I'm not sure if this is what you're looking for, but I've written up a list of key words and definitions for Unit 1 (AQA)
(Original post by sunil93)
was looking for a business unit 1 definition sheet, does anyone have one could share it with me
BUSINESS STUDIES KEY WORDS UNIT 1
Enterprise – The ability to come up with and carry out new ideas and new ways of doing things. It involves making judgements about the risks and rewards of a situation and acting on them.
An Enterprise – A project/undertaking that involves difficulty or risk and requires effort or courage.
Entrepreneur – Someone who comes up with a business idea develops it and starts their own business. They are responsible for the risks involved and have to manage the 4 factors of production.
Entrepreneurship – Development of new business enterprises. It involves idea generation, organisation and risk taking.
Opportunity Cost – The cost of the next best alternative.
Risk – The possibility of an event or condition occurring that will have a negative or harmful impact on something perceived to be of value.
Reward – The expected return which is either financial or other based on the risk taken.
Business Plan – A carefully drafted report about a business in terms of its assets, sources of finance, competition, i.e. everything that might determine its success (or failure).
Patent – An exclusive right to make use of an invention commercially in return for disclosing it and as long as you pay fees.
Trademark – A sign which can distinguish your goods and services from those of other traders. Protects brand identity.
Copyright – Protects sound recordings, artistic, musical and literary works. It is an automatic right which you do not need to pay for.
Franchise – A business structure in which the owner of a business idea (the franchisor) sells the right to use that idea to another person (the franchisee), usually in return for an initial fee and a share in any profit made.
Niche Product – A product the appeals to a small sub-segment of the buying population
Niche Market – A small group of customers sharing a common characteristic. These often develop as a subset of mass market.
Primary Sector – Part of the economy where raw materials are extracted. The raw materials are then used to produce goods or for services. E.g. agriculture, mining, fishing.
Secondary Sector – Sector of industry where goods are produced. E.g. steel bars, paper, and cars.
Tertiary Sector – (Service sector) providing a service. E.g. hotels, financial services, defence, army, police
Quaternary Sector – Hi-Tech industries, training, health and education.
Adding Value – In financial terms: difference between the selling price and cost of raw materials/manufacturing.
For the customer: benefit gained from not having to produce something/do something for oneself. – make bread, cut hair, etc.
Market Research – The collection and analysis of market information such as customer likes/dislikes, competitor activity or distribution channels. It reduces the risk of making a mistake.
Sample – Selecting a number of people that represent the market.
Primary Research – The process of gathering information directly from people within your target market.
Secondary Research – Involves gathering and analysing data which had already been gathered.
Industrial markets – The market for manufactured goods aimed at other businesses (engineering, construction, factories)
Consumer markets – The market for goods and services that are sold to households (clothing, holidays)
Commodity market – Market for primary products or raw materials (steel, coal)
Financial markets – The market for services dealing with money (banking, insurance, accounting)
Physical markets – Place where buyers and sellers actually meet (shop, garage, business offices.) The product can be seen.
Non physical (electronic) market – Marketplace that takes advantage of the opportunities presented by modern technology.
Market Segmentation – This refers to the classification of customers or potential customers into groups or sub-groups, each of which responds differently to various products or marketing approaches.
Market Mapping – Technique that uses market segmentation to look at the features that distinguish different products or firms.
Market Growth – The percentage change in sales (volume or value) over a period of time.
Market Share – The percentage or proportion of the total sales of a product or service achieved by a firm or brand.
Market – A place where buyers (or suppliers) and sellers (or demanders) get together to exchange products or services.
Demand – The desire to purchase a product. It must be backed up by ability and willingness to purchase it.
Capital Expenditure – money spent on purchasing fixed assets such as buildings, machinery and vehicles. Capital expenditure adds to the value of the company.
Revenue Expenditure – money used to help generate sales such as stock, purchases, wages and so on. Revenue expenditure does not add fixed value to the company.
Share Capital – Asking an investor to put money into the business in return for a share of the business.
Profit – The surplus of the value of sales made by a business over its total costs of production.
Sales Revenue – Income or earnings over a period of time.
Break even point – The level of output at which a firms costs and revenues are equal so that no profit is made.
Break Even Chart – A graph which shows total costs, total revenues and break even point.
Contribution – The surplus made after all variable costs have been paid for from sales revenue.
Margin Of Safety – The difference between the quantity sold and the break-even level of output.
Cash flows – The amount of cash held is never constant – it changes with the payments made and received.
Debtors – The customers that owe the firm money.
Creditors – People who the business owes money to.
Cash Flow Forecast – An estimation of a firm’s future cash receipts and expenses.
Liquidity – The ability to quickly and easily convert assets (current) into cash without incurring a significant loss/delay. Measures how easy it is for a business to pay its debts quickly.
Budget – A financial plan for the future, prepared and agreed in advance, which shows the expected revenue and costs of a firm over a given period of time.
Expenditure Budget – A limit of what you can spend in separate departments over a period of time.
Income Budget – The sales revenue target for either individual departments or the organisation as a whole.
Profit Budget – The target profit for a business.
Hope this helps