Size of Business Flashcards

1
Q

revenue

A

the total value of sales made during the trading period = selling price * quantity sold

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

capital employed

A

the total value of a long term finance invested in the business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

market capitalisation

A

the total value of a company’s issued shares

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

market share

A

sales of the business as a proportion of total market sales

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

organic growth

A

expansion of a business by means of opening new branches, shops, or factories

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

external growth

A

business expansion achieved integrating with another business by either merger or takeover

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

merger

A

an agreement by owners and managers of two businesses to bring them together in a new combined business. This is often referred to as a friendly merger

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

takeover

A

when a company buys more than 50% of the shares of another company and becomes its controlling owner

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

horizontal integration

A

integration with a business in the same industry and at the same stage of production

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

vertical integration

A

integration with a business in the same industry

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

forward vertical integration

A

vertical integration with a customer business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

backward vertical integration

A

vertical integration with a supplier business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

conglomerate integration

A

integration with a business in a different industry

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

synergy

A
How well did you know this?
1
Not at all
2
3
4
5
Perfectly