IEB Grade 11 Business Studies - Chapters 7 to 10 Flashcards

Vocabulary practice flashcards covering key definitions, theories, roles, processes, formulas, and concepts from Chapters 7 through 10 of Grade 11 Business Studies.

Ethics

Broad principles and moral values concerning honesty, integrity, doing what is right, and acting in a manner acceptable to society rather than doing what is easy or profitable.

Professionalism

A high standard of workplace conduct that includes ethical behavior as well as maintaining current knowledge, lifelong learning, reliability, accountability, good judgment, punctuality, and appropriate presentation.

Principle-based Theory

An ethical theory that applies a fixed set of values or rules to judge whether an action itself is ethical, regardless of the outcome.

Consequence-based Theory

An ethical theory where the outcome or result of a situation determines whether an action was ethical, regardless of the method used to achieve it.

Utilitarian Theory

An ethical theory stating that an action is justifiable if it benefits the majority, even if it disadvantages or harms a minority.

Narrative Theory

An ethical theory that uses stories, folklore, or organizational culture to illustrate acceptable behavior without taking a fixed moral stance.

Virtue-based Theory

An ethical theory that judges an action based on a person's character and reputation rather than evaluating the single action alone.

Deontology

An ethical theory maintaining that an action is ethical if a person upholds their obligation or duty towards another person or society, regardless of the outcome.

Code of Ethics

A document stating broad guiding principles and values—such as honesty, respect, obeying the law, avoiding harm, and accountability—that guide decision-making.

Code of Conduct

A set of practical, specific rules detailing allowed and prohibited actions for employees within an organization.

Corporate Governance

The framework for balancing the interests of all stakeholders, built upon three pillars: environmental awareness, ethical behaviour, and legal compliance.

Batho Pele

A South African public service framework meaning "People First" that guides professional and ethical service delivery across $\text{8}$ core principles.

Synergy

The phenomenon where the combined output of a team is greater than the sum of its individual outputs, represented by the expression $1 + 1 = 3$.

Role Overload

A workplace situation that occurs when a team member leaves and is not replaced, forcing remaining members to carry an extra workload.

Formal Team

A structured team established to achieve a formal, shared goal in a managed way, such as a school management team.

Informal Team

A group formed around shared interests without a formally established goal or structure, such as friends sitting together at break.

Tuckman's 5 Stages of Team Development

The sequential stages of team growth: Forming (roles unclear), Storming (cliques/competition), Norming (settling in), Performing (flexible/success), and Adjourning (task completion).

Belbin's Thought-Oriented Roles

Team roles focused on ideas and strategy, consisting of The Plant (creative), The Monitor Evaluator (strategic), and The Specialist (rare skills).

Belbin's Task-Oriented Roles

Team roles focused on execution, consisting of The Shaper (pushes under pressure), The Implementer (practical/disciplined), and The Finisher (checks mistakes and deadlines).

Belbin's People-Oriented Roles

Team roles focused on relationships and communication, consisting of the Resource Investigator (networker), Team Worker (diplomat), and Coordinator (delegator/leader).

Functional Conflict

Conflict handled in a manner that produces positive outcomes, such as new ideas, improved creativity, and better mutual understanding.

Dysfunctional Conflict

Unresolved conflict that leads to negative outcomes, including mistrust, lower morale, wasted time, and reduced productivity.

Public Relations (PR)

A strategic management function that manages genuine two-way communication between a business and its stakeholders to build reputation and sound relationships.

Internal Marketing

The process of communicating plans, goals, and strategies to employees so they buy into and live the brand as positive brand ambassadors.

RACE Process

The sequential process of PR consisting of Research (investigate factors), Action (decide response), Communication (reach stakeholders), and Evaluation (assess reaction and adjust).

Integrated Marketing Communication (IMC)

A modern strategy combining advertising, sales promotion, personal selling, publicity, and PR into one cohesive message delivered across multiple channels.

Above-The-Line (ATL) Strategy

Promotional strategies using mass media (like radio or billboards) aimed at building broad, initial awareness among a general audience.

Below-The-Line (BTL) Strategy

Targeted, direct promotional methods (such as direct email offers or targeted partnerships) aimed at specific, interested groups.

Accounting Equation

The foundational financial equation stating that $\text{Assets} = \text{Owner's Equity} + \text{Liabilities}$.

Net Profit Formula

The financial metric calculated as $\text{Net Profit} = \text{Gross Profit} - \text{Expenses}$.

Total Cost Formula

The financial metric calculated as $\text{Total Cost} = \text{Fixed Costs} + \text{Variable Costs}$.

Break-Even Point (BEP)

The sales volume where $\text{Total Revenue} = \text{Total Cost}$, resulting in a net profit of $\text{R}0$.

Margin of Safety

The buffer between actual or projected sales volume and the break-even volume before a drop in sales results in a financial loss.

Return on Investment (ROI)

A financial performance metric calculated using $\text{ROI}\,(\%) = \left( \frac{\text{Yield}}{\text{Capital Invested}} \right) \times 100$.

Feasibility Study

An objective, evidence-based test conducted in three steps: 1) Describe business idea, 2) Market analysis and demand, and 3) Operational and financial viability.

I-B-M-L Criteria

The four factors evaluated before committing investment capital: Industry trends, Brand strength, Management quality, and Liquidity.

Fidelity Insurance

An insurance policy that protects a business against financial losses caused by dishonest acts or theft of money/stock by its own employees.

Public Liability Insurance

An insurance policy covering the business if a visitor or customer suffers injury, death, or property damage while on the premises.

Business Interruption Insurance

An insurance policy that covers loss of revenue when an unforeseen incident disrupts business operations, even if the physical building is not destroyed.