Unit 1 key words

Question 0

Reluctant to take any chances, probably not an entrepreneur

Answer 0

Risk averse

Question 1

Someone who takes responsibility for organising business activity and carries business risk

Answer 1

Entrepreneur

Question 2

The people who organise and control a business. Typically have both power and responsibility.

Answer 2

Managers

Question 3

The reasons that lead us to act as we do

Answer 3

Motivation

Question 4

Turning physical inputs into a saleable product; a sector that takes up a falling share of uk business activity.

Answer 4

Manufacturing

Question 5

Revenue minus costs. Can be seen as a reward for enterprise and for carrying business risk.

Answer 5

Profit

Question 6

Running a business to make the most profit possible, regardless of any other objectives.

Answer 6

Profit maximisation

Question 7

Income received by a business from sales and other sources

Answer 7

Revenue

Question 8

The expenditure incurred to operate any business activity

Answer 8

Costs

Question 9

Wellbeing, sometimes measured just in terms of material goods but sometimes taking a wider view of the quality of life.

Answer 9

Welfare

Question 10

People who target a satisfactory performance rather than profit maximisation

Answer 10

Satisfiers

Question 11

In line with ideas on what is morally correct. Sometimes business face a choice between profit maximisation and ethical behaviour

Answer 11

Ethical

Question 12

Businesses taking into account fairness and consideration towards their stakeholders; behaving ethically

Answer 12

Corporate responsibility

Question 13

Taking responsibility for decisions plus organising and motivating fellow workers

Answer 13

Leadership

Question 14

Means that decisions are handed down for implementation for subordinates are not expected to question decisions or to offer alternatives.

Answer 14

Autocratic

Question 15

Things that are useful or valuable are assets. Premises, equipment and goodwill are examples

Answer 15

Assets

Question 16

Where a leader is firmly in control but takes into account workers welfare

Answer 16

Paternalistic leadership

Question 17

Leaders consult widely and share decision taking

Answer 17

Democratic

Question 18

To assign or delegate freedom, decision taking and responsibility to individuals or teams of employees

Answer 18

Empower

Question 19

Subordinates are allowed as much independence as possible

Answer 19

Laissez-faire

Question 20

A business with activities in several countries.

Answer 20

Multinational company (MNC)

Question 21

A management approach based on the idea that people are lazy and need close supervision

Answer 21

Theory X

Question 22

A management theory approached based on the idea that people want to achieve and can be trusted

Answer 22

Theory Y

Question 23

Businesses using the wishes of customers and what the are willing to pay to guide production and marketing decisions

Answer 23

Market orientation

Question 24

Prioritising product quality or performance not customer wishes

Answer 24

Product orientated

Question 25

A valuable characteristic that only one brand or supplier has, giving competitive advantage over rivals

Answer 25

Unique selling point

Question 26

Subcontracting the marketing of parts or products. Multinationals commonly outsource to countries with lower costs

Answer 26

Outsourcing

Question 27

Making your product stand out from others, because of real differences or effective marketing

Answer 27

Differentiation

Question 28

Subdividing a market according to distinctive characteristics of the product and/or the buyers

Answer 28

Segmentation

Question 29

A small section of a market with distinctive specialised requirements

Answer 29

Market niche

Question 30

Reaching targets with minimum waste, effort or cost

Answer 30

Efficiency

Question 31

The combination of desire for a product with ability and readiness to pay

Answer 31

Effective demand

Question 32

The customers who buy and use goods and services

Answer 32

Consumers

Question 33

Dividing up the total population by characteristics such as age and gender

Answer 33

Population structure

Question 34

Consumer preferences for products or types of products or types of products, generally subject to shifts over time.

Answer 34

Tastes

Question 35

Seeking an advantage over rivals by using anything other than price.

Answer 35

Non-Price Competition

Question 36

Alternatives to a particular product.

Answer 36

Substitutes

Question 37

Items that are consumed together; such as iPods and music downloads.

Answer 37

Complementary goods.

Question 38

Money received.

Answer 38

Income

Question 39

How much people have available to spend after tax and benefits.

Answer 39

Disposable income.

Question 40

Items that we generally buy more of as income increases, unlike inferior goods. e.g clothes.

Answer 40

Normal Products.

Question 41

Products we buy less of as rising income lets us switch to more attractive substitutes e.g Bus travel.

Answer 41

Inferior Goods

Question 42

The way that income is shared out between members of a community.

Answer 42

Income distribution

Question 43

The amount paid by the buyer in a transaction to the seller

Answer 43

Price

Question 44

The best alternative given up when we make a choice and use a resource. Examples include the next best use of a land site, of income or of time.

Answer 44

Opportunity cost

Question 45

The quantity that all producers of a product want to sell at a particular price.

Answer 45

Market supply

Question 46

A period of time in which a business cannot change fixed costs

Answer 46

short term

Question 47

The time it takes to make a change in the fixed asset of a business

Answer 47

Long run

Question 48

The private enterprise system that has demand, supply, prices and profits deciding resource use, with minimal government participation.

Answer 48

Market system

Question 49

In balance.

Answer 49

Equilibrium

Question 50

Turning out large quantities of standardised products, often using a production line and seeking economies of scale to drive down unit costs.

Answer 50

Mass Production

Question 51

the idea that modern markets have room for many small niche suppliers alongside larger firms that mass produce, thanks partly to technology such as the internet.

Answer 51

Long tail

Question 52

Studying a market to gather data,particularly on factors influencing demand for the product.

Answer 52

Market research

Question 53

Taking information from data already collected by others.

Answer 53

Secondary market research.

Question 54

Conducting New research into demand for a product.

Answer 54

Primary market research

Question 55

Numerical research

Answer 55

quantitative market research

Question 56

Research into preferences and attitudes - often in some depth.

Answer 56

Qualitative market research

Question 57

A set of questions aimed at gathering market research information, requiring careful construction to minimise bias.

Answer 57

Questionnaire

Question 58

Gathering information from a small sample rather than the whole market or population.

Answer 58

Sampling

Question 59

Skilled direction and planning to work towards meeting long-term objectives

Answer 59

Strategy

Question 60

Approaches to meeting challenges and overcoming obstacles, often specific to an immediate situation.

Answer 60

Tactics