-
IGCSE Today
IGCSE Today
IGCSE Today
Definitions Set
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
Chapter 1A Need : is a good or service essential for living.A
Want : is a good or service which people would like to have, but
which is not essential for living, peoples wants are unlimited.The
Economic Problem : results from there being unlimited wants but
limited resources to produce the goods and services to satisfy
those wants, this creates scarcity.Opportunity cost : is the next
best alternative given up by choosing another itemDivision of
Labour : is when the production process is split up into different
tasks and each worker performs one of these tasks, it
0111 4808 454
Business O Level 0450 Mohamed Abdou Etman
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
is also known as specializationBusiness combines factors of
production to make products (goods and services) to satisfy peoples
wantsBusiness objectives : are the aims or targets that a business
works towardsValue added : is the difference between the selling
prices of a product or service and the cost of bought in materials
and componentsA stakeholder : is any person or group with a direct
interest in the performance and activities of a business
0111 4808 454
Business O Level 0450 Mohamed Abdou Etman
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
Chapter 2 The primary sector of industry :extracts and uses the
natural resources of the earthThe secondary sector of industry :
manufactures goods using the raw materials provided by the primary
sectorThe tertiary Sector of industry : provides services to
consumers and the other sectors of industryDe-industrialization :
occurs when there is a decline in the importance of the secondary
manufacturing sector of industry in a countryA free market economy
: has no government control over factors of production, it is also
known as market economyA monopoly : is a business which
controls
0111 4808 454
Business O Level 0450 Mohamed Abdou Etman
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
all of the market for a productA Command Economy : does not have
a private sector as all resources are owned by the stateA mixed
economy : has both a private and a public (state) sectorCapital :
is the money invested into a business by the ownerProfit :is the
surplus after total costs have been subtracted from sales
revenueInternal Growth : occurs when a business expands its
existing operationsExternal Growth : is when a takes over or merges
with another business it is often called integration as one firm
integrated into another oneMerger : is when the owners of two
businesses agree to join their firms together 0111 4808 454
Business O Level 0450 Mohamed Abdou Etman
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
to make one business Takeover or Acquisition :is when one
business buys out the ownes of another business which then becomes
part of the predator business Horizontal Integration : is when one
firm merges with or take over another one in the same industry at
the same stage of production Vertical Integration : is when one
firm merges with or takes over another one in the same industry but
at a different stage of production , the vertical integration can
be forward or backwardConglomerate integration : is when one firm
merges with or takes over a firm in a completely different
industry, this is also known as diversification0111 4808 454
Business O Level 0450 Mohamed Abdou Etman
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 3 Limited liability : it means that the owners of a
company (shareholders) cannot be held responsible for the debts of
the company they own , their liability is limited to the investment
they made in buying their sharesPartnership agreement : is the
written and legal agreement between business partners, it is not
essential for partners to have such an agreement but it is always
recommendedUnincorporated business :is the one that does not have a
separate legal identity , sole traders and partnerships are
unincorporated businessesShareholders : are the owners of a limited
company , they buy shares which represent part ownership of a
company
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Prospectus is a detailed document issued by the directors of a
company when they are converting it to public limited company
status, it is an invitation to the general public to buy shares in
the newly formed plc.Annual general meeting : is a legal
requirement for all companies, all shareholders may attend, they
vote on who they want to be on the board of directors for the
coming yearDividends : are payments made to shareholders from the
profits of a company after it has paid corporation tax , they are
return to shareholders for investing in the companyFranchise is a
business based upon the use of the brand names , promotional logos
and 0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
trading methods of an existing successful business, the
franchise buys the license to operate this business from the
franchiser
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 4 Inflation : is the increase in the average price level
of good and services over timeUnemployment a situation that exists
when people who are willing and able to work cannot find a
jobEconomic growth : is when a country's growth domestic product
increases , more goods and services are then produced than in the
previous yearThe balance of payment is the records of the
difference between a country's exports and importsReal income is
the value of income and falls when the prices rise faster than
money incomeGross domestic product GDP : it is the total
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
value of all goods and services in a country in one yearExports
: are goods and services sold from one country to other
countriesImports : are goods and services bought in by one country
from other countriesThe Exchange rate : is the price of one
currency in terms of another for example LE1:$1.5 Exchange rate
depreciation : is the fall in the value of a currency compared with
other currenciesFiscal policy : is any change by the government in
tax rates or public sector spendingDirect taxes : are paid directly
from incomes such as income taxes and profit taxIndirect taxes :
are added to the prices of 0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
goods and taxpayers pay the tax as they purchase the goods such
as Value Added TaxDisposable income : is the level of income a tax
payer has after paying income taxImport tariff : is the tax on an
imported productsImport quota : is a physical limit to the quantity
of a product that can be importedMonetary policy : is a change in
interest rates by the government or central bank Exchange rate
appreciation : is the rise in the value of a currency compared to
other currencies Supply side policies : are used by governments to
improve the efficient supply of goods and services in their
countryEthical decision : is a decision taken by a 0111 4808
454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
manager because of the moral code observed in that firm this can
include improving working conditions for staff beyond legal
requirements, or not producing dangerous or polluting goods, even
if these activities are not illegal Industrial tribunal : is a
legal meeting which considers workers complaints of unfair
dismissal or discrimination at workContract of employment : is a
legal agreement between employer and employee listing the rights
and responsibilities of workersPlanning permission : is given by a
government body to allow a business to build a factory or office in
a particular location, this permission can be refused if the site
is not suitable0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Development area : is a region of a country where businesses
will receive financial support to establish there, high
unemployment is often a problem in there areas
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 5 Constraint : is something that controls or limits the
action of a business decisionsExternal constraints : are those over
which a business has no direct controlSocial responsibility : is
when a business takes decisions that may benefit stakeholders other
than shareholders e.g. a decision to reduce pollution of the local
environment by using the least and least dirty production
equipmentPressure groups : are formed by people who share a common
interest and who will take action to try to change government
policy or business decisionsCost-benefit analysis : is the
valuation by a government agency of all external and
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
private costs and benefits resulting from a business
decisionExternal costs : are the costs paid by the rest of the
society , other than the business , as a result of a business
decisionExternal benefits : are the gains of the rest of society
other than the business resulting from a business decisionPrivate
costs : are the costs of a business decision actually paid for by
the businessPrivate benefits : are the financial gains made by a
business as a result of a business decisionSocial costs : is the
addition of the private and external costs of a business
decisionSocial benefit : is the addition of the private and
external benefits of a business decision
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 6 Fixed costs : are costs which do not vary with the
number of items sold or produced in the short term, they have to be
paid whether the business is making any sales or not , they are
also known as overheads costs.Variable costs : are costs which vary
with the number of items sold or produced, they are often called
direct costs as they can be directly related ti or identified with
a particular product.Total costs : are fixed and variable costs
combinedBreak even charts : are graphs which show how costs and
revenues of a business change with sales, they show the level
of
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
sales the business must make in order to break evenRevenue : the
income during a period of time from the sale of goods and services
where Total revenue= Quantity sold X priceThe Break even point : is
the level of sales at which total costs equals to total revenuesThe
contribution : is the selling price less the variable costsDirect
costs : are those costs that can be directly related to or
identified with a particular product or departmentMarginal costs :
are the extra costs a business will incur by producing one more
unit of outputIndirect costs : are those costs which cannot be
directly related to a particular product , they are often called
overheads or overhead 0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
costsAverage costs per unit : is the total costs of production
divided by total outputEconomies of scale : are the factors that
lead to a reduction in average costs as the business increases in
its sizeDiseconomies of scale : they are the factors that lead to
an increase in average costs as a business grows beyond a certain
sizeForecasts : are predictions of the future , for example ,
likely future changes in the size of the marketA trend : is an
underlying movement or direction of data over time , for example,
the trend of sales data may be increasingA line of best fit : is a
line drawn through a series of points , for example, sales data,
which bes shows the trend of that data , it 0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
can be used to forecast results in the futureBudgets : are plans
for the future containing numerical or financial targets
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 7 Accounts : are the financial records of a firm's
transactionsAccountants : are the professionally qualified people
who have responsibility for keeping accurate accounts and for
producing the final accountsFinal Accounts : are produced at the
end of the financial year giving details of the profit or loss made
over the year and the worth of the businessTrading Account : shows
how the gross profit of the business is calculated The cost of
goods sold : is the cost of producing or buying in the goods
actually sold by the business during a time periodSales revenue :
is the income to a business
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
during a period of time from the sale of goods and servicesGross
profit : is made when sales revenue is greater than the costs of
goods soldNet profit : is the profit made by a business after all
costs have been deducted from sales revenue , it is calculated by
subtracting overhead costs from gross profitsThe profit and loss
account : shows how the net profit of a business and the retained
profits of a company are calculatedDepreciation : is the fall in
the value of a fixed asset over timeAppropriation account : is that
part of the profit and loss account which shows how the profit
after tax is distributed either by dividends or kept in the company
as 0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
retained profitsRetained profit : is the net profit reinvested
back into a company , after deducting tax and payments to owners,
such as dividendsBalance sheet : shows the value if a business
assets and liabilities at a particular timeAssets : are those items
of value which are owned by the business , they may be long term
(fixed) or short term (current)Liabilities : are items owed by the
businessLiquidity : is the ability of a business to pay back its
short term debts
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 8 Cash flow : of a business is the cash inflows and
outflows over a period of time Cash inflows : are the sums of money
received by a business during a period of timeCash outflows : are
the sums of money paid out b a business during a period of timeCash
flow cycle : shows the stages between paying out cash for labour,
materials, etc. and receiving cash from the sale of goodsProfit:
the surplus after total costs have been subtracted from the sales
revenueCash flow forecast : is an estimate of future cash inflows
and outflows of a business, usually on a month by month basis this
will then show the expected cash balance at the
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
end of each monthOpening cash or bank balance : is the amount of
cash held by the business at the start of the monthNet cash flow :
is the difference , each month between inflows and outflowsClosing
Cash or bank : is the amount of cash held by the business at the
end of each month, this become next month opening cash balance
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 9 Start up capital : is the finance needed by a new
business to pay for essential fixed and current assets before it
can begin trading Capital expenditure : is money spent on fixed
assets which will last for more than one yearRevenue expenditure :
is money spent on day to day expenses which do not involve the
purchase of a long term assets for example wages or rent
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 0 Organizational structure : refers to the levels of
management and division of responsibilities within an
organizationJob description : outlines the responsibilities and
duties to be carried out by someone employed to do a specific
jobDelegation means giving a subordinate the authority to perform
particular tasks, it is important to remember that it is the
authority to perform a task which is being delegated not the final
responsibilityChain of command : is the structure in an
organization which allows instructions to be passed down from
senior management to lower levels of management The span of control
: is the number of
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
subordinates working directly under a managerLine managers :
have direct authority over subordinates in their department, they
are able to take decisions in their departmental areaStaff managers
: are specialist advisers who provide support to line managers and
to the board of directorsDecentralised management structure : means
that most decisions are taken at the center or higer levels of
management
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 1 Strategic decisions : are very important decisions
which can affect the overall success of the businessTactical
decisions : are decisions which are taken more frequently and which
are less importantOperational decisions : are day to day decisions
which will be taken by a lower level of managers
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 2 Communication : is the transferring of a message
from the sender to the receiver , who understands the
messageMessage : is the information or instructions being passed by
the sender to the receiverTransmitter or sender : is the person
starting off the process by sending the messageMedium of
communication : is the method used to send a message , for example
, a letter is a method of verbal communication Receiver : is the
person who receives the messageFeedback : is the reply from the
receiver which shows whether the message has arrived , been
understood , and if necessary , acted upon.
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
One way communication : involves a message which does not call
for or require a responseTwo way communication : is when the
receiver gives a response to the message and there is a discussion
about it Internal communication : is when messages are sent between
people working in the same organizationExternal communication : is
when messages are sent between one organization and another
organization or outside individualCommunication nets : are the ways
in which members of a group communicates with each other
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 3 Motivation : is the reason why employees want to
work hard and work effectively for the businessWage : is the
payment for work , usually paid weeklySalary : is the payment for
work , usually paid monthlyCommission : is payment relating to the
number of sales madeProfit sharing : is a system whereby a
proportion of the company profits is paid out to employeesBonus :
is an additional amount of payment above basic pay as a reward for
good workPerformance-related pay : it is the pay which is related
to the effectiveness of the
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
employeeAppraisal : the method for assessing the effectiveness
of an employeeFringe benefits : they are non financial rewards
given to employeesJob satisfaction : is the enjoyment derived from
the feeling that you have done a good jobJob rotation : involves
workers swapping round and doing each specific task for only a
limited time and then changing round againJob enlargement : it is
where extra tasks of a similar level of work are added to a
worker's job descriptionJob enrichment : it involves looking at
jobs and adding tasks that require more skills and/or
responsibilities0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Leadership styles : are the different approaches to dealing with
people when in a position of authority such as autocratic ,
laissez-faire and democratic leadership stylesFormal group : is a
group designated to carry out specific tasks within a
businessInformal group : is a group of people who form
independently of any official groups set up within the business and
who have similar interest or something else in common
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 4 Job analysis : identifies and records the
responsibilities and tasks relating to a jobJob description :
outlines the responsibilities and duties to be carried out by
someone employed to do a specific jobJob specification : is a
document which outlines the requirements, qualifications,
expertise, physical characteristics etc. for a specified
jobInternal recruitment : is when a vacancy is filled by someone
who is an existing employee of the businessExternal recruitment :
is when a vacancy is filled by someone who is not an existing
employee and will be new to the businessInduction training : is an
induction given to
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
a new employee, explaining the firm's activities, customs, and
procedures and introducing them to their fellow workersOn-the-job
training : occurs by watching a more experienced worker doing the
jobOff-the-job training : involves being trained away from the
workplace , usually by specialist trainersWorkforce planning : it
is the process of establishing the workforce needed by the business
for the forseeable future in terms of the number and skills of
employees requiredRedundancy : is when an employee is no longer
needed and so loses their job, it is not due ti any aspect of their
work being unsatisfactory
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 5 Trade union : is a group of workers who have joined
to ensure that their interests are protectedCraft union : is a
trade union which represents a particular type of skilled
workersGeneral union : is a trade union which represents workers
from a variety of trades and industries, they are often unskilled
but also include semi-skilled workersIndustrial union: is a trade
union which represents all types of workers in a particular
industry White collar union : is a trade union which represents non
manual workers, for example , office workers , management and
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
professional peopleShop steward : is an unpaid representative of
a trade union at a factory or office levelClosed shop : is where
all employees must be a member of the same trade unionSingle union
agreement is when a firm will deal with only one trade union and no
othersEmployer associations : are groups of employers who join
together to give benefits to their members, also known as employer
federations or trade associationsNegotiations : is another name of
collective bargaining , it is when there is joint decision making
involving bargaining between representatives of the management and
of the workforce within a firm , the aim is to arrive at a mutually
acceptable agreement0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Collective bargaining : is negotiations between one or more
trade unions and one or more employers or employer associations in
pay and conditions of employment.Productivity agreement : is where
workers and management agree an increase in benefits, in return for
an increase in productivityIndustrial action : is action taken by
the trade unions to decrease or halt productionStrike : is when
employees refuse to workpicketing is when employees who are taking
industrial action stand outside their place of work to prevent or
protest at the delivery of goods , arrival and departure of other
employeesWork to rule : is when rules are strictly obeyed so that
work is slowed down0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Go slow : is when employees do their normal tasks but more
slowly than usualNon cooperation : is when employees refuse to work
longer than their working hoursNon strike agreement : is reached
when trade unions and management agree to have pay disputes settled
by an independent arbitrator instead of taking strike
actionArbitrator : the once who listens to both sides in the
industrial dispute (trade union and management) and then gives a
ruling on what they think is fair to both sidesLock out : it is
when employees are locked out of their workplace by the
employersWorker participation : a situation occurs when employees
contribute to decision making in the businessWorks councils : they
are the committees of 0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
workers who are consulted or informed on matters that affect
employees
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 6 Market : it is the place where buyers and sellers
come together to exchange products for money, this will not usually
be a single locationProduct orientated business :it is the business
whose main focus is on the product itselfMarket orientated business
: it is the business which carries out market research to find out
consumer wants before a product is developed and producedMarketing
budget : is a financial plan for the marketing of a product or
product range for some specified period of time, it specifies how
much money is available to market the product or range so that
the
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
marketing department know how much they may spendMarketing : the
management process which identifies customer wants anticipate their
future wants and then goes about satisfying them profitablyMarket
share : the percentage of total market sales held by one brand or
businessMarket segmentation : it is where the market has been
divided up into groups of consumers who have similar needsMass
market : is where there is a very large number of sales of a
product Niche market : is a small , usually specialized segment of
a much larger market
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 7 Primary research : the collection and collation of
original data via direct contact with potential or existing
customers , also called sometimes field researchSecondary research
: the process of analyzing a data that has already been collected
and is available for use by others, it is also called desk
researchQuestionnaire is a set of questions to be answered as a
means of collecting data for the market researchConsumer panels :
are groups of people who agree to provide information about a
specific product or general spending patterns over a period of
timeRandom sample : is when people are
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
selected at random as a source of information for market
researchQuota sample : is when people are selected on the basis of
certain characteristics such as gender or income etc. as a source
of information for the market research
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 1 9 Brand name : is the unique name of a product that
distinguish it from other brandsBrand loyalty : is when consumers
keep buying the same brand again and again instead of choosing
another competitor's brandBrand image : it is an image or identity
which gives it a personality of its own and distinguishes it from
its competitor's brandsPackaging : it is the physical container or
wrapping for a product, it is also used for promotion and selling
appealThe product life cycle : description of the stages a product
will pass through from its introduction through its growth until it
is mature and then finally its decline
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 20 Cost plus pricing : is the cost of manufacturing the
product plus a profit making upPenetration pricing : is when the
price is set lower than the competitor's prices in order to be able
to enter a new marketPrice skimming : is where a high price is set
for a new product on the marketCompetitive pricing : is when the
product is priced in line with or just below competitors prices to
try to capture more of the marketPromotional pricing : is when a
product is sold at a very low price for a short period of time
Psychological pricing : is when particular attention is paid to the
effect that the price
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
of the product will have upon consumer's perceptions of the
product
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 21 Informative advertising : is where the emphasis of
advertising or sales promotion is to give full information about
the productPersuasive advertising : is advertising or promotion
which is trying to persuade the consumer that they really need the
product and should buy itTarget Audience : refers to people who are
potential buyers of a product or serviceAIDA model : is a simple
way of planning an advert's design , it stands for attention ,
interest , desire , action
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 2 2 Channel of distribution : is the means by which a
product is passed from the place of production to the customer or
retailerAgent : is an independent person or business that is
appointed to deal with the sales and distribution of a product or
range of products, the agent will either put an additional amount
on the price to cover their expenses or will receive a commission
on sales
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 2 3 Productivity : is the output measured against the
inputs used to create it Job production : is where a single product
is made at a timeBatch Production : is where a quantity of one
product is made , then a quantity of another product will be
produced ,i.e batches , usually as orders come inFlow production :
is where large quantities of a product are produced in a continuous
process , sometimes referred to as mass productionLead time : is
the margin of time between the date when stock is obtained and the
date when it is sold onLean production : techniques used by
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
businesses to cut down on waste and therefore increase
efficiency , for example by reducing the time it takes for a
product to be developed and become available for saleKaizen : is a
Japanese term meaning continuous improvement through the
elimination of wasteJust in time JIT : is a production method that
involves reducing or virtually eliminating the need to hold stocks
of raw materials or unsold stocks of the finished products as
supplies arrive just at the time when they are neededTotal Quality
management TQM : is the continuous improvement of the products and
processes by focusing on quality at each stage of production
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
Chapter 2 5 Exchange rate : is the price of one currency in
terms of another for example GBP 1 : $1.5Currency appreciation :
occurs when the value of a currency rises it buys more of another
currency than before Currency depreciation : occurs when the value
of a currency falls it buys less of another currency than
beforeCommon currency : is the result of an agreement between
countries to use the same currency for all business and other
transactions , such as the Euro in the European unionMultinational
businesses : are those with factories , production or service
operations
0111 4808 454
www.facebook.com/igcsetoday
-
IGCSE Today
IGCSE Today
IGCSE Today
ELDCES Business O Level 0450 Mohamed Abdou Etman
in more than one country, these are sometimes known as
transitional businesses
0111 4808 454
www.facebook.com/igcsetoday
