Theme 1.5 Key Word Cards

HideShow resource information
Entrepreneur
Takes a restless look at the business opportunities that exist and then turns a business idea into action.
1 of 36
Franchise
A business that sells the rights to the use of its name and trading methods to local businesses.
2 of 36
Geographical Mapping
Plotting on a map the locations of all the existing businesses in your market, in order to show where all of your competitors are.
3 of 36
Innovations
New ideas brought to the market.
4 of 36
Line Manager
A manager responsible for meeting specific business targets and responsible for specific staff.
5 of 36
Market Map
A grid plotting where each existing brand sits on scales based on two important features of a market; for example, in the car market: luxury/economy and green/gas guzzling.
6 of 36
Market Niche
A gap in the market - that is, no one else is offering what you want to offer.
7 of 36
Entrepreneurial Motives
Often roots in psychology rather than ambition. Many had disappointing school careers, making them determined to prove themselves.
8 of 36
Entrepreneurial Characteristics
The traits that mark them out from others, including determination and the ability to cope with (and even embrace) risk.
9 of 36
Crowdfunding
Obtaining external finance from many individual, small investments, usually through a web-based appeal.
10 of 36
Piece Rate
Paying workers per piece they produce.
11 of 36
Business Objectives
The goals set for the business as a whole, also known as corporate objectives. They derive from the mission and aims set by the directors.
12 of 36
Corporate Objectives
The goals set for the business as a whole, also known as business objectives. They derive from the mission and aims set by the directors.
13 of 36
Budgets
An agreed ceiling on the monthly spending by any department or manager.
14 of 36
Franchisee
An independent business that has bought the rights to use a better-known firm's logo and trading practices within a specified area.
15 of 36
Delegation
Passing authority down the hierarchy, to allow more junior employees some decision-making power.
16 of 36
Entrepreneur
Someone who makes a business idea happen, either through their own effort or by organising others to do the work.
17 of 36
Mission
A business aim expressed to make it seem especially purposeful and motivating.
18 of 36
Mission Statement
A short, powerfully expressed sentence or two that explains the business aims clearly yet motivationally.
19 of 36
Objectives
Targets precise enough to allow praise or blame for the person in charge.
20 of 36
Shareholder Value
The mix of shareholder dividends and a rising share price that stem from high and rising profits.
21 of 36
Staff Retention
Literally retaining staff, usually measured as staff still raining at the end of the year as a percentage of the total workforce.
22 of 36
Strategy
A medium-to-long term plan for meeting your objectives.
23 of 36
Legal Structure
Determines the financial impact on the business owners if things go wrong. It also affects the ease with which the business can finance growth.
24 of 36
Bankrupt
When an individual is unable to meet personal liabilities, some or all of which can be as consequence of business activities.
25 of 36
Creditors
Those owed money by a business - for example, suppliers and bankers.
26 of 36
Incorporation
Establishing a business as a separate legal entity from its owners, and therefore giving the owners limited liability.
27 of 36
Registrar of Companies
The government department which can allow firms to become incorporated. It is located at Companies House, where Articles of Association, Memorandums of Association and the annual accounts of limited companies are available for public scrutiny.
28 of 36
Sole Trader
A one-person business with unlimited liability.
29 of 36
Unlimited Liability
Owners are liable for any debts incurred by the business, even if this requires them to sell all their assets and possessions and become personally bankrupt.
30 of 36
Limited Liability
Owners are not liable for the debts of the business; they can lose no more than the sum they invested.
31 of 36
Business Choices
They must be made bearing in mind opportunity cost.
32 of 36
Trade-Off
Accepting less of one thing to achieve more of another (e.g. slightly lower quality in exchange for cheapness).
33 of 36
Opportunity Cost
The cost of missing out on the next best alternative when making a decision or when committing resources.
34 of 36
Overtrading
When a business expands at a rate that cannot be sustained by its capital base.
35 of 36
Liquidity
The ability of a business to pay its bills on time, which all depends upon having enough cash in the bank.
36 of 36

Other cards in this set

Card 2

Front

A business that sells the rights to the use of its name and trading methods to local businesses.

Back

Franchise

Card 3

Front

Plotting on a map the locations of all the existing businesses in your market, in order to show where all of your competitors are.

Back

Preview of the back of card 3

Card 4

Front

New ideas brought to the market.

Back

Preview of the back of card 4

Card 5

Front

A manager responsible for meeting specific business targets and responsible for specific staff.

Back

Preview of the back of card 5
View more cards

Comments

No comments have yet been made

Similar Business resources:

See all Business resources »See all Entrepreneurs and Leaders resources »