GCSE business unit 2 Flashcards

Selling online, reaches a global market 24/7 but increases competition and delivery costs.

Shopping via mobile apps, offering convenience to customers.

Used for cheap, targeted marketing and customer service.

Includes email, Slack, and video calls; faster but can lead to 'always-on' stress for staff.

Doing 'the right thing' beyond the law, e.g. Fairtrade, paying above minimum wage.

Reducing carbon footprint, using recyclable packaging, and reducing waste.

Being 'green' can be expensive, leading to higher prices for customers.

The cost of borrowing money.

Expensive to borrow; customers save more and spend less.

Cheaper to borrow; customers spend more (good for luxury goods).

Easy to recruit staff for low wages, but customers have less disposable income.

Harder to find staff (wages may rise), but customers have more money to spend.

If incomes rise, demand for luxury goods increases; if incomes fall, demand for necessity goods stays stable.

Access to larger markets and cheaper raw materials from abroad.

Increased competition from international companies and risk of exchange rate fluctuations.

Strong Pound Imports Cheaper Exports Dearer (affects UK businesses selling abroad).

Minimum wage, health and safety, and anti-discrimination (Equality Act).

Goods must be satisfactory quality, fit for purpose, and as described (Consumer Rights Act).

Lowering prices to win customers, which can lead to lower profits.

Improving quality, better customer service, or clever branding.

A calculated gamble, such as launching a product.

Unknown events, e.g. a sudden pandemic or economic crash.