starting a business

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Entrepreneur
Someone who is willing to take the risks involved in starting a business
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Types of businesses
Classified in terms of stage in production process
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Franchise
Occurs when a franchiser sells an existing business idea to a franchisee e.g Mcdonalds
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Market share
This is indicated by the sales of one product compared to the total market sales
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Objective
Is something for a business to achieve in the short term.
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Aim
Is something for a business to achieve in the long term
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Stakeholders
Are individuals and organisations that are effected by and effect the activities of business e.g owners, suppliers, customers etc
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Business plan
Is a document setting out what the business does at present, plus what it intends to achieve in the future and how this will be accomplished.
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Business planning
Is the process of creating a business plan
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Sole trader
Is an individual who set up business on his/her own
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Deed of partnership
Is an arrangement between partners that sets out the rules of the partnership e.g how profits will be divided
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Market research
The process of gathering, analysing and presenting data relevant to marketing
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Primary market research
Involves gathering, analysing and presenting data that hasn't been gathered before
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Secondary market research
Involves gathering, analysing and presenting data that has been added before
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Unlimited Liability
where owners possessions are at risk and can be used to pay debts owed by the business
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Limited liability
where debts owed by a business can only be payed using business assets
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Other cards in this set

Card 2

Front

Classified in terms of stage in production process

Back

Types of businesses

Card 3

Front

Occurs when a franchiser sells an existing business idea to a franchisee e.g Mcdonalds

Back

Preview of the back of card 3

Card 4

Front

This is indicated by the sales of one product compared to the total market sales

Back

Preview of the back of card 4

Card 5

Front

Is something for a business to achieve in the short term.

Back

Preview of the back of card 5
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