Theme 1 - Glossary
Term Definition
The increase in worth a business creates by enhancing a product or service
Added Value during the production process, leading to a higher selling price.
An individual or entity authorised to act on behalf of another in business
Agent transactions.
Aim The long-term goals or objectives that an organisation seeks to achieve.
A document outlining the internal rules and regulations governing a compa
Articles of Association operation, in addition to its Memorandum of Association.
A leadership style where decisions are made by a single authority figure w
Autocratic Leadership consulting subordinates.
Additional payment or reward given to employees beyond their regular sa
Bonus often as an incentive for achieving specific goals.
A strategic management tool that classifies a firm's products into a matrix b
Boston Matrix on market share and market growth.
The process of dividing large quantities of goods into smaller, more manag
Breaking Bulk units for distribution.
The extent to which decision-making authority is concentrated at a central
Centralisation / Decentralisation or distributed across various levels in an organisation.
A legal document issued to confirm the existence of a registered company
Certificate of Incorporation incorporating its name and registration number.
The formal hierarchical structure within an organisation that defines the au
Chain of Command and communication channels.
Negotiations between employers and employees, often conducted by labo
Collective Bargaining unions, to determine working conditions and terms.
A form of payment to salespeople based on a percentage of the sales they
Commission generate.
The unique qualities or features that set a business apart from its competito
Competitive Advantage providing an edge in the market.
Setting prices based on the prices of competing products or services in the
Competitive Pricing market.
Products that are typically used together, as one enhances the use or
Complementary Goods effectiveness of the other.
Involving employees in decision-making processes or seeking their input b
Consultation making important decisions.
An organisation owned and operated by its members, who share the profi
Co-operative benefits.
A pricing strategy where a markup is added to the production cost to dete
Cost Plus Pricing the selling price.
A legal document specifying the rights, responsibilities, and profit-sharing
Deed of Partnership arrangements among business partners.
Delayering The process of reducing the number of hierarchical levels within an organi
Assigning tasks and responsibilities to subordinates while retaining overall
Delegation authority and accountability.
The quantity of a good or service that consumers are willing and able to bu
Demand given price in a given period.
A leadership style where decision-making involves input from team memb
Democratic Leadership and authority is shared among the group.
Dividing a market based on demographic factors such as age, gender, inco
Demographic Segmentation and education.
The combination of features that make a product attractive and meet the n
Design Mix the target market.
Selling products or services directly to consumers without the use of
Direct Selling intermediaries.
Distribution The process of getting products from the manufacturer to the end-user, in
, Term Theme 1 - Glossary Definition
channels such as wholesalers and retailers.
A market characterised by frequent changes in demand, competition, and
Dynamic Market external factors.
Conducting business activities, including buying, and selling, over the inter
E-commerce electronic networks.
Creating a connection with consumers by appealing to their emotions, valu
Emotional Branding and personal identity.
Granting employees, the authority and autonomy to make decisions and ta
Empowerment ownership of their work.
An individual who starts and operates a new business, taking financial risks
Entrepreneur hope of profit.
The price at which the quantity supplied equals the quantity demanded, re
Equilibrium Pricing in market stability.
Conducting business activities with moral principles, including fair treatme
Ethics / Ethical Sourcing stakeholders and responsible sourcing of materials.
A workforce that can adapt to changing work conditions, including part-tim
Flexible Workforce temporary, and remote workers.
Small groups of people brought together to provide feedback on products
Focus Groups services, or marketing strategies.
A business model where an individual (franchisee) buys the rights to opera
Franchise business using the branding and support of the franchisor.
Marketing a product without attaching a brand name, focusing on the
Generic Branding characteristics of the product itself.
Dividing a market based on geographic regions, such as countries, cities, o
Geographic Segmentation climate zones.
The phenomenon where individuals improve their performance or behavio
Hawthorne Effect when they are aware they are being observed.
Hierarchy A system of organising individuals or elements in a graded or ranked series
Maslow's theory proposes that human needs are arranged in a hierarchy, f
Hierarchy of Needs basic physiological needs to self-actualization.
In Herzberg's Two-Factor Theory, factors such as working conditions and s
Hygiene Factor that prevent dissatisfaction but may not motivate.
The degree to which the quantity demanded of a good or service changes
Income Elastic Demand response to a change in consumer income.
Introduction training provided to new employees to familiarise them with t
Induction Training organisation, its culture, and their roles.
Actions taken by employees to protest against workplace conditions, often
Industrial Action involving strikes or work stoppages.
Inferior Goods Goods for which demand increases as consumer incomes decrease.
The process of hiring employees from within the organisation or externally
Internal / External Recruitment the job market.
An employee within a company who behaves like an entrepreneur, initiatin
Intrapreneur innovative projects to improve the organisation.
A document specifying the responsibilities, tasks, and requirements of a pa
Job Description job role.
Expanding a job by increasing the number and variety of tasks to make it m
Job Enlargement challenging and satisfying for employees.
Enhancing a job by adding more meaningful tasks and responsibilities to in
Job Enrichment employee satisfaction and motivation.
The practice of moving employees through different job roles within the
Job Rotation organisation to provide a broader experience.
A leadership style where leaders adopt a hands-off approach, allowing
Laissez-Faire Leadership subordinates significant autonomy in decision-making.
Limited Liability A legal structure where the owners' liability is limited to the amount invest
Term Definition
The increase in worth a business creates by enhancing a product or service
Added Value during the production process, leading to a higher selling price.
An individual or entity authorised to act on behalf of another in business
Agent transactions.
Aim The long-term goals or objectives that an organisation seeks to achieve.
A document outlining the internal rules and regulations governing a compa
Articles of Association operation, in addition to its Memorandum of Association.
A leadership style where decisions are made by a single authority figure w
Autocratic Leadership consulting subordinates.
Additional payment or reward given to employees beyond their regular sa
Bonus often as an incentive for achieving specific goals.
A strategic management tool that classifies a firm's products into a matrix b
Boston Matrix on market share and market growth.
The process of dividing large quantities of goods into smaller, more manag
Breaking Bulk units for distribution.
The extent to which decision-making authority is concentrated at a central
Centralisation / Decentralisation or distributed across various levels in an organisation.
A legal document issued to confirm the existence of a registered company
Certificate of Incorporation incorporating its name and registration number.
The formal hierarchical structure within an organisation that defines the au
Chain of Command and communication channels.
Negotiations between employers and employees, often conducted by labo
Collective Bargaining unions, to determine working conditions and terms.
A form of payment to salespeople based on a percentage of the sales they
Commission generate.
The unique qualities or features that set a business apart from its competito
Competitive Advantage providing an edge in the market.
Setting prices based on the prices of competing products or services in the
Competitive Pricing market.
Products that are typically used together, as one enhances the use or
Complementary Goods effectiveness of the other.
Involving employees in decision-making processes or seeking their input b
Consultation making important decisions.
An organisation owned and operated by its members, who share the profi
Co-operative benefits.
A pricing strategy where a markup is added to the production cost to dete
Cost Plus Pricing the selling price.
A legal document specifying the rights, responsibilities, and profit-sharing
Deed of Partnership arrangements among business partners.
Delayering The process of reducing the number of hierarchical levels within an organi
Assigning tasks and responsibilities to subordinates while retaining overall
Delegation authority and accountability.
The quantity of a good or service that consumers are willing and able to bu
Demand given price in a given period.
A leadership style where decision-making involves input from team memb
Democratic Leadership and authority is shared among the group.
Dividing a market based on demographic factors such as age, gender, inco
Demographic Segmentation and education.
The combination of features that make a product attractive and meet the n
Design Mix the target market.
Selling products or services directly to consumers without the use of
Direct Selling intermediaries.
Distribution The process of getting products from the manufacturer to the end-user, in
, Term Theme 1 - Glossary Definition
channels such as wholesalers and retailers.
A market characterised by frequent changes in demand, competition, and
Dynamic Market external factors.
Conducting business activities, including buying, and selling, over the inter
E-commerce electronic networks.
Creating a connection with consumers by appealing to their emotions, valu
Emotional Branding and personal identity.
Granting employees, the authority and autonomy to make decisions and ta
Empowerment ownership of their work.
An individual who starts and operates a new business, taking financial risks
Entrepreneur hope of profit.
The price at which the quantity supplied equals the quantity demanded, re
Equilibrium Pricing in market stability.
Conducting business activities with moral principles, including fair treatme
Ethics / Ethical Sourcing stakeholders and responsible sourcing of materials.
A workforce that can adapt to changing work conditions, including part-tim
Flexible Workforce temporary, and remote workers.
Small groups of people brought together to provide feedback on products
Focus Groups services, or marketing strategies.
A business model where an individual (franchisee) buys the rights to opera
Franchise business using the branding and support of the franchisor.
Marketing a product without attaching a brand name, focusing on the
Generic Branding characteristics of the product itself.
Dividing a market based on geographic regions, such as countries, cities, o
Geographic Segmentation climate zones.
The phenomenon where individuals improve their performance or behavio
Hawthorne Effect when they are aware they are being observed.
Hierarchy A system of organising individuals or elements in a graded or ranked series
Maslow's theory proposes that human needs are arranged in a hierarchy, f
Hierarchy of Needs basic physiological needs to self-actualization.
In Herzberg's Two-Factor Theory, factors such as working conditions and s
Hygiene Factor that prevent dissatisfaction but may not motivate.
The degree to which the quantity demanded of a good or service changes
Income Elastic Demand response to a change in consumer income.
Introduction training provided to new employees to familiarise them with t
Induction Training organisation, its culture, and their roles.
Actions taken by employees to protest against workplace conditions, often
Industrial Action involving strikes or work stoppages.
Inferior Goods Goods for which demand increases as consumer incomes decrease.
The process of hiring employees from within the organisation or externally
Internal / External Recruitment the job market.
An employee within a company who behaves like an entrepreneur, initiatin
Intrapreneur innovative projects to improve the organisation.
A document specifying the responsibilities, tasks, and requirements of a pa
Job Description job role.
Expanding a job by increasing the number and variety of tasks to make it m
Job Enlargement challenging and satisfying for employees.
Enhancing a job by adding more meaningful tasks and responsibilities to in
Job Enrichment employee satisfaction and motivation.
The practice of moving employees through different job roles within the
Job Rotation organisation to provide a broader experience.
A leadership style where leaders adopt a hands-off approach, allowing
Laissez-Faire Leadership subordinates significant autonomy in decision-making.
Limited Liability A legal structure where the owners' liability is limited to the amount invest
