Business Terms. (Green Book)

Front 1

Ansoff's Matrix

Back 1

Shows the firm strategies and how risky they are

Front 2

Asset

Back 2

Anything that a business owns

Front 3

Balance Sheet

Back 3

Shows the firm their finance at a certain period of time

Front 4

Barrier to Entry

Back 4

Obstacles that make it hard for a firm to enter a market

Front 5

Benchmarking

Back 5

Looking at another firms production, process, and performance in order to improve your own

Front 6

Big Data

Back 6

Large amounts of data collected from various sources

Front 7

Blake Mouton Grid

Back 7

A grid used to find out how much managers care about their employees and production.

Front 8

Boston Matrix

Back 8

A tool used by firms to compare the products they have, using market growth and market share

Front 9

Bowman's Strategic Clock

Back 9

Shows the positioning strategies based on combinations of price and perceived added value.

Front 10

Break-even Analysis

Back 10

Identifies the point where total revenue equals total costs.

Front 11

Budget

Back 11

Forecasts future earnings and spending

Front 12

Capacity Utilisation

Back 12

How much of it's maximum capacity a firm is using

Front 13

Capital

Back 13

Shows a firms wealth of money/other assets

Front 14

Capital Expenditure

Back 14

Money used to buy fixed assets

(also known as fixed capital)

Front 15

Carroll's CSR Pyramid

Back 15

A diagram showing four elements of CSR analysis of layers in a pyramid.

(Economic, Legal, Ethical, Philantrophic)

Front 16

Cashflow

Back 16

Money going into and out of a business

Front 17

Centralisation

Back 17

A structure of business where all key decisions come from a few key people

Front 18

Channel of Distribution

Back 18

A route a product takes from the producers to the consumer

Front 19

Competitive Advantage

Back 19

A way a company offers better value than rivals - often lower prices or better product range

Front 20

Confidence Interval

Back 20

A range in which you can say at a certain level a value lies.

Front 21

Confidence Level

Back 21

A percentage of 95/99% showing how confident you are that a value falls within a confidence interval

Front 22

Consumer Price Index

Back 22

Measures changes in prices of samples of goods and services. Measures inflation.

Front 23

Contingency Plan

Back 23

A plan preparing for an event that's unlikely to happen, just incase it does

Front 24

Contribution

Back 24

The difference between selling price and variable cost of product

Front 25

Core Competence

Back 25

A unique feature of a business that gives it a competitive advantage

Front 26

Corporate Objectives

Back 26

A goal of a business as a whole

Front 27

Corporate Social Responsibility (CSR)

Back 27

A firm's contribution to society

Front 28

Correlation

Back 28

A relationship between two variables

Front 29

Cost-push inflation

Back 29

When rising costs (eg. for raw materials or labours) push up prices

Front 30

Creditors

Back 30

Someone a business owes money to

(aka Payables)

Front 31

Critical Path Analysis

Back 31

In network analysis, it is the series of activities that are critical in the timing of the overall project

Hint 31

Network analysis

Activities

Front 32

Current Ratio

Back 32

A liquidity ratio that compares current assets to current liabilities. The ideal is 1.5:1

Front 33

Debt Capital

Back 33

Capital raised by borrowing

Aka loan capital

Front 34

Debtor

Back 34

Someone who owes money to the business

Aka receivables

Front 35

Decentralisation

Back 35

A structure where key decisions are shared across the company

Front 36

Decision Tree

Back 36

Method of analysing expected payoffs of different business decisions

Front 37

Delayering

Back 37

Reducing the numbers of layers in the hierarchy of an organisation

Front 38

Demand-pull Inflation

Back 38

When there's a rise in disposable income, where there's too much demand for too few goods, causing a firm to increase prices.

Front 39

Demographic Change

Back 39

Change in the structure of a population

Front 40

Depreciation

Back 40

Loss of value overtime (assets tend to depreciate)

Front 41

Developing Country

Back 41

A relatively poor country, with a low gdp

Front 42

Dimensions of National Culture

Back 42

A model used to compare the differences in cultural values between different countries.

Front 43

Director

Back 43

A person responsible for running a company

Front 44

Discrimination

Back 44

When one group of people are unfairly treated differently to others.

Eg. due to; age, gender, race

Front 45

Diversification

Back 45

Selling new products to new markets

Front 46

Divorce between Ownership and Control

Back 46

When owners of a company no longer have total control.