Small Business Decision Making Flashcards
What is market research?
A process of systematically collecting, recording and analyzing information concerning a specific market.
What is demand?
The quantity of a product that consumers are prepared to purchase.
What are market conditions?
Characteristic of a market into which a firm is entering or into which a new product will be introduced, such as number of the competitors, level or intensity of competitiveness, and the market’s growth rate.
What is innovation?
a new method, idea, product, etc.
What is research and development?
(in industry) work directed towards the innovation, introduction, and improvement of products and processes.
What is entrepreneurship?
the process of starting a business or other organization.
What is business entity?
There are many types of business entities, such as sole proprietorships, partnerships, corporations, and government entities. There are a number of reasons for the business entity concept, including: Each business entity is taxed separately.
What is incorporated business?
Has a separate legal entity from the owner.
What is a sole trader?
Owned and operated by one person.
What is unlimited liability?
The business owner is personally responsible for all the debts of his or her business.
What is a partnership?
An unincorporated legal business structure with a min of 2 owners and max of 20.
What is a silent partner?
They contribute financially to the business but take no part in the running of the business.
What is incorporated?
The process that businesses go through to become a registered company and separate legal entity.
What are shareholders?
The owners of a company.
What is limited liability?
Means that the shareholders in a company cannot be held personally responsible for the debts of that business.
What is a proprietary company?
An incorporated business with a min of 2 and a max of 50 private shareholders.
What is a public company?
The general public may buy and sell shares in that company.
What is cooperative?
A democratic organization owned and controlled by the people and it serves, who join together for a common benefit.
What is trust?
A business structure where a trustee holds property or carries out business on behalf of the members of the trust, known as beneficiaries.
What is goodwill?
The momentary value attached to the reputation of a particular business.
What is a franchise?
Means buying the rights from another business to distribute its products under its name.
What is a franchiser?
An individual or organisation that grants a franchise.
What is a franchisee?
An individual or organization that purchases a franchise.
What is zoning?
A means by which local councils allocate land for different uses, such as residential, commercial, recreational and industrial.
What are complimentary businesses?
Offer products or services that are related to a different business and that may be of use to the customers of that business.
What is a solicitor?
Provide information concerning business formation and structures.
What are accountants?
Provide valuable advice on all financial management issues and taxation obligations.
What is a bank manager?
Can provide info and advice on financial services, source of finance and basic business management.
What is BEC?
A not for profit network of business enterprise centers which provide support to small business owners.
What are chambers of commerce?
Local associations of business people, usually centered around a suburb or region. Provide tax advice, explain of legislation.
What is VECCI?
The states main employer group and Australia’s largest multi-industry employer organisation. Concerned with human resources and industrial relations issues.
What is small business association of Australia and New Zealand?
This lobby group provides a forum for exchanging news and views relating to small business matters.
What are trade associations?
Offer specific industry info and assistance.
What is federal government?
Operates a website as a service to businesses of all sizes, offering access to all government departments with advice on everything from fair trading to taxation.
What is state government?
In vic, the department of business and innovations business Victoria website providers and entry and links to info and support in all aspects of managing a business.
What is local government?
Local councils offer advice on land zoning, assist with subsided land and consider development applications.
What are informal networks?
Business people can use their network of friends and colleagues, as well as other local business owners to gain info and advice.
What are business ethics?
The application of moral standards to buisness behavior.
What is socially responsible managment?
Managing an organisation in such a way that the broader social welfare of the community is taken into consideration when making business decisions.
What are stakeholders?
Individual or groups with an interest in the success of the business.
