Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
16 Cards in this Set
- Front
- Back
|
Why do businesses exist? |
Formed by entrepreneurs, create and sustain employment, contribute to infrastructure of country |
|
|
Mission statement |
Formal phrase that sets out aims and values of a business/organisation |
|
|
Business objectives |
A goal or aim that a business wants to achieve |
|
|
SMART |
Specific Measurable Achievable Realistic Timely |
|
|
Why does a business set objectives |
Act as markers so results can then be measured, performance measured by how well objectives are met |
|
|
Mission |
Overall purpose of business |
|
|
Vision |
Overall aspiration of business |
|
|
Aims/goals |
General statements of what business intends to achieve |
|
|
Objective |
More precise/detailed version of aims/goals |
|
|
Business objective - Profit |
TR-TC, profit is a common aim as it gives them the capital needed to expand and to grow the business |
|
|
Business objective - Growth |
Growing/expanding will increase amount of profit or increase market share, |
|
|
Organic growth |
Taking on more staff or opening more stores or producing more goods |
|
|
Inorganically |
With help of another company, through a merger or a takeover |
|
|
Business objective - survival |
Sustainable level of sales that allows business to reach break-even point, may involve penetration pricing of products or services at the outset to establish the business, may not be profit at the start but can grow |
|
|
Business objective - survival |
Sustainable level of sales that allows business to reach break-even point, may involve penetration pricing of products or services at the outset to establish the business, may not be profit at the start but can grow |
|
|
Business objective - cash flow |
A positive cash flow means the business would not have to borrow from a bank |
