Component 1- 01. Stakeholders

what is a business?

Any organisation that works to full fill a common purpose.

what are stakeholders?

Anyone who is intrested in or affected by the activities of a business, including employees, customers, suppliers, investors/shareholders, and the community.

what is a public sector?

made up of organisations which are owned or controlled by central or local goverment or public corporations.

What is the private sector? 

Includes all those businesses which are set up by individuals or groups of individuals (including shareholders). Most business activity is undertaken in a private sector. 

What is market share?

The percentage of sales in a market that are made by an individual firm

What is sales revenue?

The amount of money brought in from sales

What is profit?

The amount left after all expenses have been deducted from the money made from sales

Whats an entrepreneur?

An individual who takes a risk to set up a business

What are business aims? 

Aims are long term, what a business is tyring to achieve perhaps over three to five years. Aims tend to be qualitative and more difficult to measure but provide an overall focus to work towards. 

What are business objectives?

Obkectives are the methods to achieve these aims, Specific, measurable, achieveable, relevent, time related. Objectives are quantiative.

What are goods?

There are private and public goods, or example smart phones, food items, clothing and public goods like national defense.

what are services?

They cannot be seen like healthcare, intangibility, time sensitive like theme park ride, perishability

What are characteristics of needs and examples 

Basic needs as food, water, shelter and clothing. in more devloped contries there are also free education, healthcare,a civil society and good quality infrastructure

What are characteristics of wants and examples

What people would like to have but which are not essential. Peoples wants are limitless but there are a limit of money and resources. Iphone, swimming pools, private nurse/doctor or private eductation.

What is opportunity cost?

The benefit of the next best option foregone when making a choice between a number of alternatives, e.g the benefits lost for not choosing the second option