Theme 1 Key Terms Flashcards
payment platforms
enable businesses to take online payments from customers. They are usually for free for the customer, but may take a small amount of commision from the seller
marketplace
the activites involved in buying and selling particular types of goods or services, in competition with other companies
demographic
relating to the ppulation such as average age, average income and so on
risk
the possibility that the entreperneur will have lower than anticipated profits or will experience a loss
market research
the process of gathering information about the market and customer’s needs and wants in order to help inform business decisions , icnluding product design and marketig
revenue forecast
a predicition of future revenue based on exected sales, a judgemnet or based of previous sales patterns
ethics
moral principles or standards that guide the bhaviour of a pwrson or business.
obsolete
out of date/ not used any more
tax
a proportion of an individula’s income or a business’s progits that must be paid to the goverment
Bank of England
the central bank of the united kingdom that manges the countrie’s debts and sets intrest rates which influence the exchange rates between other currencies
Bank of England
the central bank of the united kingdom that manges the countrie’s debts and sets intrest rates which influence the exchange rates between other currencies
globalisation
when a business operates on an international scale and gain interational influence or power
levy
a tax on a particular product or service
protected characteristic
a characteristic that cannot be used in the recruitment process to reject a candidate such as age, disablity, sex, pregnancy, race, religion or sexula orientation
induction
the peiod of time after an employee starts a job, when they must be shown how to work safely and within the employer’s expectations
legislation
the law that acountry must comply with
real-time
live or as it happens
conflict
a serious disagreement usually between people or countries regarding ideas
paymnet terms
the period of time that a business has to pay it’s suppliers
stock exchange
a place where shares can be bought and sold
private limited company
an incorportaed company that i sowned by shareholdesr who invest in the business for return for a share of the profits and coting rights at the annual general meeting
public limited company
(PLC)
can sell it’s share to the public
budgets
pre-set finacila targets for a business to achieve like a sales budget or an expenditure budget in a given peiod of time
SMART Objectives
specific, measurable, achievable, realistic and time bound
market reserach
the proccess of gathering information about the markey and customer needs and wants in order to help inform business deciobns (product design and marketing)
promotional mix
a combination of promotional activites that a business uses to make customers aware of a product, with the aim of increasing sales
recession
a peiod of economic decline charcaterised by the fact that the econmy has failed to grow for 6 consecutive months
undercut
selling the sale product for a lower price than competitors
price war
when competing bsuniess try to undercut each other by lowering price. This leads to an ongoing battle where the customer benefits not thr bsuniesses
product differenciation
designing a product with unique features that distinguish it from competitors
multi channel
using a number of methods to reach the customer, including physical stores and E commerce
inertia
a tendancy to keep things as they are rather than change
bulk reducing product
a product that is smaller than the raw materials that it uses (paper)
convenience good
a product brought frequently by the consumer
shopping good
a product that onsumer takes time to consider before purcgasing like a car
topography
the physical characteristics of a landscape
bulk gaining product
a product that is larger than it’s raw materials eg:bicycles
demographics
the characteristics of the population (gender, age, religion , wealth)
footfall
the number of people passing a loaction within a given period of time
partnership
a business that is owned by a group of two or more people who share the finacial risk and decion making
unincorperated
a business that is not registered as a company, so the owner and the business are the same in the eyes of the law
security
when a lender asks the borrower to put up an asset such as a house or a valuable item owned by the business
guaurantor
a person who guarentees to pay the repaymnets on a loan shoulls the person who has taken out the loan not be able to make the repayments
credit check
a check on the financial staus of a business to ensure that the business or individual to ensure that the bsuniness has a reliable credit history and does not have any existing outstanding debts
venture capital
money to invest in a business is sourced from indidulas or a group of people who wish to invest their own money into new busineses
trade credit
a credit ararngment that is offered only to a business by suppliers
insolvent
a bsuniness that is unable to pay it’s debt and/or owes more money than is owned
income stream
the source of regular income that a business recives. This could be through customers or other areas sich as investment income
segmentation
the process of breaking something into smaller parts
trade organisation
founded and funded by businesses that operate in a specific industry
