UNIT 1 AOS 3

KK 1,2,3,4,5,6,7,8,9,10,11

What are suppliers?

Businesses of individuals that supply materials/ resources that the business needs to conduct its operations

What are competitors?

Other businesses who produce or sell rival, or competing goods and services

What are customers?

People who purchase goods and services from the business

What are special interest groups?

Groups that directly influence or persuade a business to adopt policies or procedures

What is a macro enviroment?

The board conditions and trends in the economy and society within which a business operation

Legal and government regulations

Are made by parliment and courts which affects how a business operates

Societal attitudes and behaviours

Changes in attitude community

Economic conditions

Interest rates, wages, inflation

Technological considerations

Use of tools, technique systems

Global considerations

Pressure from worldwide markets

CSR

Environmental considerations ensure soical welfare

What are federal government obligation?

• Payment of taxes for employees and business

• Provision employee superannuation

• Observation of custom regulations

What are state government obligation?

• Provisions of employment entitlement '

• Payment of payroll taxes

• Abiding by relevant state legislation and pollution controls

What are local government obligation?

• Fire regulations

• Parking regulations

• Approving new development and alternations

What are employment laws and regulation?

Are rules that govern the relationships between employers and employees

What are environmental legislation?

Are rules that aim to perserve the environment

What are industry regulations?

Are rules that specific to business within a industry

What are council regulations?

Are rules government local made to govern business operating in specific geographic areas

What are taxation requirments?

Are laws and rules related to tax that apply to all business

What are societal attitudes?

The collective positive and negative values, beliefs and opinion held by a group of people

What are societal behaviours?

The way people act and respond in various situation

What are values and beliefs?

The principles, standards and assumptions upheld by individuals which influence how make decisions

What are trends?

A pattern or general direction in which something is changing, developing or going onwards

What are business trends?

Populations demographics, technology, laws and regulations, equal opportunity and flexible work place

What are economic conditions?

The set of influences that relate to economic activity, including interest rates, wages, unemployment, exchange rates and inflation

What are interest rates?

The price charged or paid for the use of money that has been deposited or borrowed

What’s the difference between high and low interest rates?

A low interest rate are business loans are les costly and repayments are easier to manage where as high interest rates are when business owners will have to pay more for amount borrowed

Explain employment

When a person works one hour or more in a specified week

Explain unemployment

When a person in a specific week is not employed for an hour or more but if actively seeking work

What is consumer confidence?

A customer expectations and feelings about future economic conditions

What is business confidence?

A measure of business owners expectations and feelings about the future economic performance

What’s the difference between high and low consumer confidence?

High is a belief that economy will grow and low is expected to slow down and shrink

What is technological development?

The invention and innovation of tools that enhance processes

How does technological development effect business planning?

Reduce human labour, increased convince, wider customer base

What is business repsonsiveness?

Failure to respond and implement development will result in becoming outdated

Define overseas competitors

Business located in other countries that operates in the same or similar industry and offer a similar goods and services

Define overseas markets

Business owners launch their business in overseas markets

What is offshoring of labour?

Moving a business’s services or processes to other country which increases efficiency, more diverse range of skills and lower labour costs

What are exchange rates?

Rate the money of one country can be exchange for the money of another country

Explain currency appreciation

An increase in the value of currency against a foreign country

Explain currency depreciation

An decrease in the value of currency against a foreign country

Explain online sales

The buying and selling goods and services using the internet

What is copyright?

A free and automatic protection used on original ideas such as writing, art, sound and film

What is a trademark?

An exclusive rights granted over unique aspect of a business like symbol or number

What is a patent?

A licence that provides a business with exclusive rights to use innovative, substance and methods

What is Corporate Social Responsbility?

The ethical conduct of a business beyond legal obligations, and the considerations of social, economic and environmental impacts when making business decisions

What are environmental considerations?

Protecting and preserving the environment is a key element of ensuring thr welfare of society

What are social cconsiderations?

The goods and services that businesses produce as well as general business activities can have a significant impact of society

Advantages of CSR

Employees more likely to work and customers are more willing to pay for a business that is socially responsible

Disadvantages of CSR

It can be time consuming and can be expensive

What are customer needs?

The essential requirements that customer intend to fulfil the purchase of a good or service from a business

What are customer expectations?

The values of benefits that customers seek when purchasing a good or service from a business

What are the importance of meeting customer needs if planned for?

Increased sales and customer retention

What are the importance of meeting customer needs if not planned for?

Losing customers and gaining a negative reputation

What is customer convenience?

Offering customers convenient options such as next day delivery or click and collect services

What is high quality goods or service?

Ensure that products are of high quality and operate as a customer needs and expects

Social responsibility

Customers have become more conscientious about their buying decisions so businesses should consider more ethical decisions

Responsive customer service

Customers expect a business to respond to their questions in a timely manner

What’s the definition of suppliers?

Individuals or businesses that provide the resources required to produce goods and services

What’s the definition of supply chain?

The network of individuals or businesses that are involved in producing and distributing a good or service to customers

What is the difference between wholesalers and retaliers?

Wholesalers are businesses that store and distribute manufactured goods to retailers whereas retailers are business that purchase goods and services from wholesaler and resells them to customers

What are sourcing considerations?

Business owners should consider if resources are sourced locally or overseas

What is retrieving considerations?

A business owner ust plan how the resources will reach the business

What are Special Interest Groups?

Organisations or a group of people that seek to influence laws, polices or behaviours to benefit a specific cause

What are unions?

Organisations composed of individuals who represent and speak on behalf of employees in a particular industry to improve wages and working conditions

What are business associations?

Organisations that advise and support businesses in particular industry

Define competitors

Businesses that operate in the same or similar industry and offer a similar goo or service

How might competitors effect business planning?

Lower prices, highly differentiated good or service, large market share or threath of new competitors