Unit 3- Business Functions

Question 1

Product Development?

Answer 1

Involves the day to day activities needed to create and deliver a product or service
It manages the resources like materials, people, time to produce goods/services efficiently
The goal is to ensure its high quality, reduces waste, and meets consumer demand

Question 2

Process Production Process?

Answer 2

The entire process of steps involved in producing a product or service from beginning to end
The goal is to ensure that the final product or service is high quality and it is delivered within a reasonable time that satisfies customers and that makes money for the company
Input:
Raw materials, labor, machinery
Process:
Transformation of inputs into final products
Output:
Finished products/services delivered to customers

Question 3

Lean Manufacturing?

Answer 3

Focuses on minimizing waste and maximizing productivity

Types of Waste- Time, materials, labour, overproduction, defects.

Aim- Improve efficiency and reduce cost

Question 4

What are the Supply Chain Management 3C’s of Marketing

Answer 4

Company-
Understanding your strengths and weaknesses. Includes internal factors such as mission statement, strengths, and brand identity
- What are you good at? What makes you unique?

Customers
Who are your target customers? What do they want? Understanding target demographics, needs, and purchasing behaviours is key.
- Identify demographics, preferences, needs

Competition
Who are your competitors, and how are they succeeding? Includes competitor analysis, market position, and differentiation strategies
- Analyze their strengths and weaknesses
- Direct and Indirect competition

Question 5

What are the 4P’s of marketing?

Answer 5

Product
What are you selling? What are the features/benefits? Looking at specifications, materials, packaging and safety.
Satisfy their needs and wants. Better than competitors. USEFULNESS

Quality of the product or price
Premium: higher quality product/price
Competitive: moderate quality product/price
Value: lower quality product/price

Place
Where will you sell the product? (Online, instore, direct)
Channel of Distribution
Direct Distribution Channels: A business that sells goods, services or events directly to customers. Ex. Barbers, restaurants, phone apps, etc.
Indirect Distribution Channels: Second-party sellers that are supplied by outside firms, but can offer their own “private” or “house” brand. Ex. Walmart (George)

Price
What is the value of the product? How much will customers pay? What pricing strategies is the business using like
Penetration pricing- Low price at the start, raising later if the product becomes popular
Price skimming- High initial price for new products, lowering later
Premium, competitive, value pricing

Promotion
How will you let people know about your product? How is it being advertised? Communication strategies used to inform potential customers
Traditional: TV commercials, radio, print
Digital: Social media, email, influencer marketing
Sales: Discounts, coupons, limited-time offers
Public Relations (PR): Managing the company’s public image

Question 6

Promotional Strategies?

Answer 6

Traditional: TV commercials, radio, print
Digital: Social media, email, influencer marketing
Sales: Discounts, coupons, limited-time offers
Public Relations (PR): Managing the company’s public image

Question 7

Accounting?

Answer 7

Involves methodically recording the countless financial transactions that occur in a business every day, allocating them to the correct amount, and then interpreting the overall results.

Question 8

Balance Sheet?

Answer 8

Provides a snapshot of a business’s financial health at a specific date, showing assets, liabilities and owner equity
Called a Balance Sheet because Assets MUST equal (or balance) Liabilities and Owner’s Equity.

Question 9

Income Statement?

Answer 9

Shows a company’s revenue and expenses and net profit (or net loss) over a certain period

Question 10

Ethical Responsibility

Answer 10

How companies can sell products that dont work well for a lot of money but they don’t because they have an ethical responsibility to give their costumers good products.
The ability to recognize, interpret and act upon multiple principles and values according to the standards within a given field and/or context

Question 11

Ethical Dilemma?

Answer 11

Ethical dilemma is when you have to decied between doing the right thing or the ethical thing.
A problem in the decision-making process between two possible options, neither of which is absolutely acceptable from an ethical perspective.