Business EdExcel

Asset

• changing an existing product or process

• any item of value that a business owns, such as machinery or premises.

• the proportion of sales in a market that are taken by one business

• the flow of goods and services out of a country

Brand loyalty

• This is how you market your business

• A customers willingness to buy a product from a particular business rather than from competitors

• The logo that you use to advertise your business

• A customers willingness to buy a product from competitors

Competitive advantage

• Who your competitors are

• An advantage a business has over its rivals that is unique and sustainable

• A document showing you whats wrong with your business

• A financial statement showing you your advantages over your competitors

Consumer

• The person who invents the product/service

• The person who buys the product/service

• The person who buys and uses the products/service

• The person who sells the product/service

Demographics

• The laws that a business must comply with

• The place where customers live and buy their products

• Statistical differences that exist within a population, now and in the future

• Out of date products

E-Commerce

• Paying your bills online

• A telephone company

• Using the internet to carry out business transactions

• Changing an existing product with technology

Differentiate

• The strength and number of competitors operating in a market

• Show that a product is different from similar products

• Giving a product or service 'personality' with a name

• Features of a product

What is the formula for break even

• Fixed costs / contribution

• Fixed costs / selling price

• Variable costs / selling price

• Fixed costs / margin of safety

What is the break even point

• Where sales revenue is the same as fixed costs

• Where sales revenue is the same as variable costs

• Where sales revenue is the same as total costs

• Where fixed costs is the same as variable costs

What is trade credit

• A short term source of finance from a supplier for stock.

• A long term source of finance from a supplier for stock

• A short term source of finance from a bank for stock

• A long term source of finance from a bank for stock