Making the Business Effective

These flashcards cover essential vocabulary related to business ownership structures and the marketing mix, aiding in understanding key concepts for the exam.

Sole Trader

A business owned by one person who is responsible for all aspects of the business.

Unlimited Liability

The owner is personally liable for all business debts.

Partnership

A business structure where two or more individuals share ownership and responsibilities.

Legal Identity

The status of being recognized by law as a separate entity.

Limited Company

A separate legal entity owned by shareholders, with limited liability for its debts.

Private Limited Company

A type of limited company where shares can't be sold publicly and ownership is restricted.

Franchising

A business arrangement where one party licenses the trademarks and business model of another.

Marketing Mix

The combination of product, price, promotion, and place strategies used by a business.

Four Ps

The key elements of the marketing mix: product, price, promotion, and place.

Cash Flow Forecast

A prediction of future financial liquidity, estimating cash inflows and outflows.