By Revision Genie
Understanding Business Activity
Unit 1
Understanding Needs and Wants
The Concept of Scarcity
Opportunity Cost in Business
The Role of Specialisation
Purpose of Business Activity
Understanding Added Value
Methods to Increase Added Value
Primary Sector: Definition and Examples
Secondary Sector: Definition and Examples
Tertiary Sector: Definition and Examples
Changes in Sector Importance in Economies
Private Sector vs Public Sector Businesses
Characteristics of Successful Entrepreneurs
The Role of Business Plans
Government Support for Start-Ups
Methods of Measuring Business Size
Limitations of Business Size Measurements
Why Businesses Choose to Grow
Internal Growth Methods
External Growth Methods
Problems with Business Growth
Why Some Businesses Stay Small
Causes of Business Failure
Why New Businesses Are at Higher Risk
Features of Sole Traders
Features of Partnerships
Features of Private Limited Companies
Features of Public Limited Companies
Features of Franchises
Features of Joint Ventures
Unincorporated vs Limited Companies
Risk, Ownership, and Limited Liability
Public Sector Organisations and Public Corporations
The Importance of Business Objectives
Types of Business Objectives
Objectives of Social Enterprises
Internal Stakeholder Groups and Their Objectives
External Stakeholder Groups and Their Objectives
Conflicts Between Stakeholder Objectives
Private Sector vs Public Sector Objectives
Unit 2
People in Business
Why People Work: Understanding Motivation
The Concept of Motivation
Benefits of a Well-Motivated Workforce
Maslow’s Hierarchy of Needs
Taylor’s Scientific Management Theory
Herzberg’s Two-Factor Theory
Financial Motivation Methods: Wages and Salaries
Bonuses, Commissions, and Profit Sharing
Non-Financial Motivation: Job Enrichment
Non-Financial Motivation: Job Rotation
Non-Financial Motivation: Teamworking
Non-Financial Motivation: Training and Development
Non-Financial Motivation: Promotion Opportunities
Choosing Motivation Methods for Specific Scenarios
Understanding Organisational Charts
Levels of Hierarchy and Span of Control
Chain of Command: Tall vs. Flat Structures
Roles of Directors, Managers, and Supervisors
Functions of Management: Planning and Organising
Functions of Management: Coordinating and Commanding
Functions of Management: Controlling
The Importance of Delegation
Trust vs. Control in Delegation
Autocratic Leadership Style
Democratic Leadership Style
Laissez-Faire Leadership Style
Choosing the Right Leadership Style
What is a Trade Union?
Effects of Trade Union Membership on Employees
The Recruitment Process: Overview
Internal vs. External Recruitment
Stages of Recruitment and Selection
Choosing the Best Candidate for a Role
Part-Time vs. Full-Time Employees
Importance of Employee Training
Induction Training: Benefits and Limitations
On-the-Job Training: Benefits and Limitations
Off-the-Job Training: Benefits and Limitations
Reasons for Workforce Downsizing
Dismissal vs. Redundancy
Choosing Employees for Redundancy
Employment Contracts and Legal Requirements
Unfair Dismissal and Discrimination Laws
Health and Safety Laws in Employment
Legal Minimum Wage and Its Impact
Effective Communication in Business
Methods of Communication: Verbal, Written, and IT-Based
Barriers to Effective Communication
Overcoming Communication Barriers
Unit 3
Marketing
The Role of Marketing
Identifying Customer Needs
Satisfying Customer Needs
Maintaining Customer Loyalty
Building Customer Relationships
Why Customer Spending Patterns Change
Responding to Changing Customer Needs
Increased Competition in Markets
Niche Marketing: Benefits and Limitations
Mass Marketing: Benefits and Limitations
Methods of Market Segmentation
Benefits of Market Segmentation
Recommending Market Segmentation Methods
Market-Oriented Businesses
Primary Research Methods
Benefits and Limitations of Primary Research
Secondary Research Methods
Benefits and Limitations of Secondary Research
The Need for Sampling in Market Research
Factors Influencing Market Research Accuracy
Presenting Market Research Data
Interpreting Market Research Data
Developing New Products: Benefits and Limitations
Brand Image and Customer Loyalty
The Role of Packaging in Marketing
The Product Life Cycle: Stages and Strategies
Using the Product Life Cycle in Decisions
Pricing Methods: Benefits and Limitations
Recommending Pricing Methods
Price Elasticity: Concept and Significance
Distribution Channels: Advantages and Disadvantages
Recommending Distribution Channels
Aims of Promotion in Marketing
Types of Promotion and Their Impact
Cost-Effectiveness in Promotional Spending
E-Commerce: Definition and Explanation
Opportunities of E-Commerce for Businesses
Threats of E-Commerce for Businesses
Using Social Media for Promotion
Importance of the Marketing Mix in Strategies
Recommending Marketing Strategies
Legal Controls on Marketing: Misleading Promotion
Legal Controls on Marketing: Faulty Goods
Opportunities in Foreign Markets
Challenges in Entering Foreign Markets
Overcoming Foreign Market Challenges
Joint Ventures and Licensing in Foreign Markets
Unit 4
Operations Management
The Meaning of Production
Difference Between Production and Productivity
Benefits of Increasing Efficiency
Methods to Increase Productivity
Why Businesses Hold Inventories
The Concept of Lean Production
Just-in-Time Inventory Control
Kaizen and Continuous Improvement
Benefits of Lean Production
Features of Job Production
Features of Batch Production
Features of Flow Production
Choosing a Production Method
Impact of Technology on Production Methods
Classifying Costs: Fixed and Variable
Classifying Costs: Total and Average
Using Cost Data for Decisions
Understanding Economies of Scale
Types of Economies of Scale
Understanding Diseconomies of Scale
Examples of Diseconomies of Scale
The Concept of Break-Even
Constructing a Break-Even Chart
Interpreting a Break-Even Chart
Calculating Break-Even Output
Margin of Safety and Its Importance
Using Break-Even Analysis for Decisions
Limitations of Break-Even Analysis
Importance of Quality in Business
What is Quality Control?
Implementing Quality Control
What is Quality Assurance?
Implementing Quality Assurance
Factors Influencing Location Decisions
Location Factors for Manufacturing Businesses
Location Factors for Service Businesses
Choosing a Country for Business Operations
Legal Controls on Location Decisions
Recommending a Business Location
Unit 5
Financial Information and Decisions
Why Businesses Need Finance
Short-Term vs Long-Term Finance Needs
Internal Sources of Finance
External Sources of Finance
Short-Term Finance Examples
Long-Term Finance Examples
Micro-Finance and Crowd-Funding
Factors in Choosing a Source of Finance
Recommending a Source of Finance
The Importance of Cash in Business
What is a Cash-Flow Forecast?
How to Construct a Cash-Flow Forecast
Interpreting a Cash-Flow Forecast
Amending a Cash-Flow Forecast
Overcoming Short-Term Cash-Flow Problems
The Concept of Working Capital
The Importance of Working Capital
What is Profit and Why is it Important?
Difference Between Profit and Cash
Main Features of an Income Statement
Using Income Statements for Decision-Making
Main Classifications of Assets and Liabilities
Interpreting a Statement of Financial Position
The Concept of Profitability
The Importance of Profitability
The Concept of Liquidity
The Importance of Liquidity
Calculating the Gross Profit Margin
Calculating the Profit Margin
Calculating the Return on Capital Employed
Calculating the Current Ratio
Calculating the Acid Test Ratio
Interpreting Profitability Ratios
Interpreting Liquidity Ratios
Users of Accounts and Their Needs
How Ratio Analysis Helps Decision-Making
Unit 6
External Influences on Business Activity
The Stages of the Business Cycle
Impact of Growth Phase on Businesses
Impact of Boom Phase on Businesses
Impact of Recession Phase on Businesses
Impact of Slump Phase on Businesses
Understanding Employment Levels and Business Impact
Effects of Inflation on Business Activity
Role of Gross Domestic Product (GDP) in Business
Government Economic Objectives and Business
Effects of Changes in Taxes on Businesses
Effects of Changes in Government Spending on Businesses
Impact of Interest Rate Changes on Business Activity
Business Responses to Economic Changes
How Business Activity Impacts the Environment
Understanding Externalities: Costs and Benefits
Global Warming and Business Responsibility
Sustainable Development in Business
Role of Pressure Groups in Environmental Issues
Legal Controls on Environmental Impact
Ethical Issues in Business Decisions
Balancing Profit and Ethical Practices
Responding to Ethical Issues in Business
Understanding the Concept of Globalisation
Reasons for Globalisation
Opportunities of Globalisation for Businesses
Threats of Globalisation for Businesses
Reasons for Import Tariffs
Reasons for Import Quotas
Benefits of Becoming a Multinational Company (MNC)
Impact of MNCs on Stakeholders
Benefits of MNCs to Host Countries
Drawbacks of MNCs to Host Countries
Understanding Exchange Rate Depreciation
Understanding Exchange Rate Appreciation
Impact of Exchange Rate Changes on Importers
Impact of Exchange Rate Changes on Exporters
Exchange Rates and Business Competitiveness
Exchange Rates and Business Profitability