Unit 1 - Keywords Flashcards
Social enterprise
An enterprise whose sole aim is not just to make profit but to benefit society
Stakeholder
Someone who is affected by, or has an effect on a business
Entrepreneur
A person who is willing to take a risk on a business
Good
Something that is tangible
Service
Something that is intangible
Deindustrialisation
The shift from the secondary sector to the tertiary sector
Interdependency
Where each stage of production relies on each other
Niche market
Where businesses target their product at a small section of the market
Chain of production
This shows the stages that a products goes through to be ready to be sold to customers
Mass market
Where businesses target their product at the entire market + appeal to all customers
Partnership
A form of ownership where 2-20 people own the business
Deed of Partnership
A document drawn up that shows the rights + responsibilities of all partners
Franchisor
A business which allows another business to use its name
Shareholder
Someone who owns part of the business + receives dividends each year
Royalty
The % of the profit paid from the franchisee to the franchisor
Franchisee
A business uses another business’ name to trade, + pays royalties
Memorandum of Association
A document drawn up for new businesses for external stakeholders when forming an Ltd
Dividends
A % of the profit given to shareholders each year
Limited liability
Where personal possessions cannot be taken if the business fails + leaves a debt
Articles of Association
A document drawn up for new businesses for internal stakeholders when forming an Ltd
Business plan
A document drawn up for new businesses showing what they plan to do + how they plan to achieve it
E-commerce
Business conducted over the internet
Demand curve
A diagram showing the relationship between demand + price
Qualitative research
Research that aims to understand consumer behaviour, attitudes + perceptions. Explore opinions + reasons
