GCSE Exam Flashcards
(17 cards)
What is flow production?
- Flow production is when something is being made constantly, for example pencils in a factory.
- These are usually sold cheaper as they are made for cheaper and don’t take as much work.
What is batch production?
-batch production is a combination of job and flow production, lots of things are being made but there is a brake in between, For example bread.
What is a private limited company?
- A private limited company can only sell shares if all the shareholders agree, these are usually family members.
- These have ltd after their name.
What is the advantages of a private limited companies?
- Limited liability, you can’t lose more than you invest.
- Incorporated, can still trade after a shareholders dies.
What are the disadvantages of a private limited company?
- More expansive than partnerships because of legal paperwork.
- Legally obliged to publish its accounts every year.
What is a public limited company?
- A public limited company means shares are traded on a stock exchange, and can be bought and sold by anyone.
- These have Plc after their name.
What are the advantages of a public limited company?
- much more capital can be raised than any other type of business.
- can help the company expand and diversify.
What are the disadvantages of a public limited company?
- very little say in how the company is run
- easy to buy enough shares for someone to take over
- They have a large number of shareholders
What are the four Ps of the marketing mix
-Product, Price, Promotion and Place
What is a SWOT analysis?
- swot stands for strengths, weaknesses, opportunities and threats
- this helps businesses decide on there marketing strategy
How can businesses build up customer loyalty?
- price matching, so people don’t change brands to save money.
- loyalty cards, makes people go back to the store.
- product development, people can upgrade product.
What is an advantage of advertising?
- gives people information to make a choice.
- are seen on TV, newspapers and computers so people will see them everyday.
- employs millions
What are the disadvantages of advertising?
- business charge more for products to pay for advertising.
- less choice for customers as lots of business close down due to larger firms having huge advertising campaigns.
What are the sources of start-up finance?
- grants, trade credit, overdrafts, loans and venture capital
What is cash flow?
-cash flow is the flow of all money into and out of the business, when the business makes money it flows in and when it pays wages it flows out.
What are the dangers of poor cash flow?
- can’t pay for day-to-day expenses.
- staff might not get paid on time.
- suppliers may offer prompt payment, the business won’t be able to take advantage of this.
What is job production?
- Only making one product at a time, for example a wedding dress.
- More money is earned from this method.
