Business Studies ALL

Vocabulary flashcards covering fundamental terms and definitions in operations, marketing, finance and human resource management as discussed in the lecture notes.

Operations Management

Managing the processes that transform inputs into value-adding outputs of goods or services.

Strategic Role of Operations

Long-term decisions aimed at improving productivity, efficiency and quality to achieve business goals.

Cost Leadership

Strategy of having the lowest costs and/or prices in an industry through scale, efficient operations or cheap inputs.

Goods/Service Differentiation

Making a product distinct from competitors through quality, features, speed, customisation or location.

Standardised Goods

Mass-produced, uniform products made with a production focus and little variation.

Customised Goods

Products modified to meet individual customer needs; produced with a market focus.

Economies of Scale

Cost advantages gained when production becomes efficient and average unit costs fall as output rises.

Computer-Aided Design (CAD)

Software that assists in product design, allowing detailed digital models and faster modifications.

Computer-Aided Manufacturing (CAM)

Technology that uses computers to control and automate production machinery and processes.

Interdependence (Business Functions)

The reliance of operations, marketing, finance and HR on each other for business success.

Globalisation (Operations)

Expanding operations across borders for cheaper inputs, new markets or a global web of production.

Quality Expectations

Customers’ views on durability, reliability and fitness for purpose of a product or service.

Cost-Based Competition

Competing mainly on price by lowering operational costs below rivals’ levels.

Government Policies (Operations)

Regulations, taxes, free-trade deals and incentives that influence operational decisions.

Legal Regulation

Laws such as WHS, EEO and zoning that operations must obey to avoid penalties.

Environmental Sustainability

Producing in a way that meets present needs without harming future generations’ ability to satisfy theirs.

Corporate Social Responsibility (CSR)

Business commitment to ethical behaviour and contributions to economic, social and environmental welfare.

Legal Compliance

Following mandatory laws and regulations governing business operations.

Ethical Responsibility

Voluntarily doing what is morally right, beyond mere legal requirements.

Transformed Resources

Inputs changed by operations, e.g., materials, information or customers themselves.

Transforming Resources

Inputs—people and facilities—that carry out the transformation process but stay within the business.

Volume (Operations)

The number of units produced; high volume often means repetitive, capital-intensive processes.

Variety

The range of different products a business makes; more variety usually needs flexible processes.

Variation in Demand

Changes in customer demand over time that influence capacity and inventory decisions.

Visibility (Customer Contact)

Extent to which customers can see or experience the transformation process, high in services.

Gantt Chart

Bar chart that sequences tasks over time, showing start, finish and overlap of activities.

Critical Path Analysis (CPA)

Scheduling tool that identifies the shortest time to complete a project and critical tasks.

Task Design

Deciding how work will be performed, grouping tasks to improve efficiency and skills match.

Process Layout

Workstations grouped by function, allowing flexibility for varied products.

Monitoring (Operations)

Ongoing collection and analysis of performance data during production.

Control (Operations)

Comparing actual results with plans and making adjustments to keep performance on track.

Improvement (Operations)

Continuous efforts to raise quality, speed, dependability, flexibility or cost performance.

Customer Service

Support provided before, during and after purchase to enhance customer satisfaction.

Warranty

Formal promise to repair or replace faulty products, reflecting confidence in quality.

Performance Objective – Quality

Degree to which products meet specifications and satisfy customers.

Performance Objective – Speed

Time taken for operations to respond to orders or changes in demand.

Performance Objective – Dependability

Consistency and reliability of delivery or functioning of a product.

Performance Objective – Flexibility

Ability of operations to adjust to changes in volume, variety or design.

Performance Objective – Customisation

Extent to which products can be tailored to individual needs.

Performance Objective – Cost

Minimising expenses so operations are conducted as cheaply as possible.

Supply Chain Management

Coordinating flow of materials, information and finances from suppliers to customers.

Logistics

Planning, movement and storage of inputs and finished goods.

E-commerce (Operations)

Using the internet to buy inputs or sell outputs, streamlining supply activities.

Global Sourcing

Acquiring inputs from overseas to lower cost or access superior quality.

Outsourcing

Contracting external providers to perform business activities previously done in-house.

Leading-Edge Technology

Newest, most advanced equipment or processes that create competitive advantage.

Established Technology

Widely used, proven equipment or processes with lower risk and cost.

Inventory Management

Systems for deciding what, when and how much stock to hold.

LIFO

Last-in, first-out inventory method where newest stock is sold first.

FIFO

First-in, first-out inventory method where oldest stock is sold first.

Just-in-Time (JIT)

Inventory strategy where materials arrive exactly when needed, minimising stock levels.

Quality Control

Checking products at various stages to ensure they meet set standards.

Quality Assurance

Systematic prevention-based processes to assure all products meet predetermined standards.

Quality Improvement

Ongoing commitment to reduce defects and enhance overall quality—e.g., Total Quality Management.

Financial Costs (Change)

Outlays for new equipment, redundancy, retraining or plant layout changes during innovation.

Inertia

Psychological resistance of a business or staff to change established practices.

Scanning and Learning

Monitoring global environment to gather information and adopt best practices.

Research and Development (R&D)

Activities aimed at creating new products or processes to gain competitive edge.

Marketing

Process of creating, pricing, promoting and distributing products to satisfy target markets.

Strategic Role of Marketing

Using marketing to increase market share and align with overall business objectives.

Production Approach

Early marketing focus on mass production and low cost rather than consumer wants.

Selling Approach

Emphasis on advertising and persuasion to sell what the business has made.

Marketing Approach

Customer-oriented focus on identifying and satisfying consumer needs; includes relationship marketing.

Resource Market

Market for raw materials and factors of production such as land and labour.

Industrial Market

Businesses purchasing goods and services to produce other products.

Intermediate Market

Wholesalers and distributors buying goods to resell to retailers or consumers.

Consumer Market

Individuals purchasing goods and services for personal use.

Mass Market

Large, undifferentiated market for products with universal appeal like milk.

Niche Market

Narrow, specialised segment with distinct needs, e.g., luxury sports cars.

Psychological Influence

Consumer buying influence arising from perception, motives, attitudes or lifestyle.

Sociocultural Influence

Impact of family, peers, culture or social class on buying behaviour.

Economic Influence

Effect of consumers’ disposable income and economic cycles on purchasing.

Government Influence (Marketing)

Policies, laws and regulations that affect marketing practices and consumer spending.

Competition and Consumer Act 2010

Australian law promoting fair trading and protecting consumers from deceptive practices.

Deceptive and Misleading Advertising

Promotional claims that falsely represent a product’s features or price.

Price Discrimination

Supplying identical goods to different retailers at different prices, disadvantaging some competitors.

Implied Conditions

Unwritten terms that goods must be fit for purpose and of acceptable quality.

Sugging

Selling under the guise of a survey; unethical but not illegal.

SWOT Analysis

Assessment of internal strengths and weaknesses and external opportunities and threats.

Product Life Cycle

Stages of a product’s sales—introduction, growth, maturity and post-maturity/decline.

Primary Data

Original information gathered firsthand through surveys, interviews or observation.

Secondary Data

Existing information sourced from internal reports or external publications.

SMART Objective

Goal that is Specific, Measurable, Achievable, Realistic and Time-bound.

Target Market

Specific group of customers at whom a business directs its marketing efforts.

Marketing Mix

Combination of product, price, promotion and place strategies to satisfy consumers.

Product Differentiation

Creating real or perceived product uniqueness to attract a specific market.

Positioning

Crafting a product’s image relative to competitors in consumers’ minds.

Branding

Use of name, term, symbol or design to identify and distinguish a product.

Packaging

Design and production of the container or wrapper that protects and promotes a product.

Cost-based Pricing

Setting price by adding a mark-up to the cost of producing the product.

Price Skimming

Charging the highest price on launch then lowering it over time.

Penetration Pricing

Setting very low prices to quickly gain market share.

Loss Leader

Selling a product below cost to attract customers who will buy other items.

Price Points

Offering a product at predetermined price levels, e.g., $29.99, $39.99.

Price-Quality Interaction

Perception that higher-priced products are higher quality; forms basis for prestige pricing.

Advertising

Paid, non-personal communication to a mass audience about products or ideas.

Personal Selling

Direct, face-to-face communication between sales representative and customer.

Sales Promotion

Short-term incentives such as coupons or samples to encourage purchase.

Publicity

Free news coverage of a business’s activities to build positive image.

Public Relations

Planned communication to create and maintain favourable relationships with publics.