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6. What is a co-operative?

  • An organisation owned and run jointly by its members such as customers or employees.
  • An organisation which keeps all profits for the director.
  • An organisation which does not pay the minimum wage.
  • An organisation that identifies as a charity.

7. What is a market orientated approach?

  • Dividing the population to be researched into a number of groups which share specific characteristics.
  • The collection of information based on opinions, attitudes, beliefs and intentions (Subjective factors)
  • A business that makes decisions based on customers' needs and wants, rather than what it thinks is right for the customer.
  • A group of respondents or factors whose views or behaviour should be representative of the target market as a whole.

8. What is debt factoring?

  • The factors which led to the debts of a company
  • The sale of debts to a third party such as a bank, in return for a percentage of the value of the debts.
  • An estimate of debts which will be incurred by a company in the next financial year.
  • A written document describing the extent of debts owned by a company.

9. What does "Above the line" promotion mean?

  • Promotion which is reliant on certain market margins.
  • Paid for communication using mass media, usually not targeted. eg advertising on TV or in the newspapers.
  • Advertising that will only proceed if certain financial targets are met.
  • Promotion which exceeds the advertisement budget

10. What does monopolistic mean?

  • The largest part of the market, with similar products and customer tastes.
  • A method of breaking a market down into groups based on personality, lifestyle and behaviour.
  • A type of market with a large number of relatively small firms selling similar products.
  • The measurement of the size of total sales in a market expressed in either sales (£) or volume (units)

11. What does the term venture capitalists stand for?

  • Professional investors in small to medium sized businesses (SMEs) which are usually considered risky by traditional lenders (i.e banks)
  • A professional who helps a company calculate their debt.
  • A financing option provided by banks and building societies.
  • Another term for a company budget.

12. What is a social enterprise?

  • A type of business organisation which does not have profit as its main objective ,for example charities and Fairtrade organisations.
  • An enterprise which gives its profit to the government.
  • A business which solely relies on promotion via social media.
  • A business which makes it money via social media.

13. What is the Boston Matrix

  • A method of analysing the products in a business's portfolio based on relative market share and market growth.
  • A type of market with a large number of relatively small firms selling similar products
  • A method of breaking a market down into groups based on personality, lifestyle and behaviour.
  • The collection of information based on opinions, attitudes, beliefs and intentions (Subjective factors)

14. What is the margin of safety?

  • The largest part of the market, with similar products and customer tastes.
  • The difference between actual output and break even output
  • A method of analysing the products in a business's portfolio based on relative market share and market growth
  • Business that move from location to location, basing themselves wherever best suits their needs at a particular point of time.

15. What are public goods?

  • Goods which are non-diminishing and non-exclude-able and are provided by the public sector.
  • Goods which can only be obtained by paying a high amount of money.
  • The difference between actual output and break even output.
  • Goods which are deemed to be a luxury.

16. What does the term 'personal selling' refer to?

  • A range of products designed specifically for personal needs.
  • Where businesses use people (the ''Sales Force'') to sell the product after meeting face-to-face with the customer.
  • A company which will only sell products when they have met the manufacturer in person
  • A firm or person which relies solely on shops to sell their products.

17. What is quote sampling?

  • Dividing the population to be researched into a number of groups which share specific characteristics.
  • A method of breaking a market down into groups based on personality, lifestyle and behaviour.
  • The collection of information based on opinions, attitudes, beliefs and intentions (Subjective factors)
  • A method of analysing the products in a business's portfolio based on relative market share and market growth.

18. What is a LIFO?

  • Selling stock which was overproduced.
  • Selling stock which is only intended for infants.
  • Issuing stock from the latest rather than the earliest deliveries.
  • Selling stock which has not been popular with customers.

19. What is a budget?

  • A financial plan that is prepared and agreed in advance for a specific time period.
  • Another term for company profit
  • Another term for the income generated by product sales
  • Another word for an employee.

20. What is 'Public relations'?

  • Activities where a business manages its relationships with different parts of the public, for example customers and local communities.
  • The relationship between a product and the public.
  • Where the owners are personally liable for all debts incurred by a business and personal belongings can be taken to repay debts.
  • When the public influences a new range of products.