculated?
Profit is the revenue minus costs.
What are some rewards of starting a new business?
Being your own boss. Creating something new. Providing quality products or services. Providing jobs for others of helping the local community. Make profit.
What are some risks of starting your own business?
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.
What is cash flow?
The amount of money coming in compared to the amount of money going out.
What is the riskiest stage for a business?
Startup. Approximately one third fail within the first three years.
On average what percentage of new products are unsuccessful?
80%. However innovative businesses still continue to develop and launch them.
Who’s money does an entrepreneur’s decision risk?
Decisions risk there own money and reputation, also that of investors and lenders.
Define the term startup
A newly established business.
How many businesses are in the U.K.?
5.5 million
What number of these businesses are micro?
5.3 million
How many of these businesses are small?
204,000
How many of these businesses are medium?
33,000
How many of these businesses are large?
7,000
How many of employees does each of these business sizes have?
Micro (1-9), small (10-49), medium (50-249) and large (250+)
Who is the richest man in the world?
Bill Gates
Who was briefly the richest man in the world during the summer?
Jeff Bezos
What are the objectives that a good brand will achieve?
~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
What does USP stand for?
Unique Selling Point
