Business Studies Topic 2

Question 1

4 features of effective management

Answer 1

Planning, organising, leading and controlling

Question 2

List management skills

Answer 2

Interpersonal skills
Communication
Strategic thinking
Vision
Problem solving
Decision making
Flexibility & adaptability to change

Question 3

What three parts comprise the triple bottom line

Answer 3

Economic, social and environmental

Question 4

Describe two strategies that could be used to reconcile conflicting interests between shareholders and employees

Answer 4

Share acquisition schemes and training and development

Question 5

4 benefits of having goals

Answer 5

Serving as targets
Measuring sticks
Motivation
Commitment

Question 6

6 business goals

Answer 6

Profits
Market share
Growth
Share price
Social
Environmental

Question 7

3 main social goals of a business

Answer 7

Community service
Provision of employment
Social justice

Question 8

10 tips for motivating staff

Answer 8

Lead by example
Encourage suggestions
Implement conflict resolution strategies
Delegate responsibility
Take an interest in employees development
Provide a safe work environment
Establishment joint objectives through negotiation
Make clear expectations
Give recognition and appreciation
Communicate regularly with staff

Question 9

What is the main goal of training staff

Answer 9

The main goal when training staff is to improve their productivity. By improving their productivity this will mean they offer more to the business.

Question 10

Functions of classical approach

Answer 10

Planning
Organising
Controlling

Question 11

What leadership style is associated with the classical approach

Answer 11

Autocratic

Question 12

Functions of behavioural approach

Answer 12

Leading
Motivating
Communicating

Question 13

What leadership style is associated with behavioural approach

Answer 13

Democratic

Question 14

What is the contingency approach

Answer 14

There is no best way of managing and analyses the situation before picking which approach.

Question 15

4 key business functions

Answer 15

Operations, marketing, finance and HR

Question 16

Describe production process

Answer 16

The process of turning a businesses resources into goods and services

Question 17

What is quality control

Answer 17

How a business measures product quality

Question 18

What is quality assurance

Answer 18

Determining whether a product meets a certain requirement

Question 19

What is total quality management

Answer 19

A commitment to excellence that emphasises continuous improvements in all aspects of a business

Question 20

What is the role of marketing

Answer 20

The role of marketing is to plan, price, promote and distribute products to present and potential customers.

Question 21

4 types of market segmentation

Answer 21

Demographic, geographic, psychographic and behavioural

Question 22

Define behavioural

Answer 22

Purchase occasion
Benefits sought
Loyalty
Socioeconomic group
Use rate
Price sensitivity

Question 23

Define psychographic

Answer 23

Lifestyle
Personality
Motives
Socioeconomic group
Consumer opinions
Interest

Question 24

Define geographic

Answer 24

Urban
Suburban
Rural
Regional
City size
Climate
Landforms

Question 25

Define demographic

Answer 25

Age Gender Family size Education Income Occupation Social class Religion Ethnicity

Question 26

What are the 4 P's of marketing

Answer 26

Product, price, promotion and place

Question 27

What does a cashflow statement show

Answer 27

A cash flow statement indicates the movement of cash receipts and cash payments resulting from transactions over a period of time.

Question 28

What is the purpose of an income statement

Answer 28

The purpose of an income statement is to summarise the income earned and the expenses incurred over a period of trading. An income statement measures how much money has come into the business as revenue, how much has gone out as expenditure and how much has been derived as profits.

Question 29

What is COGS formula

Answer 29

Opening stock + purchases - closing stock = COGS

Question 30

What is gross profit equation

Answer 30

Gross Profit = Revenue - COGS

Question 31

What is net profit equation

Answer 31

Net Profit = Gross profit - expenses

Question 32

What is balance sheets equation

Answer 32

Assets = liabilities + owners equity

Question 33

Elements of HR cycle

Answer 33

Acquisition Development Maintenance Separation

Question 34

Whats apart of acquisition in the HR cycle

Answer 34

Identifying staff needs Recruitment Selection

Question 35

Whats apart of the development in the HR cycle

Answer 35

Training Development

Question 36

Whats apart of the maintenance in the HR cycle

Answer 36

Monetary benefits: rewarding employees efforts through financial compensation Non-monetary benefits: rewards such as conditions

Question 37

Whats apart of the separation in the HR cycle

Answer 37

Voluntary: employees leaving on their own accord, eg. retire Involuntary: employees being asked to leave, eg. being fired

Question 38

What are the types of separation

Answer 38

Retirement Voluntary/involuntary redundancy Resignation Dismissal Retrenchment

Question 39

2 internal influences on a business

Answer 39

Managers Employees

Question 40

4 external influences

Answer 40

Competition Legislation Social Technology

Question 41

2 strategies used to manage resistance to change

Answer 41

Creating a culture of change (encouraging teamwork) Providing positive leadership (sharing the vision)