The Dynamic Nature Of A Business

Question 1

What are businesses referred to as?

Answer 1

• Dynamic

Question 2

What changes as customers tastes and the markets change?

Answer 2

• Services
• Goods
  A business that stays up to date will have a better chance of growth and survival.

Question 3

What are the three main reasons that new business ideas are created?

Answer 3

• Changes in technology
• Changes in consumers’ tastes
• Products and services becoming obsolete (not needed anymore / outdated)

Question 4

What have the changes in technology lead to?

Answer 4

• New business ideas

Question 5

What can consumers’ tastes increase?

Answer 5

• People being health conscious
• People being environmentally aware
• The demand for a product
• The popularity of particular goods and services
  Changes in customers’ dietary requirements have created a bigger market for plant-based foods. The rise in dessert culture has led to the opening of new dessert parlours on the high street.

Question 6

What does obsolete mean?

Answer 6

• Products becoming outdated and replaced with new ideas that better meet the needs of consumers.

Question 7

How are new business ideas generated?

Answer 7

• To fill a gap in the market
• To improve an existing business idea