Unit 6- influences on business

Capital

Money or assets such as machines, buildings, vehicles

Child Labour

The use of young children, below the legal age for employment, in order to achieve low-cost production

Climate Change

The process is when average temperatures rise or fall and patterns of weather change

Consumer Income

The total amount of income that all customers in the country receive and which they have available to spend

Customers

Buyers who buy goods and services for the satisfaction or benefit they will get from them. Customers largely buy from retailers

Distribution of Income

Refers to how the income is shared out amongst different people in the community.

Economic Climate

Refers to how well the country is doing in terms of the levels of income and employment

Economic Growth

A period when GDP is rising, causing income and employment to rise

Environmentally Friendly

An adjective that describes consumers and businesses that act to make production sustainable

Ethical Business

Businesses that behave in a morally correct way

Ethical Marketing

Marketing activities that seek to give customers information to make good choices for themselves

Ethics

What is right and what is wrong

Exchange rate

The price of one currency in terms of another

Free Trade

The absence of restrictions on trade between countries

Globalisation

The process by which business activity around the world has become increasingly interconnected

Global Warming

The rise in average temperatures that scientists say is taking place

Gross Domestic Product (GDP)

A measure of how much a country produces in a year. It influences the level of income and employment

Income

The amount of money that people receive from work and from assets they own, such as shares and property

International Branding

Creating an image or values for a product that are communicated in countries around the world

International Economic Climate

Refers to what is happening to income and employment in different parts of the world

Level of Employment

The number of people in work in a country

Level of Income

The average income of people in a country

Level of Unemployment

The number of people out of work in a country

Multinational Companies

Businesses that operate in different countries around the world

Pollution

Causing harm to the environment including air, land and water

Productivity

A measure of the output of each worker on average

Quota

A limit in terms of weight or value on the amount of a good or service that can be imported

Recession

A period when GDP is falling, causing income and employment to fall

Recycling

When resources are reused produce something

Regulations

Rules about the goods and services that can be sold in a country

Sustainable Production

When production does not lead to the depletion of natural resources

Tariff

A tax on goods or services that is imported

Trade

The import and export of goods and services

Unit Cost

The cost per unit produced. The greater the productivity of workers, the lower the unit cost of production

Waste Disposal

The process of getting rid of unwanted materials