Grade 10 Business Studies Study Notes

Comprehensive Grade 10 Business Studies vocabulary flashcards covering the micro, market, and macro environments, management tasks, business functions, economic sectors, and quality concepts.

Micro environment

The internal environment in which a business operates, consisting of internal factors such as management, employees, resources, and culture, over which the business has a high degree of control.

Vision

A statement describing what the business hopes to become in the future, explaining its long-term direction or dream.

Mission

A statement explaining why the business exists and what it does, guiding the strategies and main activities used to achieve the vision.

Goals

Broad, long-term results that the business wants to achieve, which are broken down into more specific, measurable statements.

Objectives

Specific, measurable, and time-bound targets or tasks that help the business achieve its goals.

Organisational culture

The way things are done in a business, including shared values, beliefs, attitudes, customs, rules, and norms.

Organisational resources

The assets and inputs a business uses to produce goods or provide services, including physical, financial, human, and information resources.

Physical resources

Tangible assets and infrastructure such as natural resources, machinery, buildings, and office equipment used to produce goods or services.

Financial resources

Capital, own funds, money invested, and borrowed credit needed to start, run, and expand a business.

Human resources

The employees and contractors who contribute their knowledge, skills, and effort to achieve business goals.

Information resources

Research, advanced technology, computers, laptops, and business data that help an enterprise make informed decisions.

Entrepreneur

A person who brings together and coordinates the factors of production in the hope of making a profit.

Organisational structure

A framework that shows the relationships between different positions, levels of authority, and tasks to promote coordination and avoid duplication.

Top-level management

Management level comprising positions such as the CEO and board of directors, responsible for setting the overall direction and making major strategic decisions.

Middle-level management

Management level consisting of departmental managers who turn broad plans into departmental plans and make medium-term decisions.

Lower-level management

Management level consisting of supervisors and team leaders who guide employees, allocate daily tasks, and implement instructions.

Leadership

The act of inspiring, motivating, and influencing human behaviour to encourage people to work towards a shared vision and business goals.

Management

A task- and process-oriented discipline focused on planning, organising, coordinating resources, and controlling work to achieve business objectives.

General management function

The business function that determines the chain of command, authority levels, and responsibilities, while coordinating the activities of all other business functions.

Planning

A management task involving setting goals and developing strategic, tactical, or operational strategies.

Organising

A management task involving arranging resources and deciding who will carry out each task, when, and how.

Leading

A management task that involves guiding, motivating, and directing employees towards business goals.

Controlling

A management task that involves checking whether the business is achieving its goals and correcting problems where necessary.

Risk management

A management task that involves identifying possible business risks and taking steps to reduce their effects.

Administration function

The business function that collects, processes, stores, and distributes information, handles filing, manages records, and utilises ICT to improve efficiency.

Financial function

The business function responsible for planning and managing capital, preparing budgets, allocating funds, monitoring spending, and keeping financial records up to date.

Public relations function

The business function that builds and maintains positive relationships with stakeholders and manages the enterprise's public image.

Purchasing function

The business function that procures raw materials, goods, and services, identifies reliable suppliers, manages stock levels, and negotiates payment terms.

Human resources function

The business function that attracts, recruits, educates, inducts, and trains employees, while supporting effective workplace relations.

Production function

The business function that transforms raw materials and other inputs into finished goods or services to meet customer needs efficiently.

Marketing function

The business function that conducts market research, promotes and advertises products, and understands customer needs to drive sales.

Market environment

The immediate external environment consisting of customers, suppliers, intermediaries, and competitors over which a business has little or no direct control.

Customers

People, organisations, or government entities—also known as consumers—that purchase goods and services to satisfy needs and wants.

Suppliers

Individuals or businesses that provide the necessary raw materials, equipment, transport, or services needed by a business to operate.

Intermediaries

Entities such as wholesalers, retailers, and agents that link manufacturers to consumers by distributing and selling goods.

Competitors

Businesses that sell similar goods or services to the same target market, influencing price, value, and profitability.

Civil society organisations

Organisations that address social problems and community needs outside the public and private sectors.

Community-based organisations (CBOs)

Local organisations that work with communities to promote socio-economic development and address challenges such as HIV/AIDS, unemployment, crime, and illiteracy.

Non-governmental organisations (NGOs)

Non-profit organisations operating independently of government to provide services and promote community welfare.

Regulators

Government bodies that create and enforce rules for business operations, such as NERSA, the NCC, and ICASA.

Unions

Organisations that protect workers' rights, negotiate better employment conditions, and represent members in labour disputes.

Strategic alliances

Cooperative agreements where businesses combine resources or collaborate on projects to gain competitive advantage and access new markets.

Macro environment

The broad external environment encompassing forces outside the business that cannot be controlled, but to which the business must adapt.

Interest rate

The cost of borrowing money, usually expressed as a percentage.

Inflation

A general increase in the prices of goods and services over time, which reduces the purchasing power of money.

Primary sector

The initial stage of production that involves extracting or harvesting natural raw materials, such as in farming, mining, fishing, and forestry.

Secondary sector

The business sector that processes raw materials from the primary sector into manufactured goods, including construction and manufacturing.

Tertiary sector

The business sector that distributes manufactured goods and provides services to businesses and consumers, including retail, banking, and transport.

Formal sector

The part of the economy consisting of legally registered businesses that follow regulatory laws and pay taxes through bodies such as SARS.

Informal sector

Economic activities that are not formally registered, regulated, or recorded by the government, often consisting of small-scale, self-employed traders.

Public sector

The part of the economy owned, managed, and funded by the government, primarily aimed at providing basic and essential infrastructure and services to society.

Private sector

The part of the economy owned and funded by individuals or private businesses, primarily driven by the goal of earning a profit.

Quality

The capacity of a product or service to satisfy customer needs and meet or exceed their expectations on a consistent basis.

Quality control

The process of inspecting final products or services to detect defects, verify adherence to standards, and implement corrective measures.

Quality assurance

The continuous monitoring and checking of production processes at every stage to prevent defects and ensure standards are met from the beginning.