Small Business Decision Making

Question 0

What is market research?

Answer 0

A process of systematically collecting, recording and analyzing information concerning a specific market.

Question 1

What is demand?

Answer 1

The quantity of a product that consumers are prepared to purchase.

Question 2

What are market conditions?

Answer 2

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.

Question 3

What is innovation?

Answer 3

a new method, idea, product, etc.

Question 4

What is research and development?

Answer 4

(in industry) work directed towards the innovation, introduction, and improvement of products and processes.

Question 5

What is entrepreneurship?

Answer 5

the process of starting a business or other organization.

Question 6

What is business entity?

Answer 6

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.

Question 7

What is incorporated business?

Answer 7

Has a separate legal entity from the owner.

Question 8

What is a sole trader?

Answer 8

Owned and operated by one person.

Question 9

What is unlimited liability?

Answer 9

The business owner is personally responsible for all the debts of his or her business.

Question 10

What is a partnership?

Answer 10

An unincorporated legal business structure with a min of 2 owners and max of 20.

Question 11

What is a silent partner?

Answer 11

They contribute financially to the business but take no part in the running of the business.

Question 12

What is incorporated?

Answer 12

The process that businesses go through to become a registered company and separate legal entity.

Question 13

What are shareholders?

Answer 13

The owners of a company.

Question 14

What is limited liability?

Answer 14

Means that the shareholders in a company cannot be held personally responsible for the debts of that business.

Question 15

What is a proprietary company?

Answer 15

An incorporated business with a min of 2 and a max of 50 private shareholders.

Question 16

What is a public company?

Answer 16

The general public may buy and sell shares in that company.

Question 17

What is cooperative?

Answer 17

A democratic organization owned and controlled by the people and it serves, who join together for a common benefit.

Question 18

What is trust?

Answer 18

A business structure where a trustee holds property or carries out business on behalf of the members of the trust, known as beneficiaries.

Question 19

What is goodwill?

Answer 19

The momentary value attached to the reputation of a particular business.

Question 20

What is a franchise?

Answer 20

Means buying the rights from another business to distribute its products under its name.

Question 21

What is a franchiser?

Answer 21

An individual or organisation that grants a franchise.

Question 22

What is a franchisee?

Answer 22

An individual or organization that purchases a franchise.

Question 23

What is zoning?

Answer 23

A means by which local councils allocate land for different uses, such as residential, commercial, recreational and industrial.

Question 24

What are complimentary businesses?

Answer 24

Offer products or services that are related to a different business and that may be of use to the customers of that business.

Question 25

What is a solicitor?

Answer 25

Provide information concerning business formation and structures.

Question 26

What are accountants?

Answer 26

Provide valuable advice on all financial management issues and taxation obligations.

Question 27

What is a bank manager?

Answer 27

Can provide info and advice on financial services, source of finance and basic business management.

Question 28

What is BEC?

Answer 28

A not for profit network of business enterprise centers which provide support to small business owners.

Question 29

What are chambers of commerce?

Answer 29

Local associations of business people, usually centered around a suburb or region. Provide tax advice, explain of legislation.

Question 30

What is VECCI?

Answer 30

The states main employer group and Australia’s largest multi-industry employer organisation. Concerned with human resources and industrial relations issues.

Question 31

What is small business association of Australia and New Zealand?

Answer 31

This lobby group provides a forum for exchanging news and views relating to small business matters.

Question 32

What are trade associations?

Answer 32

Offer specific industry info and assistance.

Question 33

What is federal government?

Answer 33

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.

Question 34

What is state government?

Answer 34

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.

Question 35

What is local government?

Answer 35

Local councils offer advice on land zoning, assist with subsided land and consider development applications.

Question 36

What are informal networks?

Answer 36

Business people can use their network of friends and colleagues, as well as other local business owners to gain info and advice.

Question 37

What are business ethics?

Answer 37

The application of moral standards to buisness behavior.

Question 38

What is socially responsible managment?

Answer 38

Managing an organisation in such a way that the broader social welfare of the community is taken into consideration when making business decisions.

Question 39

What are stakeholders?

Answer 39

Individual or groups with an interest in the success of the business.