Business edexcel paper 1.
what is business enterprise
The process of identifying new business opportunities and taking advantage of them
give an example of a business purpose
provide people with a good or a service
meet customer needs
add value to an existing product
how could a business ad value to a business
make a product more convinient for a customer to get or use
uild a good brand image
improve the products design or quality
give the product a unique selling point
how do most business idea come about
changes in technology
changes in customers needs
if a good or sevice becomes obselete a business might have to come up with a new
idea
what is obselete?
when product is no longer used or out of date
What is an entrepreneur?
A person who takes on the risks of enterprise activity
to successfully run a new business a new business, an entrepreneur must be
able to:
organise resources
take risks
make business decisions
examples of risks in business
financiall loss
job insecurity- not much security
failure
examples of rewards in business
sucess
profit
independance- hours /holidays
what can effect decition making with competition
price
customer
quality
product range
location
what can a market be ?
place - goods traded from supplier to customer
product- the trade in particular
group of people- potential customers
, how can price affect competition
customers will often want to pay less for a gien product. Iff all products in the market are
the same the price will become the most imprtant factor, thereforre firms might decide to
lower their prices in order to gain more sales and therefore more overall profit
how can customer service affect competition
offering customer service can attract customers and may mean that customers will be
willing to pay more omney for a product
how can product range affect competition
having a large product range will make a business more attractive to customers
how can location affect competition
customers are more likely to buy from a business if it sells it products in a convinient
place
what does a market mean
1. a place where goods are trated between customers and suppliers
2. trade in a particular type of product
3. the potential customers for a product
what is market size
the number of individual (including companies) within the market which are potential
buyers or sellers of products
what is market share
the proportion of total sales within a market that is controlled by a business
how can market research help to make informed decisions
-helps segment the market where to target your products too this will ensure you don't
waste your time and money and and will increase sales and profit
3 ways that help market reasearch help a business
make informed decisions
stop gaps in market
reduces risks
how can market reaserch help make informed decitions
shows what products to sell and where to sell them
how to promote an what price to sell them
how can market research help to spot a gap in the market
they can see where aneed is not being met and the business will want to develop a way
to meet these need before competitors do. This might mean developing a new product,
or selling an existing product in a new place, new price o promoting it in a new way to
convince customers they need it
how can market research reduce risks
if a business sells a product that customers dont want or tries to sell products at a price
that's too high or in the wrong location it could end up losing a lot of money. Using
market research will help a business reduce the risk of making costly mistakes
whats primary research and how can you do it
collecting data first hand from customers or potential customers and you can do this by
interviews, surveys,questionaires
Advantages of Primary Research
specific to the immediate data needs and topic at hand, offers behavioral insights
generally not available from secondary research
what is business enterprise
The process of identifying new business opportunities and taking advantage of them
give an example of a business purpose
provide people with a good or a service
meet customer needs
add value to an existing product
how could a business ad value to a business
make a product more convinient for a customer to get or use
uild a good brand image
improve the products design or quality
give the product a unique selling point
how do most business idea come about
changes in technology
changes in customers needs
if a good or sevice becomes obselete a business might have to come up with a new
idea
what is obselete?
when product is no longer used or out of date
What is an entrepreneur?
A person who takes on the risks of enterprise activity
to successfully run a new business a new business, an entrepreneur must be
able to:
organise resources
take risks
make business decisions
examples of risks in business
financiall loss
job insecurity- not much security
failure
examples of rewards in business
sucess
profit
independance- hours /holidays
what can effect decition making with competition
price
customer
quality
product range
location
what can a market be ?
place - goods traded from supplier to customer
product- the trade in particular
group of people- potential customers
, how can price affect competition
customers will often want to pay less for a gien product. Iff all products in the market are
the same the price will become the most imprtant factor, thereforre firms might decide to
lower their prices in order to gain more sales and therefore more overall profit
how can customer service affect competition
offering customer service can attract customers and may mean that customers will be
willing to pay more omney for a product
how can product range affect competition
having a large product range will make a business more attractive to customers
how can location affect competition
customers are more likely to buy from a business if it sells it products in a convinient
place
what does a market mean
1. a place where goods are trated between customers and suppliers
2. trade in a particular type of product
3. the potential customers for a product
what is market size
the number of individual (including companies) within the market which are potential
buyers or sellers of products
what is market share
the proportion of total sales within a market that is controlled by a business
how can market research help to make informed decisions
-helps segment the market where to target your products too this will ensure you don't
waste your time and money and and will increase sales and profit
3 ways that help market reasearch help a business
make informed decisions
stop gaps in market
reduces risks
how can market reaserch help make informed decitions
shows what products to sell and where to sell them
how to promote an what price to sell them
how can market research help to spot a gap in the market
they can see where aneed is not being met and the business will want to develop a way
to meet these need before competitors do. This might mean developing a new product,
or selling an existing product in a new place, new price o promoting it in a new way to
convince customers they need it
how can market research reduce risks
if a business sells a product that customers dont want or tries to sell products at a price
that's too high or in the wrong location it could end up losing a lot of money. Using
market research will help a business reduce the risk of making costly mistakes
whats primary research and how can you do it
collecting data first hand from customers or potential customers and you can do this by
interviews, surveys,questionaires
Advantages of Primary Research
specific to the immediate data needs and topic at hand, offers behavioral insights
generally not available from secondary research
