Primary research is...

field work - the collection of first hand data

What is the marketing mix?

Price, Place, Promotion, Product

Advantage of a sole trader

You get to keep all of the profits as nobody to share with

What is job production?

Orders are produced one at a time

money borrowed with set interest rate over set time period

What is meant by 'Limited Liability'?

shareholders only lose money that they had invested

What is meant by 'salary'?

staff are paid monthly no matter how many hours they work

Secondary research is...

desk research - data already collected

What are 'fringe' benefits?

payments in kind, eg a company car or staff discounts.

An advantage of off the job training

more expertise - specialist trainers

Advantage of trade credit - 'Buy now pay later'

Business can sell the goods first and pay for them later

What is the cost plus pricing strategy?

Add % profit to the actual cost

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R061 Business Studies 2017 Quiz 2

28 termsStudBud Administration312 plays

OCR Business Studies #OCR #R061

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Questions 28

Answers

1
What is leasing?
'Buy now pay later'
Money borrowed
renting a piece of machinery
paying on a credit card
2
Primary research is...
field work - the collection of first hand data
desk research - data already collected
3
Disadvantage of a partnership
Limited liability
risks and responsibilities are shared
easier to raise finance than sole trader
Unlimited liability
4
Advantage of primary research
more up to date
saves time
limited results
expensive
5
What is the marketing mix?
Price, Packaging, Place, Promotion
Price, Place, Profit, Promotion
Packaging, Price, Product, Person
Price, Place, Promotion, Product
6
Advantage of a sole trader
limited liability
unlimited liability
Have to publish accounts
You get to keep all of the profits as nobody to share with
7
Which distribution channel is HVS likely to use?
Producer - consumer
producer - wholesaler - retailer - consumer
producer - retailer - consumer
8
What is job production?
products are produced together and 1 person has a set job
products are produced in batches
Orders are produced one at a time
9
Advantage of retained profits
Not available to a new business
Doesn’t have to be repaid
have to pay interest
Can be expensive
10
What is meant by inflation?
How much it costs to borrow money
A general rise in prices
the number of people that are working
The cost of £s in terms of another currency
11
More methods of advertising through the internet is considered in which factor?
Legal
Economical
Social
Technological
12
What is the skimming price strategy?
Start with a lower price
charge a price similar to competitors
Start with a higher price
Add % profit to the actual cost
13
Which of these is a market segment for HVS?
people on a high income
people interested in bicycles
Young people
people on a low income
14
What is a bank loan?
The profits made are put back into the business.
'Buy now pay later'
money borrowed with set interest rate over set time period
the business is allowed to be overdrawn on its account
15
Partnership...limited or unlimited liability?
Unlimited liability
Limited liability
16
What is meant by 'Limited Liability'?
owners pay back everything if the business goes in debt
they are a limited company
shareholders only lose money that they had invested
17
What is an example of a fixed cost?
wages
commission
Salary
raw materials
18
What is meant by 'salary'?
staff are paid for the number of items they sell.
staff are paid for the number of hours worked.
staff are paid for the number of items produced.
staff are paid monthly no matter how many hours they work
19
Secondary research is...
desk research - data already collected
field work - the collection of first hand data
20
What are 'fringe' benefits?
payments in kind, eg a company car or staff discounts.
staff are paid extra for working beyond normal hours
A bonus based on how many items sold
21
What is an example of a variable cost?
salary
insurance
raw materials
rent
22
The level of employment is considered in which factor?
Technological
Social
Legal
Economical
23
How do you calculate the profit?
Sales * price
Total costs - Revenue
Costs + Price
Revenue - Total costs
24
What is meant by 'break even'?
No profit or loss made
The business make a small profit
The costs are higher than the profit
25
The Income tax is considered within which factor?
Technological
Political
Social
Economical
26
An advantage of off the job training
more specific
more expertise - specialist trainers
demotivates workers
Cheaper
27
Advantage of trade credit - 'Buy now pay later'
Business can sell the goods first and pay for them later
Doesn't have to be repaid
Interest is charged
28
What is the cost plus pricing strategy?
Start with a lower price
Add % profit to the actual cost
Start with a higher price
charge a price similar to competitors

R061 Business Studies 2017 Quiz 2 Flashcards | StudBud