Grade 11 IEB Business Studies – End-of-Year Exam Notes 2026

Comprehensive practice flashcards matching key terminology, concepts, and definitions across the IEB Grade 11 and Grade 12 Business Studies curriculum.

Business environment

All the internal and external factors that influence the operation and success of a business.

Micro-environment

The internal environment consisting of all factors inside the business that management has direct control over, such as employees, management, resources, vision, mission, and organisational culture.

Market environment

The external environment consisting of factors that influence the business but over which the business can potentially exert limited influence, including customers, suppliers, competitors, intermediaries, regulators, and strategic allies.

Macro-environment

The broad external environment consisting of wide-ranging factors affecting all businesses over which the business has no direct control, analysed via PESTLE.

Environmental scanning

The process of continuously collecting and analysing information about the internal and external business environments to identify opportunities and threats.

SWOT analysis

A strategic tool used to identify internal Strengths and Weaknesses, as well as external Opportunities and Threats.

Porter's Five Forces

A model that analyses the competitive pressures in an industry: competitive rivalry, threat of new entrants, bargaining power of suppliers, bargaining power of buyers, and threat of substitute products.

PESTLE analysis

A framework used to scan the macro-environment across Political, Economic, Social, Technological, Legal, and Environmental factors.

Resource-Based Analysis

An analysis of a business's internal resources to determine its strengths, weaknesses, and competitive advantage.

Tangible resources

Physical assets used by a business that can be seen and touched, such as buildings, furniture, kitchen equipment, vehicles, cash, and stock.

Intangible resources

Non-physical assets that cannot be touched, including brand reputation, goodwill, intellectual property, customer loyalty, employee knowledge, and business relationships.

Value-chain analysis

An analysis of all the activities a business performs (primary and supporting) to create value for customers and achieve a competitive advantage.

Corporate Social Responsibility (CSR)

The responsibility of a business to operate ethically and contribute positively to society and the environment while conducting its business activities.

Triple Bottom Line

A framework that measures business success through three areas: People (social responsibility), Planet (environmental responsibility), and Profit (economic performance).

Integrated report

A report that combines financial and non-financial information (financial performance, social impact, environmental impact, and governance) to explain how a business creates value over time.

Hit-and-run CSR

When a business performs a corporate social responsibility activity once, usually for publicity, without making a long-term commitment to the cause.

Greenwashing

When a business falsely or misleadingly presents itself as environmentally friendly to improve its public image.

Strategic decisions

Long-term decisions made by top management that establish the overall direction, vision, mission, and objectives of the business.

Tactical decisions

Medium-term decisions made by middle management that focus on implementing strategies and coordinating departments.

Operational decisions

Short-term decisions made by lower management that deal with supervising daily activities and solving immediate problems.

Autocratic leadership

A leadership style where the leader makes decisions independently without consulting employees.

Democratic / Participative leadership

A leadership style where the leader involves employees in the decision-making process.

Laissez-faire / Free-rein leadership

A leadership style where the leader gives employees complete freedom to make decisions and complete tasks independently.

Transformational / Charismatic leadership

A leadership style where the leader inspires and motivates employees through a shared vision and enthusiasm for change.

Transactional leadership

A leadership style where the leader motivates employees through clear expectations, rewards, targets, and consequences.

Planning

A management task that involves deciding in advance what needs to be done and how it will be achieved.

Organising

A management task that involves arranging resources and assigning responsibilities to employees.

Leading

A management task that involves guiding, motivating, and influencing employees to achieve objectives.

Controlling

A management task that involves monitoring performance and comparing actual results with planned objectives.

Staffing

A management task that involves recruiting, selecting, training, and developing employees.

Coordinating

A management task that involves ensuring that different departments and employees work together effectively.

Maslow's Hierarchy of Needs

A motivation theory proposing that individuals are motivated by five levels of needs: physiological, safety, social, esteem, and self-actualisation.

Adams' Equity Theory

A motivation theory stating that employees compare their input/output ratio (effort, time vs. salary, recognition) with that of other employees to evaluate fairness.

Entrepreneur

An individual who identifies a business opportunity, takes calculated risks, and organises resources to establish and operate a business.

Entrepreneurship

The process of identifying opportunities and creating a business venture by organising resources and taking calculated risks.

Ethics

Moral principles and values that guide individuals and businesses in deciding what is right and wrong.

Professionalism

The behaviour, attitude, conduct, and standards expected of an individual in a professional working environment.

Principle-based theory

An ethical theory where decisions are made by strictly adhering to established moral principles, rules, and duties.

Consequence-based theory

An ethical theory where decisions are evaluated and judged based on the expected outcomes or results of an action.

Narrative theory

An ethical theory where decisions are guided by stories, individual experiences, personal values, and the context of a situation.

Virtue-based theory

An ethical theory that focuses on the character, integrity, and moral qualities of the person making the decision.

Utilitarian theory

An ethical theory holding that an ethical decision is one that creates the greatest good for the greatest number of people.

Code of Conduct

A specific guide that sets out expected actions and explains what employees should and should not do in the workplace.

Code of Ethics

A general statement that sets out fundamental moral principles and values, explaining what is right and wrong.

Corruption

Dishonest or illegal behaviour involving the abuse of power or position for personal gain.

Insider trading

The illegal practice of using confidential, non-public information to trade shares or securities for personal benefit.

Conflict of interest

A situation where an individual's personal or financial interests interfere with their professional responsibilities.

Whistle-blower

An individual who reports illegal, unethical, or dishonest activities occurring within an organisation.

Functional conflict

Conflict that has a positive impact on a business, fostering creativity, problem solving, and improved performance.

Dysfunctional conflict

Conflict that negatively affects the business, causing stress, poor communication, and reduced productivity.

Role ambiguity

A condition occurring when an employee is unclear or uncertain about their duties, responsibilities, or performance expectations.

Role overload

A condition occurring when an employee is assigned more work or responsibilities than they can reasonably manage.

Compromising

A conflict resolution remedy where both conflicting parties make concessions and give up something to reach an agreement.

Accommodation

A conflict resolution remedy where one party cooperatively yields to the wishes of the other party to preserve a positive relationship.

Tuckman's Stages of Team Development

The five developmental stages of a team: Forming (orientation), Storming (conflict), Norming (cooperation and rules), Performing (objective achievement), and Adjourning (separation).

Workplace Forum (WPF)

A consultative body established under the Labour Relations Act to promote employee participation in workplace decision-making.

Commission for Conciliation, Mediation and Arbitration (CCMA)

An independent statutory body in South Africa established to resolve workplace disputes through conciliation, mediation, and arbitration.

Conciliation

A dispute resolution process where a neutral commissioner assists disputing parties in talking through their differences to reach an agreement.

Arbitration

A formal dispute resolution process where an independent third party listens to both sides and makes a binding determination.

Price skimming

A pricing strategy of charging an initially high price for a new or unique product before competitors enter the market.

Penetration pricing

A pricing strategy of setting a low initial introductory price to attract customers and rapidly capture market share.

Brand extension

Using an established brand name to introduce a new product within a different product category.

Brand stretching

Using an existing brand name to enter a substantially or unrelatedly different product or market category.

Consumer Protection Act 68 of 2008

Legislation that protects consumers from unfair business practices and ensures fair, accessible, and transparent transactions.

Trademark

A form of intellectual property that legally protects a brand name, logo, slogan, or distinctive mark against unauthorized copying.

Patent

An exclusive legal right granted to protect an inventor's new invention or unique technical manufacturing process.

Collective mark

An intellectual property mark identifying goods or services provided by members of a specific association or group.

Industrial design

A legal protection granted to the ornamental or aesthetic visual appearance and shape of an industrial product or container.

Delphi technique

A structured forecasting method where a panel of experts anonymously answers questionnaires across repeated rounds until consensus is reached.

Balanced Scorecard

A strategic management tool measuring overall organizational performance across four perspectives: Financial, Customer, Internal Business, and Learning and Growth.

Joint venture

A corporate arrangement where two or more businesses collaborate on a specific project or business activity while remaining legally separate entities.

Merger

A corporate combination where two existing commercial businesses combine their operations to form one single joint entity.

Takeover

A transaction in which one purchasing business buys and acquires controlling ownership of another separate business.

Ansoff Matrix

A growth planning framework outlining four distinct corporate expansion pathways: Market Penetration, Product Development, Market Development, and Diversification.

Backward integration

A supply chain growth strategy where a business expands by purchasing, controlling, or acquiring one of its suppliers.

Performance appraisal

The formal evaluation process of assessing an employee's job execution and accomplishments against established standards and objectives.

Business environment

All the internal and external factors that influence the operation and success of a business.

Micro-environment

The internal factors within a business over which it has direct control, including employees, management, resources, vision, mission, and organisational culture.

Market environment

External factors that influence the business but over which the business has limited influence, including customers, suppliers, competitors, intermediaries, regulators, and strategic allies.

Macro-environment

Broad external factors that affect all businesses and over which an enterprise has no direct control.

Environmental scanning

The process of continuously collecting and analysing information about the internal and external business environments to identify opportunities and threats.

Vision

What a business aspires to achieve in the future.

Mission

The core purpose of a business.

Organisational structure

The framework indicating how authority, roles, and responsibilities are organised within a business.

Organisational culture

The shared values, beliefs, and norms operating within an enterprise.

SWOT analysis

A strategic framework assessing internal Strengths and Weaknesses alongside external Opportunities and Threats.

Porter's Five Forces

A model used to analyse competitive pressures within an industry: competitive rivalry, threat of new entrants, bargaining power of suppliers, bargaining power of buyers, and threat of substitute products.

Competitive rivalry

The level of competition and direct pressure between existing businesses operating in the same industry.

Threat of new entrants

How easily new competitors can enter an existing industry, reduced by barriers to entry such as expensive equipment, high start-up costs, and established brands.

Threat of substitute products

The availability of alternative products or services that satisfy the same consumer need without necessarily being direct competitors.

PESTLE analysis

An analytical framework used to evaluate macro-environmental factors: Political, Economic, Social, Technological, Legal, and Environmental.

Resource-Based Analysis

An internal analysis evaluating a firm's tangible and intangible resources to determine strengths, weaknesses, and sustained competitive advantage.

Tangible resources

Physical, touchable assets owned and utilised by a business, such as buildings, furniture, equipment, vehicles, cash, and stock.

Intangible resources

Non-physical assets of a business that cannot be touched, including brand reputation, goodwill, intellectual property, customer loyalty, and employee knowledge.

Value-chain analysis

An assessment of all primary and support activities an enterprise undertakes to add customer value and secure competitive advantage.

Corporate Social Responsibility (CSR)

The responsibility of a business to operate ethically and contribute positively towards society and the environment beyond merely pursuing profits.

Triple Bottom Line

A framework measuring business performance across three key dimensions: People (social responsibility), Planet (environmental responsibility), and Profit (economic performance).

Integrated report

A report combining financial and non-financial data to demonstrate how an enterprise creates value over time through governance, financial, social, and environmental performance.

Hit-and-run CSR

A once-off corporate social responsibility initiative conducted primarily for publicity without any long-term commitment.

Greenwashing

Falsely or misleadingly marketing a business or its products as environmentally friendly in order to improve its public image.