Business Studies Glossary of Key Terms PDF

Preview

Summary

Key terms and definitions for HSC Business Studies syllabus ...

Description

Glossary of Key Terms Advertising: a paid non-personal message communicated through mass media. Type of promotion B2B: transactions between businesses e.g. between manufacturer and wholesaler Compliance costs: costs involved in ensuring a business complies with laws and regulation Cost leadership: aiming to have the lowest costs or be the most price-competitive in the market Cost: money spent in business’ efforts to generate profit Cost: money spent in business’ efforts to generate profit CSR: open and accountable business actions based on respect for people, community/society, and the broader environment. Formerly called the ‘triple bottom line’: Customer service: Meeting or exceeding customer expectations. Environmental sustainability: the balance between economic and environmental concerns E-procurement: use of online systems to manage supply Ethical responsibility: the application of moral standards and values to business operations External: from outside a business outside its control. Business must instead respond to business Influences: factors affecting a business Internal: from within a business and within its control Legal compliance: requires that a business follows the stipulated laws and standards of behaviour Market: group of people or organisations who are willing and able to buy a product Marketing: total system of interacting activities designed to plan, price, promote and distribute products to present and potential customers Operations management: management of business process that transforms inputs to outputs Operations: business processes that involve transformation or production Price: the amount of money a customer is prepared to offer in exchange for a product Price: the amount of money a customer is prepared to offer in exchange for a product Product differentiation: distinguishing products from competitors in some other way (e.g. unique features, quality, brand) Product: good or service offered in an exchange to satisfy a need or want. ‘Collection of satisfactions’ Role: meets the needs of customers whilst maximising profit. Operations does this through cost leadership and goods/service differentiation Scheduling: length of time activities takes Selling: a set of activities undertaken by a sales person to assist a customer’s buying decisions

Sequencing: refers to the order in which processes occur Shrinkflation: decreasing product size whilst maintaining price Social responsibility: recognising and improving the impact of a business on society Strategic: affecting all key operations of the business SUG: selling under guise Tender: formal, structured invitation to suppliers to submit a bid to supply products or service Total product concept: tangible and intangible benefits/attributes a product possesses, differences in intangible benefits often forms basis for product competition Transformed resources: materials which undergo change Transforming resources: materials which enable/facilitate change Value adding: the difference between input costs and price of finished products Variation: how quickly can the business respond to changes in demand? Variety: what range of products will be made? Visibility: how well can customer preferences shape the production process? Volume flexibility: how quickly the transformation process can adjust to increases or decreases in demand. Responsiveness is essential to effectively managing lead times Volume: how much of the product will be made? Warranties: Agreements to fix goods which are sold with defects (e.g. receipt)...