Business and Management HL Study Guide

These flashcards cover key vocabulary and concepts from the Business and Management HL study guide, helping students understand essential terms and frameworks.

Operations Management

The administration of business practices to create the highest level of efficiency possible within an organization.

Lean Production

A production practice that considers the expenditure of resources in any aspect other than the direct creation of value for the end customer to be wasteful and thus a target for elimination.

Economies of Scale

The cost advantage that arises with increased output of a product.

SWOT Analysis

A strategic planning technique used to identify the Strengths, Weaknesses, Opportunities, and Threats related to a business.

Market Orientation

A business approach that prioritizes identifying and meeting the needs of the consumer.

Corporate Social Responsibility (CSR)

A business model that helps a company be socially accountable to itself, its stakeholders, and the public.

Stakeholders

Individuals or groups that have an interest in the decisions and activities of a business.

Decision Tree

A graphical representation of decisions and their possible consequences, used to create a plan to reach a goal.

Ansoff Matrix

A strategic planning tool used by organizations to analyze and plan their strategies for growth by considering products and markets.

Cash Flow Forecast

A projection of a company’s future financial liquidity over a specific period of time.

Break-even Analysis

The process of determining the point at which revenue received equals the costs associated with receiving the revenue.

Corporate Culture

The beliefs, values, and behaviors that determine how a company's employees and management interact and handle business transactions.

Market Share

The portion of a market controlled by a particular company or product.

Profit Margin

A financial metric that shows the percentage of profit a company makes for every dollar of revenue.

Primary Sector

The sector of an economy that extracts and harvests natural resources, such as agriculture and fishing.

Secondary Sector

The sector of an economy that produces finished goods from raw materials.

Tertiary Sector

The sector of an economy that provides services rather than goods.