Theme 1

Question 1

What is percentage change in price

Answer 1

Difference of new and old price
________________________ X100
Original/old price

Question 2

What is market share

Answer 2

The % of a market that a business, product or service has.

Question 3

What is Added Value

Answer 3

This is when a business chooses to enhance the quality of a core product providing extras to improve a customer’s experience.

Question 4

Market size

Answer 4

Measured by volume of sales or value
Calculation = total sales in a business
__________________ X100
Total sales in a market

Question 5

What is above the line promotion

Answer 5

Placing adverts using the media

Question 6

What is marketing

Answer 6

A management process involved in identifying, anticipating and satisfying consumer requirements profitably

Question 7

Advertising

Answer 7

Communication between a business and its customers where images are placed in the media to encourage the purchase of products.

Question 8

Marketing mix (4Ps)

Answer 8

Price, place, product and promotion, how a business uses these 4 elements strategically.

Question 9

Aesthetics

Answer 9

What the product looks like

Question 10

Marketing strategy

Answer 10

A set of plans that aim to achieve a specific marketing objective.

Question 11

Agent or broker

Answer 11

Foreign sales Agent is a business which represents products from another business in a new country.

Question 12

Mark-up

Answer 12

The amount above cost added to a product before it is placed for sale.

Question 13

Aims

Answer 13

What a business tries to achieve in the long- term.

Question 14

Maslow’s hierarchy of needs

Answer 14

The order of people’s needs starting with the basic human requirements.

Question 15

Articles of association

Answer 15

A document that provides details of the internal running of a limited company.

Question 16

Mass market

Answer 16

Products or services that are sold or advertised to everyone at the same time in the same way at a cheaper price e.g. food products, drinks.

Question 17

Authority

Answer 17

This is the power or right to give orders in an organisation.

Question 18

Matrix structure

Answer 18

This is a hierarchy design which groups by project and function.

Question 19

Autocratic leadership

Answer 19

Leader makes all the decisions.

Question 20

Mechanisation

Answer 20

Method of operating or controlling processes using machinery.

Question 21

Automation

Answer 21

Method of operating or controlling processes by automatic means using devices. Reduces need for human interaction.

Question 22

Merchandising

Answer 22

A promotion specifically at the point of sale of a product.

Question 23

Below the line promotion

Answer 23

Any promotion that does not involve using the media.

Question 24

Memorandum of association

Answer 24

A document that sets out the constitution and states key external details about a limited company.

Question 25

Bonus

Answer 25

A payment in addition to the basic wage for reaching targets or in recognition for service.

Question 26

Motivated

Answer 26

The desire to take action to achieve a goal.

Question 27

Brand name

Answer 27

A name, logo or symbol that differentiates one business to another.

Question 28

Motivators (Hertzberg)

Answer 28

Things at work that result in satisfaction.

Question 29

Boston matrix

Answer 29

A 2x2 matrix model that analysis a product portfolio according to the growth rate of the market and the relative market share of products within a market. Question mark, Star, Cow and Dog.

Question 30

Multi-skilling

Answer 30

An employee is trained to do more than one job. For example an electrician is trained to plaster walls.

Question 31

Breaking - bulk

Answer 31

Dividing a large quantity of goods received from a supplier before selling them on in smaller quantities to customers.

Question 32

Mutual organisation

Answer 32

A business owned by its members, who are customers not shareholders.

Question 33

Business choices

Answer 33

Deciding between alternative uses of resources.

Question 34

Niche market

Answer 34

A small-segment of a larger market that sells specialised goods to a specific target audience.

Question 35

Certification of incorporation

Answer 35

A document that declares a business is allowed to trade as a limited company.

Question 36

Normal good

Answer 36

If consumer incomes increase for a product then this means there’s an increase in demand. Income+ and demand+ = normal good.