Background Flashcards
(21 cards)
What is Business Development
Process of identifying, creating and implementing opportunities that drive growth and profitability
What does BD encompass (4)
- Strategic partnerships
- Market expansion
- Relationship building
- identifying new revenue streams
Key Activities of BD (7)
- market research
- partnership building
- lead generation
- strategic planning
- sales support
- networking
- product/ service divsersification
What does product/service diversification mean?
expanding offerings to meet market demands
In essence what does BD do?
Propels company forward by identifying opportunities, solving challenges and ensuring sustainable success in a competitive landscape
Why is BD important (8)
- Drives growth
- enhances profitability
- strengthens competitive advantage
- encourages innovation
- builds relationships
- facilitates market entry
- improves customer experience
- adapts to market changes
How can BD enhance profitability? (3)
Exploring efficient methods, cutting unecessary costs and targeting profitable ventures
Examples of public market investments (4)
- Stocks
- Bonds
- Mutual funds
- Exchange traded funds
Characteristics of public market investments (3)
- V accessible
- High level of liquidity
- More transparent
Advantages of public market investments (3)
- High liquidity
- Regulated environment provides investor protection
- Easier valuation due to market pricing
Disadvantages of public market investments (2)
- Volatile market fluctuations
- Limited control for individual investors
Examples of private market investments (4)
- Private equity (buyouts, venture capital)
- Private debt
- Real estate
- Infrastructure projects
Advantages of private market investments (2)
- Potential for higher returns
- Investors may influence management and strategy
Disadvantages of private market investments (3)
- High risk and illiquidity
- Requires significant capital and expertise
- Limited transparency
Why do companies go public? (6)
- Raising capital
- Liquidity for Private Equity Investors and employees
- Marketability
- Price transparency
- Mergers and Acquisitions
- Credibility and Branding
What are investment markets?
Platforms and systems where individuals and institutions buy, sell and trade financial assets.
Example of assets in investments markets (5)
- stocks
- bonds
- commodities
- currencies
- derivatives
why is the investment market important
facilitates the flow of capital and provides a structure for price discovery and asset valuation
Difference between primary and secondary markets
The main difference between a primary market and a secondary market is that a primary market sells new securities directly to investors, while a secondary market allows investors to trade existing securities among themselves
Importance of investment markets (4)
- Capital Raising
- Liquidity
- Price Discovery
- Economic growth