EXAM II Flashcards
(29 cards)
sources of structure
design (businesses choose)
context (environments choose)
functional structure
small/medium companies in one industry
divisional structure
large companies with independent units
matrix structure
multiple connections between departments
international structure
customized by location
centralization vs speed
more centralized = more consistent but slower
formalization vs flexibility
more rules = more consistent but less adaptable
differentiation vs. integration
mcdonalds fires = different recipes by country but consistent taste worldwide
marketing
identifying and satisfying customer needs while achieving business goals
product
what you’re selling
price
what customers pay
ryan air vs. united
place
where customers find your product
making products conveniently available
promotion
how you communicate about your product
advertising, sales, PR
segmentation
dividing customers into groups
geographic, demographic, psychographic (lifestyle/interests), behavioral (purchasing habits)
targeting
choosing which segments to focus on
positioning
how customers perceive your brand
IKEA in US vs China
accounting
accounting records and interprets financial transactions to show a business’s status
financial accounting
providing standardized financial reports (like income statements and balance sheets) to external stakeholders (investors, creditors, regulators)
historical perspective
managerial accounting
provides internal reports and analysis to help managers make informed decisions about operations and strategy
customizable formats
used for planning
more time-sensitive
accounting equation
assets = liabililites + owner’s equity
assets
what company owns/is owed
liabilities
what company owes (debts/taxes)
owner’s equity
assets owners can claim (investments, profits)
double entry bookkeeping
every transaction affects two accounts
buy supplies with cash, increases supplies (assets) but decreases cash (asset)
