Brainscape's Knowledge GenomeTM


Top Flashcards (Certified)
All Flashcards

business > unit 7 - analysing the strategic position of a business > Flashcards

unit 7 - analysing the strategic position of a business Flashcards

1
Q

Influences On Mission Statement

A

culture, ethos and values, shareholders, stakeholders

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Culture

A

value, attitudes or beliefs of those who work at a business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Influences On Corporate Objectives

A

short-termism, business ownership, internal and external business environment

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Strategy

A

long-term plans which require many resources and can be difficult to reverse when implemented

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Tactic

A

short-term plans which require few resources and can be stopped easily

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

SWOT Analysis

A

shows the strengths, weaknesses, opportunities and threats of/to a business

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Return On Capital Employed (ROCE)

A

allows a business to compare operating profit with the total capital employed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Current Ratio

A

allows a business to explore its liquidity by comparing current assets and liabilities

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Gearing

A

can show the proportion of long-term funding which comes from debt

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Payable Days

A

calculates the time taken for a business to pay those it owes money to

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Receivable Days

A

calculates the time taken for a business to collect the money it is owed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Advantages Of Financial Ratios

A

allows for a performance comparison with past years or competitors

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Disadvantages Of Financial Ratios

A

does not take into consideration non-financial information

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Non-Financial Data From Operations

A

labour productivity, capacity and capacity utilisation, quality measures

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Non-Financial Data From Marketing

A

sales forecast, brand loyalty and satisfaction data

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Alternative Source Of Info

A

absenteeism rates, labour costs per unit, labour turnover, employee costs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Absenteeism

A

when an employee is not present at their place of work

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Core Competences

A

refers to a business ability to combine its skills knowledge and processes to provide it a competitive advantage

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Advantages Of Core Competences

A

attract and retain customers, add value to products

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Disadvantages Of Outsourcing Non-Core Competences

A

lead to quality issues

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

Elkingtons Triple Bottom Line

A

provides businesses a framework to assess business performance (profit, people, planet)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

Profit (TBL)

A

Important element of determining overall performance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

People (TBL)

A

a business impact on people like employees and customers

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

Planet (TBL)

A

how the overall business affects the planet

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Impact Of Legal Environment
competition laws, employment legislation, environmental protection legislation
26
Impact Of Political Environment
enterprise supports start-ups, regulators ensure business follow rules, international trade
27
Impact Of Economic Environment
gdp growth/decline, taxation, exchange rates, inflation, trade, government policies
28
Fiscal Policy
use of taxation and public expenditure to manage the level of economic activity
29
Monetary Policy
controlling the amount of money and/or interest rates to achieve desired level of economic activity
30
Advantages Of Globalisation
expand into international markets and emerging economies
31
Disadvantages Of Globalisation
increases competition for local businesses
32
Transnational Corporations
business that operates in multiple countries
33
Glocalisation
tncs adapting their products to the needs of local customers
34
Offshoring
when a tnc moves part of its production overseas
35
Protectionism
government policy which favours the use of measures to prevent free entry of imports into the country
36
Quotas
limit on total quantity of a product which can be supplied to a market
37
Tariffs
taxes imposed on importing goods
38
Mergers
joining together of two businesses to form a larger enterprise
39
Monopoly
exists when there is a single supplier in a market
40
Emerging Economgy
a country with low incomes per head but enjoying high rates of economic growth (bric - brazil, russia, india, china)
41
Urbanisation
movement of people from rural areas to urban areas
42
Infrastructure
refers to to physical and organisational structure required for society and the economy to operate effectively
43
Changes In Social And Technological Environment
urbanisation, migration, consumer lifestyle changes, e-commerce
44
Impact Of Demographic Changes
ageing population, rising birth rates, migration
45
Impact Of Lifestyle Changes
healthy eating, wellness, social media
46
Corporate Social Responsibility (CSR)
an approach where a business seeks to exceed basic legal requirements by considering their impact on society
47
CSR Examples
satisfying employees/customers/shareholders/suppliers/community
48
Advantages Of CSR
attract customers, improve image
49
Disadvantages CSR
cannot focus on all aspects of societies, increases costs
50
Carrolls CSR Pyramid
philanthropic, ethical, legal, economical
51
Economic CSR Pyramid
being profitable and allows the business to perform additional responsibilities
52
Legal CSR Pyramid
fulfilling legal responsibilities
53
Ethical CSR Pyramid
making moral decisions as a business
54
Philanthropic CSR Pyramid
supporting society and the community
55
Shareholder Concept
business have a responsibility to only raise value for shareholders through paying dividends and profit maximisation
56
Stakeholder Concept
as well as satisfying shareholders the business must place equal emphasis on all other stakeholder needs
57
Pressure Group
group of people with common interest who organise to influence public opinion and decisions of businesses and government
58
Porters Five Forces
allows a business to analyse the competitiveness of a business environment (barriers to entry, threat of substitutes, suppliers bargaining power, buyers bargaining power, rivalry between existing competitors)
59
Bargaining Power Of Suppliers
relates to how much power suppliers in the market have and how they can charge higher prices
60
Bargaining Power Of Employees
relates to how much power buyers in the market have and how they can demand lower prices
61
Barriers To Entry
relates to how easy it is for new business to enter the market
62
Threat Of Substitutes
relates to whether customers are likely to buy an alternative product
63
Rivalry Among Existing Competitors
refers to how much competition currently exists in the market
64
Advantages Of Porters Five Forces
allows a business to understand a competitive market, allows new to entrants to see how profitable a market it, good framework for swot, useful for big businesses who can affect the forces
65
Disadvantages Of Porters Five Forces
oversimplifies strategy, may have more than one strategy, too much focus on your current industry
66
Investment Appraisal
refers to the process of working out whether an investment is profitable or pays back quickly enough, also allows for project comparisons
67
Information For Investment Appraisal
net present value, average rate of return, payback
68
Net Present Value (NPV)
negative npv suggests project will make no money and positive will produce returns
69
Average Rate Of Return (ARR)
the higher arr the higher the project return in comparison to original investment
70
Payback
it is the amount of time for the cash flow to be equal to the initial cost of a project
71
Recession
a period of atleast 6 months in which an economys gdp falls
72
Inflation
persistent rise in general price level due to fall in value of money
73
Deflation
rate of decrease in general price and corresponding rise in value of money
74
Consumer Price Index (CPI)
measures the rate of inflation based on the changes in price based on a basket of goods and services
75
Sensitivity Analysis
technique that uses variations in forecasts to allow for a range of outcomes, helps to consider degree of risk

business (11 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2025 Bold Learning Solutions. Terms and Conditions