WHAT I DONT KNOW Flashcards
What is an example of a partnership
Dentists, opticians
What is an LTD
A firm that sells shares of business only to family and friends
What is a local government organisation
An organisation run and owned by government
What are the adv and disadv of an LTD
Adv
Can raise more capital
Limited liability
Don’t need to publish annual accounts
Disadv
Have to seek other shareholders permission before selling a share
Expansion limited to how much money is invested in business
What are the adv and disadv of a PLC
Adv
Shares quoted on stock market
Business run by board of directors
Disadv
Shareholders can freely sell shares
Shares can fall in value
What are the characteristics in an entrepreneur
Identifying new business opportunities and developing the idea
Taking risk to lose all/part of their investment
Combining all the factors of production together
Setting targets for the business
Using his/her money to finance cost of resources
What are the objectives of an organisation
Growth Survival Provision of a service Social responsibility Increase market share Profit max Sales max
What is the recruitment process
V-identifying vacancy A-job analysis D-job description S-person specification A-job advertising
What are the objectives for Human resources
Recruit and retrain staff Train, develop, appraise staff Manage positive employee relations Ensure safe working conditions Ensure staff are treated fairly
What are the methods of testing
Attainment tests - used to assess skills that someone has learned. This could be from a course eg national 5
Aptitude tests - assessing natural abilities that a candidate possess. Evaluates how people perform on tasks
IQ tests - used to assess candidates mental ability eg thinking and problem solving
Psychrometric tests - used to assess candidates personality and traits
Medical tests - used to assess persons physical attributes and whether or not they will be able to carry out a particular job
What is piece rate
Rewards employee for each item they produce. It incentivises employees to work hard. Can be minimised by paying staff low basic flat rate with piece rate on top
What is commission
Staff paid percentage of any sale. Can be risky if employee makes few sales. Can be used on top of basic flat rate
What are the ways to retain and motivate staff NON FINANCIALLY
Promoting internal staff Provide training Improved benefits and conditions of service Consultation and negotiations Flexible working
What are the methods of maximising customer service
Researching what their customers really want eg surveys
Inviting customers to make comments on their goods/services eg commentary cards
Charging fair prices that reflect the product being offered eg not raising gas prices when it is cold
Providing services that their customers want
