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Business Management > Final Exam > Flashcards

Final Exam Flashcards

1
Q

Organizational Structure

A

The specification of the jobs to be done within a business and how those jobs relate to one another.

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2
Q

Organizational Chart

A

A physical depiction of the company’s structure showing employee titles and their relationships.

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3
Q

Job Specialization

A

The process of identifying the specific jobs that need to be done and designating the people who will perform them.

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4
Q

Departmentalization

A

The process of grouping jobs into logical units.

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5
Q

Functional Departmentalization

A

Departmentalization according to functions or activities.

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6
Q

Customer Departmentalization

A

Departmentalization according to the types of customers likely to buy a given product.

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7
Q

Product Departmentalization

A

Departmentalization according to the products being created or sold.

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8
Q

Process Departmentalization

A

Departmentalization according to the production process used to create a good or service.

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9
Q

Geographic Departmentalization

A

Departmentalization according to the area of the country or world supplied.

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10
Q

Authority

A

The power to make the decisions necessary to complete a task.

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11
Q

Responsibility

A

The duty to perform an assigned task.

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12
Q

Delegation

A

Assignment of a task, a responsibility, or authority by a manager to subordinate.

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13
Q

Accountability

A

Liability of subordinates for accomplishing tasks assigned by managers.

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14
Q

Centralized Organization

A

Top managers retain most decision-making rights for themselves.

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15
Q

Decentralized Organization

A

Lower- and middle- level managers are allowed to make significant decisions.

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16
Q

Span of Control

A

The number of people managed by one manager.

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17
Q

Downsizing

A

The planned reduction in the scope of an organization’s activity.

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18
Q

Line authority

A

Authority that flows in a direct chain of command from the top of the company to the bottom.

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19
Q

Staff Authority

A

Authority based on expertise and that usually involves advising line managers.

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20
Q

Committee and Team Authority

A

Authority granted to committees or work teams involved in a firm’s daily operations.

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21
Q

Functional Structure

A

Various units are included in a group based on functions that need to be performed for the organization to reach its goals.

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22
Q

Division Structure

A

Divides the organization into divisions, each of which operates as a semi-autonomous unit.

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23
Q

Project Organization

A

An organization that uses teams of specialists to complete specific projects.

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24
Q

International Organizational Structure

A

An organizational structure designed to help a company succeed in international markets. International departments , international divisions, or an integrated global organization are all variations of the international organizational structure.

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25
Q

Informal Organization

A

A network of personal interactions and relationships among employees unrelated to the firm’s formal authority structure.

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26
Q

Grapevine

A

An informal communications network that carries gossip and other information throughout an organization.

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27
Q

Human Resource Management (HRM)

A

Set of organizational activities directed at attracting, developing and maintaining an effective workforce.

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28
Q

Job Description

A

The objectives, responsibilities, and key tasks of a job; the conditions under which it will be done; its relationship to other positions; and the skills needed to perform it.

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29
Q

Job Specification

A

The specific skills, education, and experience needed to perform a job.

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30
Q

Employee Information Systems (Skills Inventories)

A

Computerized systems that contain information on each employee’s education, skills, work experience, and career aspirations.

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31
Q

Recruiting

A

The phase in the staffing of a company in which the firm seeks to develop a pool of interested, qualified applicants for a position.

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32
Q

Internal Recruiting

A

Considering present employees as candidates for job openings.

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33
Q

External Recruiting

A

Attracting people outside the organization to apply for jobs.

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34
Q

Assessment Centre

A

A series of exercises in which management candidates perform realistic management tasks while being observed by appraisers.

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35
Q

Behaviour-Based Interviewing

A

An approach to improving interview validity by asking questions that focuses the interview much more on behaviour than on what a person says.

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36
Q

Orientation

A

The process of introducing new employees to the company’s policies and programs, the co-workers and supervisors they will interact with, and the nature of their job.

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37
Q

On-the-Job Training

A

Development programs in which employees gain new skills while performing them at work.

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38
Q

Off-the-Job Training

A

Development programs in which employees learn new skills at a location away from the normal work site.

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39
Q

Management Developing Programs

A

Development programs in which managers’ conceptual, analytical, and problem-solving skills are enhanced.

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40
Q

Networking

A

Informal interactions among managers, both inside and outside the office, for the purpose of discussing mutual problems, solutions, and opportunities.

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41
Q

Mentoring

A

Having a more experienced manager sponsor and teach a less experienced manager.

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42
Q

Performance Appraisals

A

A formal program for evaluating how well an employee is performing the job; helps managers determine how effective they are in recruiting and selecting employees.

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43
Q

Compensation

A

What a firm offers its employees in return for their labour.

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44
Q

Wages

A

Dollars paid based on the number of hours worked.

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45
Q

Salary

A

Dollars paid at regular intervals in return for doing a job, regardless of the amount of time or output involved.

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46
Q

Piece-Rate Incentive Plan

A

A compensation system in which an organization pays an employee a certain amount of money for every unit produced.

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47
Q

Profit-Sharing Plans

A

An incentive program in which employees receive a bonus depending on the firm’s profits.

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48
Q

Gainsharing Plans

A

An incentive program in which employees receive a bonus if the firm’s costs are reduced because of their greater efficiency and/or productivity.

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49
Q

Benefits

A

What a firm offers its workers other than wages and salaries in return for their labour.

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50
Q

Protection Plans

A

A plan that protects employees when their income is threatened or reduced by illness, disability, death, unemployment, or retirement.

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51
Q

Cafeteria-Style Benefit Plans

A

A flexible approach to providing benefits in which employees are allocated a certain sum to cover benefits and can “spend” this allocation on the specific benefits they prefer.

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52
Q

Equal Employment Opportunity Regulations

A

Regulations to protect people from unfair or inappropriate discrimination in the workplace.

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53
Q

Bona Fide Occupational Requirement

A

When an employer may choose one applicant over another based on overriding characteristics of the job.

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54
Q

Comparable Worth

A

A legal concept that aims to pay equal wages for work of equal value.

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55
Q

Sexual Harrassment

A

Requests for sexual favours, unwelcome sexual advances, or verbal or physical conduct of a sexual nature that creates an intimidating or hostile environment for a given employee.

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56
Q

Workforce Diversity

A

The range workers’ attitudes, values, beliefs, and behaviours that differ be gender, race, age, ethnicity, physical ability, and other relevant characteristics.

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57
Q

Knowledge Workers

A

Workers who are experts in specific fields like computer technology and engineering, and add value because of what they know, rather than how long they have worked or the job they do.

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58
Q

Labour Union

A

A group of individuals who work together to achieve shared job-related goals.

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59
Q

Labour Relations

A

The overall process of dealing with employees who are represented by a union.

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60
Q

Collective Bargaining

A

The process through which union leaders and management personnel negotiate common terms and conditions of employment for those workers represented by the union.

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61
Q

Canada Labour Code

A

Legislation that applies to the labour practices of firms operating under the legislative authority of parliament.

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62
Q

Bargaining Unit

A

Individuals grouped together for purposes of collective bargaining.

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63
Q

Certification Vote

A

A vote supervised by a government representative to determine whether a union will be a certified as the sole bargaining agent for the unit.

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64
Q

Decertification

A

The process by which employees legally terminate their union’s right to represent them.

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65
Q

Closed Shop

A

A union-employer relationship in which the employer can hire only union members.

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66
Q

Union Shop

A

A union-employer relationship in which the employer can hire non-unionized workers, but they must join the union within a certain period.

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67
Q

Agency Shop

A

A union-employer relationship in which all employees for whom the union bargains must pay dues, but they are not required to join the union.

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68
Q

Open Shop

A

A union-employer relationship in which the employer may hire or non-union workers.

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69
Q

Strike

A

A tactic of labour unions in which members temporarily walk off the job and refuse to work, in order to win concessions form management.

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70
Q

Lockout

A

A tactic of management in which the firm physically denies employees access to the workplace to pressure workers to agree to the company’s latest contract offer.

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71
Q

Conciliation

A

A method of settling a contract dispute in which neutral third party helps the two sides clarify the issues that are separating them.

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72
Q

Mediation

A

A method of settling a contract dispute in which a neutral third party is asked to hear arguments from both the union and management and offer a suggested solution.

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73
Q

Arbitration

A

A method of settling a contract dispute in which a neutral third party imposes a binding settlement on the disputing parties.

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74
Q

Employee Behaviour

A

The pattern of actions by the members of an organization that directly or indirectly influences the organization’s effectiveness.

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75
Q

Counterproductive Behaviours

A

Behaviours that detract from organizational performance.

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76
Q

Individual Differences

A

Personal attributes that vary from one person to another.

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77
Q

Personality

A

The relatively stable set of psychological attributes that distinguish one person from another.

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78
Q

Emotional Intelligence

A

The extent to which people are self-aware, can manage their emotions, can motivate themselves, express empathy for others, and possess social skills.

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79
Q

Attitudes

A

A person’s beliefs and feelings about specific ideas, situations, or people.

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80
Q

Job Satisfaction

A

The extent to which people have positive attitudes towards their jobs.

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81
Q

Organizational Commitment

A

An individual’s identification with the organization and its mission.

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82
Q

Psychological Contract

A

The set of expectations held by an employee concerning what he or she will contribute to an organization (contributions) and what the organization will provide the employee (inducements) in in return.

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83
Q

Person-Job Fit

A

The extent to which a person’s contributions and the organization’s inducements match one another.

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84
Q

Motivation

A

The set of forces that causes people to behave in certain ways.

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85
Q

Classical theory of motivation

A

A theory of motivation that presumes workers are motivated almost solely by money.

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86
Q

Hawthorne Effect

A

The tendency for workers’ productivity to increase when they feel they are getting special attention from management.

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87
Q

Theory X

A

A management approach based on the belief that people must be forced to be productive because they are naturally lazy, irresponsible, and uncooperative.

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88
Q

Theory Y

A

A management approach based on the belief that people want to be productive because they are naturally energetic, responsible, and cooperative.

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89
Q

Hierarchy of Human Needs Model

A

Theory of motivation describing five levels of human needs and arguing that basic needs must be fulfilled before people work to satisfy higher-level needs.

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90
Q

Two-Factor Theory

A

A theory of human relations developed by Frederick Herzberg that identifies factors that must be present for employees to be satisfied with their jobs and and factors that, of increased, lead employees to work harder.

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91
Q

Expectancy Theory

A

The theory that people are motivated to work toward rewards that they want and that they believe they have a reasonable chance of obtaining.

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92
Q

Equity Theory

A

The theory that people compare (1) what they contribute to their job with what they get in return and (2) their input/output ratio with that of other employees.

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93
Q

Reinforcement

A

Controlling and modifying employee behaviour through the use of systematic rewards and punishments for specific behaviours.

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94
Q

Goal-setting Theory

A

The theory that people perform better when they set specific quantified, time-framed goals.

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95
Q

Management by Objectives (MBO)

A

A system of collaborative goal setting that extends from the top of an organization to its bottom.

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96
Q

Participative Management and Empowerment

A

A method of increasing job satisfaction by giving employees a voice in the management of their jobs and the company.

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97
Q

Quality Circle

A

A technique for maximizing quality of production. Employees are grouped into small teams that define, analyze, and solve quality and other process-related problems within their area.

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98
Q

Job Enrichment

A

A method of increasing employees’ job satisfaction by extending or adding motivating factors such as responsibility or growth.

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99
Q

Flextime

A

A method of increasing employees’ job satisfaction by allowing them some choice in the hours they work.

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100
Q

Compressed Workweek

A

Employees work fewer days per week, but more hours on the days they do work.

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101
Q

Telecommuting

A

Allowing employees to do all or some of their work away from the office.

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102
Q

Worksharing (Job Sharing)

A

A method of increasing employee satisfaction by allowing two people to share one job.

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103
Q

Leadership

A

The process of motivating others to work to meet specific objectives.

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104
Q

Trait Approach

A

A leadership approach focused on identifying the essential traits that distinguished leaders.

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105
Q

Behavioural Approach

A

A leadership approach focused on determining what behaviours are employed by leaders.

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106
Q

Situational (Contingency) Approach to Leadership

A

A leadership approach in which appropriate leader behaviour varies from one situation to another.

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107
Q

Transformational Leadership

A

The set of abilities that allows a leader to recognize the need of change, to create a vision to guide that change, and to execute the change effectively.

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108
Q

Transactional Leadership

A

The set of abilities that involves routine, regimented activities that are necessary during periods of stability.

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109
Q

Charismatic Leadership

A

Type of influence based on the leaders’ personal charisma.

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110
Q

Accounting

A

A comprehensive system for collecting, analyzing, and communicating financial information.

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111
Q

Bookkeeping

A

Recording accounting transactions.

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112
Q

Accounting Information System (AIS)

A

Organized procedure for identifying, measuring, recording, and retaining financial information for use in accounting statements and management reports.

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113
Q

Certified General Accountant (CPA, CGA)

A

An individual who had completed an education program and passed a national exam; works in private industry or a CGA firm.

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114
Q

Certified Management Accountant (CPA, CMA)

A

An individual who has completed a university degree, passed a national exam, and completed a strategic leadership program; works in industry and focuses on internal management accounting.

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115
Q

Audit

A

An accountant’s examination of a company’s financial records to determine if it used proper procedures to prepare its financial reports.

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116
Q

Generally Accepted Accounting Principles (GAAP)

A

Standard rules and methods used by accountants in preparing financial reports.

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117
Q

Controller

A

The individual who manages all the firm’s accounting activities.

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118
Q

Financial Accounting System

A

The process whereby interested in groups are kept informed about the financial condition of a firm.

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119
Q

Managerial (or management) Accounting

A

Internal procedures that alert managers to problems and aid them in planning and decision making.

120
Q

Chartered Professional Accountant (CPA)

A

The banner (designation) that is being used to unify the accounting profession in Canada.

121
Q

Chartered Accountant (CPA, CA)

A

An individual who has met certain experience and education requirements and has passed a licensing examination; acts as an outside accountant for other firms.

122
Q

Forensic Accountant

A

Accountants who track down hidden funds in business firms.

123
Q

Management Consulting Services

A

Specialized Accounting services to help managers resolve a variety of problems in finance, production scheduling, and other areas.

124
Q

Private Accountant

A

An accountant hired as a salaried employee to deal with a company’s day-to-day accounting needs.

125
Q

Accounting Equation

A

Assets = Liabilities + Owners’ equity; the formula used by accountants to balance data for the firm’s financial transactions at various points in the year.

126
Q

Asset

A

Anything of economic value owned by a firm or individual.

127
Q

Liability

A

Any debt owed by a firm or individual to others.

128
Q

Owners’ Equity

A

Any positive difference between a firm’s assets and it’s liabilities; what would remain for a firm’s owners if the company were liquidated, all its assets were sold, and its debts were paid.

129
Q

Financial Statements

A

Any of several types of broad reports regarding a company’s financial status; most often used in reference to balance sheets, income statements, and/or statements of cash flows.

130
Q

Balance Sheet

A

A type of financial statement that summarizes a firm’s financial position on a particular date in terms of its assets, liabilities, and owners’ equity.

131
Q

Current Assets

A

Cash and other assets that can be converted into cash within a year.

132
Q

Liquidity

A

The ease and speed with which an asset can be converted to cash; cash is said to be perfect liquidity.

133
Q

Fixed Assets

A

Assets that have long-term use or value to the firm, such as land, buildings, and machinery.

134
Q

Depreciation

A

Accounting method for distributing the cost of an asset over its useful life.

135
Q

Intangible Assets

A

Non-physical assets, such as a patent or trademark, that have economic value in the form of expected benefit.

136
Q

Goodwill

A

The amount paid for an existing business beyond the value of its other assets.

137
Q

Current Liabilities

A

Debt that must be paid within one year.

138
Q

Accounts Payable

A

Amounts due from the firm to its suppliers for goods and/or services purchased on credit; a form of current liability.

139
Q

Long-term Liabilities

A

Any debts owed by the firm that are not due for at least one year.

140
Q

Pain-In Capital

A

Any additional money invested in the firm by the owners

141
Q

Retained Earnings

A

A company’s net profits less any dividend payments to shareholders.

142
Q

Income Statement (Profit-and-Loss statement)

A

A type of financial statement that describes a firm’s revenues and expenses and indicates whether the firm has earned a profit or suffered a loss during a given period.

143
Q

Revenues

A

Any monies received by a firm as a result of selling a good or service or from other sources such as interest, rent, and licensing fees.

144
Q

Revenue Recognition

A

The formal recording and reporting of revenues in the financial statements.

145
Q

Matching Principle

A

Expenses should be matched with revenues to determine net income for an accounting period.

146
Q

Cost of Goods Sold

A

Any expenses directly involved in producing or selling a good or service during a given time period.

147
Q

Gross Profit (Gross Margin)

A

A firm’s revenues (gross sales) less its cost of goods sold.

148
Q

Operating Expenses

A

Costs incurred by a firm other than those included in cost of goods sold.

149
Q

Operating Income

A

Compares the gross profit from business operations against operating expenses.

150
Q

Net Income (net profit or net earnings)

A

A firm’s gross profit less its operating expenses and income taxes.

151
Q

Statement of Cash Flows

A

A financial statement that describes a firm’s generation and use of cash during a given period.

152
Q

Budget

A

Detailed statement of estimated receipts and expenditures for a future period of time.

153
Q

Solvency Ratios

A

Ratios that estimate the financial risk that is evident in a company.

154
Q

Short-term Solvency Ratio

A

Financial ratio for measuring a company’s ability to pay immediate debts.

155
Q

Current Ratio

A

Financial ratio for measuring a company’s ability to pay current debts out of current assets.

156
Q

Debt

A

A company’s total liabilities.

157
Q

Debt-to-Equity Ratios

A

A form of debt ratio calculated as total liabilities divided by owners’ equity.

158
Q

Leverage

A

Using borrowed funds to make purchases, thus increasing the user’s purchasing power, potential rate of return, and risk of loss.

159
Q

Profitability Ratios

A

Measures of a firm’s overall financial performance in terms of its likely profits; used by investors to assess their probable returns.

160
Q

Return on Equity

A

A form of profitability ratio calculated as net income divided by total owners’ equity.

161
Q

Return on Sales

A

Ratio calculated by dividing net income by sales revenue.

162
Q

Earnings Per Share

A

A form of profitability ratio calculated as net income divided by the number of common shares outstanding.

163
Q

Activity Ratios

A

Measures of how efficiently a firm uses its resources; used by investors to assess their probable returns.

164
Q

Inventory Turnover Ratio

A

An activity ratio that measures the average number of times inventory is sold and restocked during the year.

165
Q

Marketing

A

An organizational function and a set of processes for creating, communicating, and delivering value to customers, and for managing customer relationships in ways that benefit the organization and its stakeholders.

166
Q

Marketing Concept

A

The idea that the whole firm is directed toward serving present and potential customers at a profit.

167
Q

Value

A

A relative comparison of a products’s benefits versus its costs.

168
Q

Utility

A

The ability of a product to satisfy a human want or need.

169
Q

Consumer Goods

A

Physical products purchased by consumers for personal use.

170
Q

Industrial Goods

A

Physical products purchased by companies to produce other products.

171
Q

Services

A

Products with non-physical features, such as information, expertise, or an activity that can be purchased.

172
Q

Relationship Marketing

A

A marketing strategy that emphasizes building lasting relationships with customers and suppliers.

173
Q

Customer Relationship Management (CRM)

A

Organized methods that a firm uses to build better information connections with clients, so that stronger company-client relationships are developed.

174
Q

Marketing Plan

A

Detailed strategy for focusing marketing efforts on consumers’ needs and wants.

175
Q

Marketing Objectives

A

The things marketing intends to accomplish in its marketing plan.

176
Q

Marketing Strategy

A

All the marketing programs and activities that will be used to achieve the marketing goals.

177
Q

Marketing Mix

A

A combination of product, pricing, promotion, and place (distribution) strategies used to market products.

178
Q

Product

A

Good, service, or idea that is marketed to fill consumers’ needs and wants.

179
Q

Product Differentiation

A

Creation of a product feature or product image that differs enough from existing products to attract customers.

180
Q

Pricing

A

The process of determining the best price at which to sell a product.

181
Q

Place (Distribution)

A

The part of the marketing mix concerned with getting products from producers to consumers.

182
Q

Promotion

A

The aspect of the marketing mix concerned with the most effective techniques for communicating information about products.

183
Q

Market Segmentation

A

The process of dividing a market into categories of customer types of “segments”.

184
Q

Target Market

A

A group of people who have similar wants and needs and can be expected to show interest in the same products.

185
Q

Product Positioning

A

The process of fixing, adapting, and communicating the nature of a product to appeal to the selected target market.

186
Q

Demographic Variables

A

Characteristics of populations that may be considered in developing a segmentation strategy.

187
Q

Geographic Variables

A

Geographic units that may be considered in developing a segmentation strategy.

188
Q

Geo-Demographic Variables

A

A combination of geographic and demographic traits used in developing a segmentation strategy.

189
Q

Psychographic Variables

A

Consumer characteristics, such as lifestyles, opinions, interests, and attitudes that may be considered in developing a segmentation strategy.

190
Q

Behavioural Variables

A

Behavioural considerations, such as benefits sought, loyalty status, usage rate, user status, and occasion for use hat may be used in developing a segmentation.

191
Q

Marketing Research

A

The study of what customers need and want and how best to meet those needs and wants.

192
Q

Observation

A

A market research technique involving viewing or otherwise monitoring consumer buying patterns.

193
Q

Survey

A

A market research technique based on questioning a representative sample of consumers about purchasing attitudes and practices.

194
Q

Focus Group

A

A market research technique involving a small group of people brought together and allowed to discuss selected issues in depth.

195
Q

Experimentation

A

A market research technique in which the reactions of similar people are compared under different circumstances.

196
Q

Consumer Behaviour

A

The study of the decision process by which people buy and consume products.

197
Q

Industrial Market

A

An organizational market consisting of firms that buy goods that are either converted into products or used during production.

198
Q

Reseller Market

A

An organizational market consisting of intermediaries that buy and resell finished goods.

199
Q

Institutional Market

A

An organizational market consisting of such non-governmental buyers of goods and services as hospitals, religious organizations, museums, and charitable organizations.

200
Q

Product Features

A

Tangible and intangible qualities that a company builds into its products.

201
Q

Convenience Good/Convenience Service

A

An inexpensive good or service purchased and consumed rapidly and regularly.

202
Q

Shopping Good/Shopping Service

A

A moderately expensive, infrequently purchased good or service.

203
Q

Specialty Good/Specialty Service

A

An expensive, rarely purchased good or service.

204
Q

Product Mix

A

A group of products that a firm makes available for sale.

205
Q

Product Line

A

A group of products that are closely related because they function in a similar manner or are sold to the same customer group who will use them in similar ways.

206
Q

Product Life Cycle (PLC)

A

A series of stages in a product’s commercial life.

207
Q

Branding

A

A process of using symbols to communicate the qualities of a product made by a particular producer.

208
Q

Brand Equity

A

The added value a brand name provides to a product beyond its basic functional benefits.

209
Q

Product Placement

A

A promotional tactic for brand exposure in which characteristics in television, film, music, magazines, or video games use a real product with its brand visible to viewers.

210
Q

Buzz Marketing

A

Marketing that relies on word of mouth to spread “buzz” about a particular product or idea.

211
Q

Viral Marketing

A

Buzz that relies on social networking on the internet to spread information “like a virus” from person to person.

212
Q

National Brands

A

Products distributed by and carrying a name associated with the manufacturer.

213
Q

Private Brands

A

Products distributed by and carrying a name associated with the retailer or wholesaler, not the manufacturer.

214
Q

Generic Brands

A

No-frills products sold under the general category name rather than a specific company name.

215
Q

Packaging

A

Physical container in which a product is sold, advertised, or protected.

216
Q

Label

A

That part of a product’s packaging that identifies the product’s name and contents and sometimes its benefits.

217
Q

Pricing

A

Process of determining what a company will receive in exchange for its products.

218
Q

Pricing Objectives

A

The goals that sellers hope to achieve in pricing products for sale.

219
Q

Market Share (Market Penetration)

A

A company’s percentage of the total industry sales for a specific product type.

220
Q

Cost-Oriented Pricing

A

Pricing that considers the firm’s desire to make a profit and its need to cover production costs.

221
Q

Markup

A

Amount added to an item’s purchase cost to sell it at a profit.

222
Q

Variable Cost

A

Cost that changes with the quantity of a product produced and sold.

223
Q

Fixed Cost

A

Cost that is incurred regardless of the quantity of a product produced and sold.

224
Q

Breakeven Analysis

A

For a particular selling price, assessment of the seller’s costs versus revenues at various sales volumes.

225
Q

Breakeven Point

A

The sales volume at which the seller’s total revenue from sales equals total costs (variable and fixed) with neither profit nor loss.

226
Q

Price Skimming

A

Setting an initially high price to cover new product costs and generate a profit.

227
Q

Penetration Pricing

A

Setting an initially low price to establish a new product in the market.

228
Q

Promotion

A

Aspect of the marketing mix concerned with the most effective techniques for communicating information about and selling a product.

229
Q

Push Strategy

A

A promotional strategy in which a company aggressively pushes its products through wholesalers and retailers, which persuade customers to buy it.

230
Q

Pull Strategy

A

A promotional strategy in which a company appeals directly to customers, who demand the product from wholesalers.

231
Q

Promotional Mix

A

The combination of tools used to promote a product.

232
Q

Price Lining

A

Setting a limited number of prices for certain categories of products.

233
Q

Psychological Pricing

A

A pricing tactic that takes advantage of the fact that consumers do not always respond rationally to stated prices.

234
Q

Discount

A

A price reduction offered as an incentive to purchase.

235
Q

Advertising

A

Paid, non-personal communication by which an identified sponsor informs an audience about a product.

236
Q

Advertising Media

A

The specific communication device - television, radio, online, newspaper, direct mail, magazines, outdoor, mobile - used to carry a firm’s advertising message to potential customers.

237
Q

Personal Selling

A

Promotional tool in which a salesperson communicates one to one with potential customers.

238
Q

Sales Promotion

A

Short-term promotional activities designed to stimulate consumer buying or cooperation from distributors and other members of the trade.

239
Q

Coupon

A

A method of sales promotion featuring a certificate that entitles the bearer to stated savings off a product’s regular price.

240
Q

Premium

A

A method of sales promotion in which some item is is offered free or at a bargain price to customers in return for buying a specified product.

241
Q

Point-of-Purchase (Or Sale)

A

A method of sales promotion in which a product display is located in a retail store in order to encourage consumers to buy the product.

242
Q

Trade Show

A

A method of sales promotion in which members of a particular industry gather for displays and product demonstrations designed to sell products to customers.

243
Q

Direct (Or Interactive) Marketing

A

One-on-one non-personal selling by non-store retailers and B2B sellers using direct contact with prospective customers, especially via the internet.

244
Q

Publicity

A

Information about a company, a product, or an event transmitted by the general mass media (with no direct cost to the company)

245
Q

Public Relations

A

Company-influenced information directed at building goodwill with the public or dealing with unfavourable events.

246
Q

Distribution Mix

A

The combination of distribution channels by which a firm gets its products to end users.

247
Q

Intermediary

A

An individual or firm that helps to distribute a product.

248
Q

Wholesaler

A

An intermediary who sells products to other business for resale to final consumers.

249
Q

Retailer

A

An intermediary who sells products directly to consumers.

250
Q

Distribution Channel

A

A distribution channel in which a product travels from producer to consumer without intermediaries.

251
Q

Sales Agent

A

An independent intermediary who generally deals in the related product lines of a few producers and forms long-term relationships to represent those producers and meet the needs of many customers.

252
Q

Broker

A

An independent intermediary who matches numerous sellers and buyers as needed, often without knowing in advance who they will be.

253
Q

Intensive Distribution

A

A distribution strategy in which a product is distributed in nearly every possible outlet, using many channels and channel members.

254
Q

Exclusive Distribution

A

A distribution strategy in which a product’s distribution is limited to only one wholesaler or retailer in a given geographic area.

255
Q

Selective Distribution

A

A distribution strategy that falls between intensive and exclusive distribution, calling for the use of limited number of outlets for a product.

256
Q

Channel Conflict

A

Conflict arising when the members of a distribution channel disagree over the roles they should play or the rewards they should receive.

257
Q

Direct-Response Retailing

A

A form of non-store retailing in which firms directly interact with customers to inform them of products and to receive sales orders.

258
Q

E-Intermediary

A

An internet distribution channel member that assists in delivering products to customers or that collects information about various sellers to be presented to consumers.

259
Q

Physical Distribution

A

Activities needed to move a product efficiently from manufacturer to consumer.

260
Q

Warehousing

A

A physical distribution operation concerned with the storage of goods.

261
Q

Industrial Paradigm

A
  • Leadership is being number one and producing interests
  • One holding office or position of power in an organizations
  • One person in charge or directing a group
262
Q

Evolving Theory (James McGregor Burns)

A

“Interaction of leaders and their followers as collaborators working toward mutual purpose.”

263
Q

Mission Statement

A
  • ‘what’ and ‘who’

- Why does our business exist?

264
Q

Vision Statement

A
  • ‘why’ and ‘how’

- Where do I see our business going?

265
Q

Challenges with traditional approaches (3 myths)

A
  1. Change starts at the top
  2. Efficiency comes from control
  3. Prediction is possible
266
Q

What’s organizational structure?

A

The specification of jobs to be done within a business and how those jobs relate to one another.

267
Q

What factors influence structure?

A
  • Size
  • Technology
  • Environmental changes
268
Q

Complex adaptive system (CAS)

A
  1. Order is emergent as opposed to hierarchical
  2. System’s history is irreversible
  3. System’s future is often unpredictable.
269
Q

System agents are the building block of CAS

A
  • ideas
  • people
  • ## departmentsclients/customers
  • individual actions
270
Q

Org. Chart

A

A physical depiction of the company’s structure showing employees titles and their relationships to one another.

271
Q

Centralized Organization

A

Top ‘managers’ retain most of decision-making

272
Q

Informal Organization

A

A network of personal interactions and relationships among employees unrelated to the firm’s formal authority structure.

273
Q

Why does accounting matter?

A
  • Common language
  • Keeping score
  • Making decisions
274
Q

What does accounting tell us?

A
  • What’s happening
  • Own vs. Owe
  • Liquidity
  • Profitability
275
Q

The Triple Bottom Line

A
  • People
  • Planet
  • Profit
276
Q

The 3 Financial Statements

A
  • Income Statement (organization’s performance over a period of time)
  • Balance Sheet (what the organization owns and owes at a specific point in time)
  • Statement of Cash Flows (where the organization’s cash came from and went over a period of time)
277
Q

Income Statement

A
  • Statement of Operations
    (Revenue - Expenses = Net Income)
  • Is the business making more than it is spending?
278
Q

The Balance Sheet

A
  • Statement of Financial Position
    (Assets = Liabilities + Shareholders Equity)
  • Can the organization afford to pay its bills?
279
Q

Assets

A
  • Things of value a company owns
  • Listed in order of “liquidity”
  • Cash is the most liquid asset
280
Q

Current Assets

A

Things of value a company owns that can be converted into cash within a year.

281
Q

Shareholder’s Equity

A

Amount of resources available to distribute after all an organization’s bills are paid

282
Q

Common Shares

A

Amounts invested into the organization by shareholders

283
Q

Retained Earnings

A

Cumulative net income/surplus/loss of an organization.

284
Q

2Y Cash Flow

A

(+) Cash inflows
(-) Cash outflows
(=) Change in cash

285
Q

Liquidity Formula

A

Current Assets / Current Liabilities

286
Q

Cash inflows

A
  • Financing startup
  • Cash from sales
  • Trends
  • Seasonality
287
Q

Cash outflows

A
  • Start up costs
  • Cost of goods sold
  • Overhead costs
288
Q

Brand = ….

A

Say + Do + Look

289
Q

Why do we brand?

A
  • mental shortcut
  • how much people want to be associated with you
  • influence what people say about you
  • influences trust and belief
  • influence forgiveness
290
Q

Best practices of Branding

A
  1. Simple
  2. Consistent
  3. Predictable
  4. Championed at the top
  5. Owned by everyone.
291
Q

The New 4Ps…

A
  1. People
  2. Promises
  3. Proof
  4. Proclaim
292
Q

Marketing

A

Talking at/to

293
Q

Branding

A

Talking with

294
Q

The benefits and perks that employees care about are…

A
  • greater flexibility
  • autonomy
  • the ability to lead a better life
295
Q

Job Enrichment

A

A method of increasing employees’ job satisfaction by extending or adding factors such as responsibility or growth.

Business Management (2 decks)

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