Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business > 3.2 Influences On Businesses > Flashcards

3.2 Influences On Businesses Flashcards

1
Q

Information communications technology

A

The computing and communication systems that a business might use to help exchange information with stakeholders.

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

Mcommerce (Mobile commerce)

A

The buying and selling of products through wireless handheld devices such as smartphones.

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

E-commerce (electronic commerce)

A

The act of buying or selling a product using an electronic system such as the internet.

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

Impact of technology on Businesses

A

• CAD/CAM - Computer aided design/manufacturing is the use of computer systems to design or make products.
• Automation - Many businesses use machinery or even robotics in the production of their goods and services.
• EPOS - Electronic point of sale is used to re-order stock as it is sold.
• Teleworking - Businesses can operate nationally and globally with ease as communication is easier. People can now work away from the office.
• E-commerce - The buying or selling of goods online. This has enabled businesses to expand nationally and even internationally and access new markets.
• Production innovation - Many new goods and services are developed each year to make the most of technological developments and create competitive advantage.
• Marketing - Social media has become a popular method of marketing.

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

Digital communication

A

The transmission of information electronically between computing devices/using technology.

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

Examples of digital communication?

A

• Webchat - Communicating in real time using web browsers e.g. Firefox, internet explorer.
• Apps (applications) - Pieces of software designed for a specific purpose and for use on smartphones/tablets.
• Teleconferencing - Allows people in different locations to talk to each other as a group.
• Social Media - Methods of online communications such as websites or apps. Share information and help develop social/professional contacts.

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

Advantages of ICT?

A

• Allows worldwide communication at no cost, via email or web.
• Allows a world of secondary research data to be downloaded to your desk.

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

Disadvantages of ICT?

A

• May make people less aware of mistakes and risks.
• Encourages a huge amount of general email communication between staff - no human interaction.

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

Advantages of technology to work providers and workers?

A

Workers:
• Allows parents of young children to work from home.
• Easy to find flexible work to fit in with life.

Work providers:
• Can match staff numbers to fit in with demand peaks.
• Staff are contactable 24/7

Both:
• Can work limitless extra hours to earn more when money is tight.

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

The environment

A

The natural world within which we live. The landscape and natural features such as the seas, forests and mountains.

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

Environmental considerations?

A

• Traffic congestion - when traffic travels slower or stops because the road cannot cope with the number of vehicles.
• Recycling - involves processing and/or re-using items that would otherwise go to waste.
• Disposal of waste - how a business/consumer gets rid of unwanted materials.
• Noise pollution - unwanted, excessive or harmful sounds in the environment.
• Air pollution - contamination of the air, by smoke from a chimney for example.

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

Consumers impact on the environment?

A

• Traffic congestion - Car share. Use public transport.
• Recycling - Buy refillable products. Recycle waste. Reusing carrier bags.
• Disposal of waste - Safe disposal of domestic waste. Reducing waste e.g. not buying more food than will be eaten.
• Noise pollution and Air pollution - Reducing carbon footprint e.g. buying from local business, reducing food miles. Low emission cars or alternative methods of transport.

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

Businesses impact on the environment?

A

• Traffic congestion - Timings of deliveries to an from stores. Car share schemes for employees and closer parking for customers. Efficient online ordering and delivery services.
• Recycling - Providing facilities e.g. collection of Christmas cards, recycling bins. Reduced use of packaging. Recycling materials within the production process.
• Disposal of waste - Safe disposal of waste generated in the production process. Finding alternative uses for waste.
• Noise pollution and Air pollution - Reduce carbon emissions e.g. sourcing supplies locally or electric delivery vans. Safe practices to ensure environmental disasters don’t happen. Using filters for air pollution.

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

Costs and benefits of businesses caring for the environment?

A

+ Lower businesses costs in the long term
+ Increased sales
- Increased costs
- Time consuming

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

Sustainability

A

Environmental sustainability is how a business uses its resources and assesses if it’s renewing these resources fast enough to ensure that stocks do not deplete (run out).

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

Sustainable methods of production

A

Those that continue in the long term without damaging the environment for future generations.

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

Sustainable production processes

A
  1. Use of renewable sources of energy e.g. solar power, wind energy
  2. Use of transport that doesn’t cause pollution e.g. electric vehicles
  3. Making products from recycled or renewable resources.
  4. Producing goods/services without using chemicals that damage the environment.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Pressure group

A

An organisation that seeks to influence others in relation to a specific issue to bring about change.

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

Ethics

A

Business ethics are the moral standards by which business behaviour is judged - wether business activities are morally right or wrong.

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

Examples of good ethics

A

• Paying fair wages
• Using sustainable materials
• Minimising environmental impact
• Prioritising animal welfare
• Not exploiting workers
• Considering all of the stakeholders in business decisions.

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

Examples of poor ethics

A

• Exploitative labour
• Providing false information to customers
• Bullying suppliers
• Water, air or noise pollution
• Destruction of the physical environment

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

Advantages of Businesses considering ethics?

A

• Improved customer happiness
• Retain good employees
• Attract more investors
• Better for society
• Enhance businesses reputation

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

Disadvantages of Businesses considering ethics?

A

• Reduce profits
• Time consuming

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

The economy

A

Made up of consumers, businesses and governments making decisions on what to buy, sell and produce.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

Consumer spending

A

Value of goods and services bought by consumers. (GDP)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

Disposable income

A

How much income an individual has after paying all of their bills.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

Employment

A

The % of people aged 16-64 that are in employment.

28
Q

Unemployment

A

When someone is willing and able to work but cannot find a job.

29
Q

Impacts if unemployment is low?

A
  • Businesses who are trying to recruit may not be able to find suitable, workers.
  • Wages might start to rise which increases business costs.
    + Customers have a higher income so are more likely to buy products.
30
Q

Boom

A

A period of time when the economy is growing much faster than it usually does.

31
Q

Business cycle

A

Changes in the level of demand and output in the economy that tend to be repeated every few years.

32
Q

Economic growth

A

The rate of increase in the total output produced within an economy in a year.

33
Q

Recession

A

Where output within the economy falls for two successive quarters i.e six months or more.

34
Q

Interest rates

A

The cost of borrowing money or the reward for saving it.

35
Q

How do interest rates affect consumers?

A

When interest rates are increased consumer spending is affected as consumers are encouraged to save. They may cut back on spending on items that are expensive or require borrowing. E.g. property.

36
Q

How do interest rates affect businesses?

A

When interest rates are increased business spending is affected as they may have less income to spend, especially if they have a lot of borrowed money. This means they may not be able to afford to spend as much as they would usually.

37
Q

Legislation

A

A set of rules that governs how society operates.

38
Q

Employment legislation

A

The rules and regulations that concern the relationship between employers and employees in the work place.

39
Q

National minimum wage

A

The lowest wage that a business can legally pay its employees (1999).

40
Q

National living wage

A

The lowest wage that a business can legal pay employees over the age of 23 (2016).

41
Q

Equality act (2010)

A

The equality act legally protects people from discrimination in the workplace. It replaces multiple anti-discrimination laws in one.

• Gender
• Age
• Race
• Religion
• Sexual orientation
• Disability

42
Q

Employees rights

A

• Give maternity pay and paid holidays
• Provide a safe working environment
• Pay employees as stated in the contract of employment
• Allow employees time off for certain reasons

43
Q

Health and safety at work act 1974

A

Business must provide for the health and safety of employees in the workplace.

44
Q

Benefits of health and safety laws

A

• Workforce is likely to be more productive.
• Helps retain employees
• Positive reputation which can help recruitment

45
Q

Costs of health and safety laws

A

• Employee training can be expensive.
• Time consuming to keep up to date with legislation
• Cost of safety equipment and clothing

46
Q

Trade descriptions act 1968

A

False of misleading information must not be given about products.
• Accurate information must be given about who made the product.
• Retailers are not allowed to mislead consumers regarding the quality of a product.
• It is an offence to falsely describe a product.

47
Q

Sale and supply of goods act 1994

A

This act says that all goods have to be of a ‘satisfactory quality’
• Of reasonable quality (safe and durable)
• Fit for purpose
• Failure to do so entitles the customer to a refund or a replacement.

48
Q

Positives of consumer legislation on businesses

A

• More customers due to confidence in the product.
• Better reputation for UK businesses.
• Reduces the risk of UK products being undercut by poorly made products from home or abroad.

49
Q

Negatives of consumer legislation on businesses

A

• A continuous process to keep up with new legislation increases costs.
• Increases the likelihood of legal action.

50
Q

Globalisation

A

The increasing trend for goods to be traded internationally and for companies to locate abroad.

  1. Selling in more than one country.
  2. Producing in more than one country.
  3. Buying raw materials/components in more than one country.m
51
Q

Off shoring

A

Setting up operating bases abroad.

52
Q

Factors causing globalisation

A

• Technological change.
• The reduction of transportation costs.
• Consumer taste change.
• The growth of new markets.
• Competition.

53
Q

What international competitive strategies does the Uk use?

A
  1. Product design: translates the needs of customers into a sealable product. Focus on function, aesthetics, innovation.
  2. Quality: The extent to which a customer is satisfied with a product at affordable prices. Requires level of quality control, technology, added value.
54
Q

2 benefits of globalisation

A

• Lower labour costs and cheaper land available in other countries.
• Opportunity to expand abroad which means new and bigger markets for its goods and services.

55
Q

2 drawbacks of globalisation

A

• Increased costs of transporting goods to the end customer.
• Can be seen as unethical if production is moved to low wage countries.

56
Q

Exchange rates

A

The price of one currency in terms of another.

57
Q

Appreciation

A

When the value of a currency increases e.g. £1 to $1.30 today but £1 to $1.50.

Strong
Pound
Imports
Cheap
Exports
Dear

58
Q

Depreciation

A

When the value of a currency decreases. e.g. £1 = $1.30 today but £1 = $1.15 tomorrow.

Weak
Pound
Imports
Dear
Export
Cheap

59
Q

How does appreciation impact sales and profits?

A

Imports: increase, costs reduce, prices reduce, TR increases.
Exports: decrease, prices increase, TR/profits reduce.

60
Q

How does depreciation impact sales and profit?

A

Imports: decrease, costs increase, prices increase, reduce TR/profit.
Exports: increase, prices reduce, TR/profits increase.

61
Q

Market

A

A market is simply where buyers and sellers come together to exchange goods and services for money.
• This can exist in a physical sense.
• But also in an intangible form i.e. e-commerce

62
Q

Competition

A

The rivalry between businesses who operate in the same market. They sell a similar product to a similar target market.

63
Q

How do businesses compete within competitive markets?

A

• Price - price competitively or keep prices low.
• Develop new products.
• Use advertising/promotion
• Branding
• Innovation
• Growth
• Location decisions

64
Q

What if a business is in a non-competitive market?

A
  1. Higher prices
  2. Don’t have to worry about facing good customer services.
  3. Don’t have to differentiate products.
  4. May not need to advertise as much.
  5. Higher profit margins.
65
Q

Risk

A

The possibility of something going wrong.
• They are often quantifiable.
• Profits are the reward for taking risks.

66
Q

Uncertainty

A

A lack of information about a situation meaning that the outcomes are difficult to predict.

67
Q

Business risks

A

• New competitors
• Competitors actions
• Consumer tastes
• External environment e.g. economy
• Poor management
• New innovation and trends.
• New information e.g. health warnings

Business (8 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions