Business Studies: Starting up a business 0.0 / 5 ? Business StudiesStarting a businessGCSEAQA Created by: alexgeddes2205Created on: 03-01-17 19:10 Opportunity Costs The loss of a next best alternative, when one thing is chosen. 1 of 24 Entrepreneur A person who sets up a business or businesses in hope of profit. 2 of 24 Innovation The process of translating an idea into a good or service. 3 of 24 Market Mapping Identifies key features that characterise the consumers within a market, e.g young / old or trendy / traditional. 4 of 24 Aim A long term goal, e.g make 1million by the end of the year. 5 of 24 Objective A short term target. MUST BE SMART! 6 of 24 Market Share The percentage of an industry or markets total sales earned by a company. (SALES OF FIRM DIVIDED BY TOTAL SALES (X100)) 7 of 24 Social Enterprise Businesses that's main aim is to help a social problem, e.g helping the environment or the homeless. 8 of 24 SMART Objectives Specific Measurable Achievable Realistic and Time scaled. 9 of 24 Business Plan A written document that describes in detail how a business is going to achieve it's aims. 10 of 24 Stakeholder Stakeholders are individuals, groups or organisations that are affected by the activity of the business, e.g owners or customers. 11 of 24 Sole Trader When a business is owned by one person, who has full responsibility of the business. 12 of 24 Unlimited liability Owners are responsible for paying off all business debts, even with personal items if need be. 13 of 24 Partnership A type of business organisation in which 2 - 20 individuals share skills, profits and ideas. 14 of 24 Deed of Partnership A document containing each individuals responsibilities within a partnership, and how much they own. 15 of 24 Private Limited Company (ltd) A type of privately held business, that limits owner responsibility and is limited to 50 individuals. 16 of 24 Shareholder An owner that owns part of a company. 17 of 24 Incorporation The process of legally declaring a corporate as separate from it's owners 18 of 24 Limited Liability They are not personally responsible if the business goes into debt - can't loose personal items. 19 of 24 Dividend A sum of money paid regularly by a company to it's shareholders out of the profits. 20 of 24 Franchising Arrangement where one party grants another the right to sell under their name, in return for a share of the profits. 21 of 24 Franchisor The company allowing someone else to sell under their name. 22 of 24 Franchisee The person selling under someone's name. 23 of 24 Royalty Payments Made to the legal owner of the business in order to own the right to sell under their name. (Franchising) 24 of 24
Comments
No comments have yet been made