GCSE Business OCR 1.6

How many types of business growth are there?

• 1

• 2

• 3

• 4

Which are the types of growth?

• Organic and External

• External and GMF

• Internal and Occupied

• External and Trade Credit

What is organic growth?

• A business grows through increasing staff and size, gaining new business friends and developing advertising skills.

• A business grows through borrowing money from other companies.

• A business grows through increasing sales and size, gaining new customers, developing new products and increasing market share.

• A business grows through turning itself into a public limited company.

Increasing output is...

• Developing new products

• Employing more staff

• Increasing the number of products made or services sold.

• Increasing opening hours

Which is NOT a way of gaining new customers?

• Employing more staff

• Reducing prices of products/services

• Opening shops in new places

• Improving marketing

There are 3 ways a business can grow externally?

• True

• False

Merging businesses is...

• Staff join together to increase sales

• Government support the business to grow

• Two businesses join to form one larger one

• A business takes control of another business

A business takeover is when one company buys control of another company.

• True

• False

There are 4 types of merger/takeover?

• True

• False

Which is not a type of merger/takeover?

• Horizontal

• Vertical

• Diversification

• Marketable