10/5/25, 7:28 AM Cambridge IGCSE Business Studies Exam fully solved & updated 2025-2026(latest version verified for accuracy) (Questions + Ans…
Cambridge IGCSE Business Studies Exam fully
solved & updated 2025-2026(latest version
verified for accuracy) (Questions + Answers)
Solved 100% Correct!!
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Terms in this set (238)
A Need A good or service essential for living.
A good or service that people would like to have, but
A want
which is not essential for living.
Unlimited wants but limited resources - this creates
Economic problem
scarcity.
Lack of sufficient products to satisfy total wants of
Scarcity
population.
Opportunity Costs The next best item given up by choosing another.
Resources needed to produce goods and services -
Factors of production
land, labour, capital and enterprise
An organisation that combines factors of production
Business to make goods and services to satisfy people's wants
and needs.
People and business concentrate on what they are
Specialisation
best at.
Production is split into seperate tasks each worker
Division of labour
specialises in one task
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,10/5/25, 7:28 AM Cambridge IGCSE Business Studies Exam fully solved & updated 2025-2026(latest version verified for accuracy) (Questions + Ans…
The difference between a product's selling price and
Added Value
the cost of bought in materials.
Businesses that extract and use natural resources to
Primary sector
produce raw materials.
Businesses that manufactures goods using raw
Secondary sector
materials provided by primary sector.
Businesses that provide services to consumers and
Tertiary sector
other firms.
Decline in the importance of secondary,
Deindustrialisation
manufacturing industry.
This has both private sector businesses and public
Mixed economy
sector businesses.
Businesses owned by people, not the
Private sector
goverment/state.
Public sector Businesses owned by goverment/state.
Privatisation The sale of public sector business to private sector.
Someone who organises, operates and takes the risk
Entrepreneur
for a new business venture.
The objectives and details of the operations, finance
Business plan
and owners of a new business.
Capital employed The total value of capital used in a business.
Internal Growth The business expands its existing operations.
The business expands by merging with or taking over
External Growth
another business.
Takeover A business buys out the owners of another business.
The owners of businesses agree to join their firms
Merger
together to form one business.
The business integrates with another in the same
Horizontal integration
industry at the same stage of production.
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The business integrates with another in the same
industry but at a different stage of production -
Vertical integration towards suppliers is backward vertical integration and
towards the market/customer is forward vertical
integration.
The business integrates with another but in a different
Conglomerate integration
industry.
Soletrader The business is owned by one person.
Partnership The business is jointly owned by two or more people.
The liability of owners/shareholders is limited to the
Limited liability
amount invested. Personal posessions are not at risk.
A business with seperate legal identity from its
Incorporated business
owners.
A business without seperate legal identity from its
Unincorporated business
owners.
A business owned by shareholders but it cannot sell
Private limited company
shares to the public.
A business owned by shareholders but it can sell
Public limited company shares to the public and its shares are tradable on
Stock Exchange.
Shareholders The owners of a limited company.
Payments made to shareholders from profits (after
Dividends
tax) of a company.
A business that uses, under license, the brand name,
logo and trading methods of an existing business. The
Franchise
franchisor sells the license; the franchisee buys the
licence.
Two or more businesses start a new project together
Joint venture
sharing capital, risks and profits.
The business, in the public sector that is owned and
Public corporation
controlled by the state/goverment.
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Cambridge IGCSE Business Studies Exam fully
solved & updated 2025-2026(latest version
verified for accuracy) (Questions + Answers)
Solved 100% Correct!!
Save
Terms in this set (238)
A Need A good or service essential for living.
A good or service that people would like to have, but
A want
which is not essential for living.
Unlimited wants but limited resources - this creates
Economic problem
scarcity.
Lack of sufficient products to satisfy total wants of
Scarcity
population.
Opportunity Costs The next best item given up by choosing another.
Resources needed to produce goods and services -
Factors of production
land, labour, capital and enterprise
An organisation that combines factors of production
Business to make goods and services to satisfy people's wants
and needs.
People and business concentrate on what they are
Specialisation
best at.
Production is split into seperate tasks each worker
Division of labour
specialises in one task
https://quizlet.com/1087471480/cambridge-igcse-business-studies-exam-fully-solved-updated-2025-2026latest-version-verified-for-accuracy-question… 1/16
,10/5/25, 7:28 AM Cambridge IGCSE Business Studies Exam fully solved & updated 2025-2026(latest version verified for accuracy) (Questions + Ans…
The difference between a product's selling price and
Added Value
the cost of bought in materials.
Businesses that extract and use natural resources to
Primary sector
produce raw materials.
Businesses that manufactures goods using raw
Secondary sector
materials provided by primary sector.
Businesses that provide services to consumers and
Tertiary sector
other firms.
Decline in the importance of secondary,
Deindustrialisation
manufacturing industry.
This has both private sector businesses and public
Mixed economy
sector businesses.
Businesses owned by people, not the
Private sector
goverment/state.
Public sector Businesses owned by goverment/state.
Privatisation The sale of public sector business to private sector.
Someone who organises, operates and takes the risk
Entrepreneur
for a new business venture.
The objectives and details of the operations, finance
Business plan
and owners of a new business.
Capital employed The total value of capital used in a business.
Internal Growth The business expands its existing operations.
The business expands by merging with or taking over
External Growth
another business.
Takeover A business buys out the owners of another business.
The owners of businesses agree to join their firms
Merger
together to form one business.
The business integrates with another in the same
Horizontal integration
industry at the same stage of production.
https://quizlet.com/1087471480/cambridge-igcse-business-studies-exam-fully-solved-updated-2025-2026latest-version-verified-for-accuracy-question… 2/16
, 10/5/25, 7:28 AM Cambridge IGCSE Business Studies Exam fully solved & updated 2025-2026(latest version verified for accuracy) (Questions + Ans…
The business integrates with another in the same
industry but at a different stage of production -
Vertical integration towards suppliers is backward vertical integration and
towards the market/customer is forward vertical
integration.
The business integrates with another but in a different
Conglomerate integration
industry.
Soletrader The business is owned by one person.
Partnership The business is jointly owned by two or more people.
The liability of owners/shareholders is limited to the
Limited liability
amount invested. Personal posessions are not at risk.
A business with seperate legal identity from its
Incorporated business
owners.
A business without seperate legal identity from its
Unincorporated business
owners.
A business owned by shareholders but it cannot sell
Private limited company
shares to the public.
A business owned by shareholders but it can sell
Public limited company shares to the public and its shares are tradable on
Stock Exchange.
Shareholders The owners of a limited company.
Payments made to shareholders from profits (after
Dividends
tax) of a company.
A business that uses, under license, the brand name,
logo and trading methods of an existing business. The
Franchise
franchisor sells the license; the franchisee buys the
licence.
Two or more businesses start a new project together
Joint venture
sharing capital, risks and profits.
The business, in the public sector that is owned and
Public corporation
controlled by the state/goverment.
https://quizlet.com/1087471480/cambridge-igcse-business-studies-exam-fully-solved-updated-2025-2026latest-version-verified-for-accuracy-question… 3/16
