Business Management Unit 1

Globalisation is the process by which the world's regional economies are becoming one integrated global unit.

Stakeholders can be split into different categories, the most common are:

SWOT analysis and the Ansoff matrix are business tools

Sole traders have limited liability and are separate from the business entity.

Advantages of sole traders include

A public sector organisation is controlled by...

Which of these is an example of the primary sector activity?

A partnership is a business owned and run by more than one person.

What is a chain of production?

What are internal economies of scale?

Needs and wants of costumers are two exact same concepts.

Types of cooperatives include

Franchises involve

Shareholders are stakeholders, but stakeholders don't have to be shareholders.

Large businesses often preform a stakeholder analysis to prioritise or rank the interests of various stakeholders

Which of the following is an example of horizontal integration?

The main aim of for-profit social enterprises is gaining profit.

External diseconomies of scale occur when a company's costs per unit decreases due to external factors

At the optimum level of production, a business is...

What factors are included in the STEEPLE analysis?

None of the business departments (HR, Marketing etc) are interdependent, and could with ease operate without each other.

An example of an external stakeholder could be

A business may use the power-interest matrix to determine effective strategies for each stakeholder group

Which of these activities are steps in planning out a business start-up?

Which of the following is a potential disadvantage for host countries that rely heavily on MNCs?

Conflict between stakeholders may occur when their interests in the business are similar

Some stakeholders can be both internal and external

A stakeholder is a person or organisation that affects or is affected by a business.

A vision statement...

What does the M in SMART objectives stand for?

Disadvantages of partnerships include

Competitors of the business are considered to be stakeholders

An example of how globalisation benefits MNCs would be...

A business tactic is a plan to achieve a tactical objective

Which statement should be drawn up first

Multinational companies are always global or operating in many countries.

Middle managers need to approve decisions made by senior managers

Some individuals may be forced to start-up businesses because of, for ex. inability to find a stable position.

Backward vertical integration is when a company acquires a business in its' supply chain

What is a joint venture?

One impact of MNCs on host countries is...

A business might remain small because of the owner’s desire to maintain more control

What does Corporate Social Responsibility (CSR) entail?

Globalisation can also have a great impact on domestic businesses through for ex. closer collaboration or skill transfer

Through what activities does a genuine business aim to satisfy the needs and wants of individuals or organisations?

Partners do not necessarily share the business profits equally between themselves.

A vision statement is the same as the mission statement

Which of the following is not a reason for MNCs to expand?

What is a multinational company (MNC)?

Skilled employees do not choose to move away to look for work in a multinational company abroad

Which of the following is a variable cost for a business?

What is the Human Resources (HR) part of the business responsible for?

Market stakeholders include groups such as

An example of a internal stakeholder could be

The hierarchy of business objectives (from senior to floor management)

The four factors of production are as follows:

Changes in internal environments, such as ... may require the business to change its' objectives

Reason of a start-up failing could be, for ex. poor market research, unreliable supplies or not addressing labour laws.

One positive impact of MNCs on host countries is the introduction of new ways of doing business

What is an IPO?