AS unit 1 Business Studies Questionnaire

HideShow resource information
  • Created by: jacob
  • Created on: 23-12-13 19:40

1. the formula for contribution per unit

  • Fixed Costs ÷ (selling price per unit- variable cost per unit)
  • selling price per unit- variable cost per unit
  • Variable cost x fixed costs + profit
1 of 20

Other questions in this quiz

2. Which one of these is a price factor that would effect demand

  • cost of substitutes
  • how big it is
  • FTP's

3. What is meant by Predator Pricing

  • This is the method of pricing which considers the toal cost per unit and then adds on a percentage to arrive at a final price.
  • This occurs when a firm sets out to destroy (or weaken) the competition through low prices
  • This occurs when a firm sets out to destroy (or weaken) the competition through low prices

4. Define what is meant by Penetration Pricing

  • this strategy uses a low price to enter the market & gain market share
  • this strategy uses a high price to enter the market. Even though the price is high, some people may still be eager to try a new product once sales from the group of people disappear the price of the product can decrease to attract new customers.

5. Define A theory Y Manager

  • Love employees and give them bonuses for working hard
  • assume that human beings want to work and will commit themselves to work effectively without strict controls. They will engage with the objectives of the organisation, accept responsibility and use their initiative to help solve problems
  • assume their employees are lazy and prefer to be given firm direction with strict controls> Managers will adopt to a stick and carrot approach to make them work hard. This may involve targets with heavy penalties if they are not met.

Comments

No comments have yet been made

Similar Business Studies resources:

See all Business Studies resources »See all unit 1 resources »