Term
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Definition
| When a business's expenses are more then it's revenue |
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Term
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Definition
| Contracting with other companies (often in other countries) to do some or all of the functions of a firm. |
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Term
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Definition
| The amount of output you generate given compared to the amount of input used |
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Term
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Definition
| Intangible products such as educations, health care, insurance, recreation, and travel |
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Term
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Definition
| The obtaining of an individuals personal information, such as social security, credit card numbers, for illegal purposes |
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Term
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Definition
| Everything from phones and copiers to computers, medical imaging devices, personal digital assistants and the various software programs that make business processes more effective, efficient and productive. |
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Term
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Definition
| The statistical study of the human population with regard to its size, density and other characteristics such as age, race, gender, and income. |
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Term
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Definition
| Tangible products such as computers, food, clothing, cars and appliances. |
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Term
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Definition
| The amount of goods and services people can buy with the money they have. |
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Term
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Definition
| The amount of money a business makes above and beyond what it spends to operate. |
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Term
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Definition
| The buying and selling of goods over the internet. |
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Term
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Definition
| The trend toward saving energy and producing products that cause less harm to the environment. |
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Term
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Definition
| All the people who stand to gain or lose by the policies and activities of a business and whose concerns the business needs to address. |
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Term
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Definition
| The general well being of a society in terms of its political freedom, natural environment, education, health-care, safety, amount of leisure and rewards that add to the satisfaction and joy that other goods and services provide. |
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Term
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Definition
| The total amount of money a business takes in during a given period by selling goods and services. |
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Term
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Definition
| A person who risks time and money to start a business. |
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Term
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Definition
| Any activity that seeks to provide goods and services to others while operating at a profit. |
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Term
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Definition
| Giving frontline workers the responsibility, authority, freedom, training and equipment they need to respond quickly to customer requests. |
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Term
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Definition
| An electronic storage file for information. |
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Term
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Definition
| The change in temperature up or down over time. |
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Term
factors of production
(think LLCEK) |
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Definition
| The resources used to create wealth: land, labor, capital, entrepreneurship and knowledge. |
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Term
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Definition
| The surrounding factors that either help or hinder the development of businesses. |
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Term
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Definition
| The chance an entrepreneur takes of losing time and money on a business that may not be profitable. |
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Term
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Definition
| An organization whose goals do not include making a personal profit for its owners and organizers. |
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Term
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Definition
| The value of one nations currency relative to the currencies of other countries. |
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Term
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Definition
| Lowering the value of a nations currency relative to other currencies. |
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Term
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Definition
| Selling products to another country. |
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Term
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Definition
| Buying products from another country. |
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Term
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Definition
| The movement of goods and services among nations without political or economical barriers. |
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Term
| Comparative Advantage Theory |
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Definition
| Theory that states that a country should sell to other countries those products that it produces most effectively and efficiently and buy the products they cant produce as effectively or efficiently from other countries. |
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Term
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Definition
| The advantage that exists when a country has a monopoly on producing a specific product or is able to produce it more efficiently than all other countries. |
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Term
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Definition
When a country exports more then it imports.
(favorable balance of trade) |
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Term
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Definition
When a country imports more then it exports.
(unfavorable balance of trade) |
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Term
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Definition
| Selling products in a foreign country for less than the producing countries price. |
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Term
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Definition
| A tax imposed on imports. |
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Term
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Definition
| A limit on the number of products in certain categories that a nation can import. |
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Term
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Definition
| A complete ban on the import or export of a certain product, or the stopping of all trade with a particular country. |
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Term
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Definition
| A global strategy in which a firm (the licensor) allows a foreign company (the license) to produce its product in exchange for a fee (a royalty). |
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Term
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Definition
| A partnership in which two or more companies (often from different countries) join to undertake a major project. |
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Term
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Definition
| A company owned in a foreign country by another company, called the parent company. |
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Term
| multinational corporation |
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Definition
| An organization that manufactures and markets products in many different countries and has multinational stock ownership and multinational management. |
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Term
North American Free Trade Agreement
(NAFTA) |
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Definition
| Agreement that created a free-trade area among the United States, Canada and Mexico. |
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Term
World Trade Organization
(WTO) |
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Definition
| The international organization that replaced the General Agreement on Tariffs and Trade, and was assigned the duty to mediate trade and disputes among nations. |
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Term
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Definition
| A long term partnership between two or more companies established to help each company build competitive market advantages. |
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Term
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Definition
A regional group of countries that have a common tariff, no internal tariffs and a coordination of laws to facilitate exchange; also called a trading bloc.
Ex: European Union |
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Term
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Definition
| A complex form of bartering in which several countries may be involved, each trading goods or services for equal goods or services. |
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Term
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Definition
| The use of government regulations to limit the import of goods and services. |
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Term
General Agreement on Tariffs and Trade
(GATT) |
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Definition
| A agreement made in 1948 that established an international forum for negotiating mutual reduction in trade restrictions. |
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Term
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Definition
| The difference between money coming into a country (from exports) and money leaving the country (for imports) plus money flows from other factors such as tourism, foreign aid, military expenditures and foreign investment. |
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Term
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Definition
| The total value of a nations exports compared to its imports measured over a particular period. |
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Term
Foreign Direct Investment
(FDI) |
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Definition
| The buying of permanent property and businesses in foreign nations. |
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Term
Sovereign Wealth Funds
(SWF's) |
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Definition
| Investment funds controlled by governments holding large stakes in foreign companies. |
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Term
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Definition
| A foreign country's production of private-label goods to which a domestic company then attaches its brand name or trademark; part of the broad category of outsourcing. |
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Term
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Definition
| The study of how to increase resources and to create the conditions that will make better use of those resources. |
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Term
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Definition
| The management of the money supply and interest rates by the Federal Reserve Bank. |
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Term
Producer Price Index
(PPI) |
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Definition
| An index that measures prices at the wholesale level. |
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Term
| Keynesian Economic Theory |
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Definition
| The theory that a government policy of increasing spending and cutting taxes could stimulate the economy in a recession. |
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Term
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Definition
| The degree of competition in which there are many sellers in a market and none are large enough to dictate the price of a product. |
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Term
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Definition
| A situation in which prices are declining. |
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Term
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Definition
| A phrase coined by Adam Smith to describe the process that turns self-directed gain into social and economic benefits for all. |
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Term
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Definition
| Economic systems in which some allocation of resources is made by the market and some by the government. |
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Term
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Definition
A situation in which price increases are slowing.
(the inflation rate is declining) |
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Term
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Definition
| The part of economics study that looks at the behavior of people and organizations in particular markets. |
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Term
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Definition
| The loss of the best and brightest people to other countries. |
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Term
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Definition
| The part of economics study that looks at the operation of a nations economy as a whole. |
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Term
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Definition
| A degree of competition in which just a few sellers dominate the market. |
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Term
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Definition
| The number of civilians at least 16 years old who are unemployed and tried to find a job within the prior four weeks. |
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Term
Gross Domestic Product
(GDP) |
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Definition
| The total value of final goods and services produced in a country in a given year. |
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Term
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Definition
| The price determined by supply and demand. |
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Term
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Definition
| Economic system in which the government largely decides what goods and services will be produced, who will get them and how the economy will grow. |
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Term
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Definition
| A general rise in the prices of goods and services over time. |
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Term
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Definition
| The quantity of products that manufacturers or owners are willing to sell at different prices at a specific time. |
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Term
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Definition
| The degree of competition in which a large number of sellers produce very similar products that buyers nevertheless perceive as different. |
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Term
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Definition
| An economic system in which all or most of the factors of production and distribution are privately owned and operated for a profit. |
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Term
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Definition
| The study of how society uses resources to make goods and services and sell them. |
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Term
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Definition
| An economic and political system in which the government makes almost all economic decisions and owns almost all the major factors of production. |
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Term
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Definition
| The quantity of products that people are willing to buy at different prices at a specific time. |
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Term
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Definition
| A degree of competition in which only one seller controls the total supply of a product or service, and sets the price. |
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Term
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Definition
| An economic system based on the premise that some, if not most, basic businesses should be owned by the government so that profits can be more evenly distributed among the people. |
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Term
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Definition
| A situation when the economy is slowing but prices are going up anyhow. |
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Term
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Definition
| Decisions government makes about taxes and spending to keep a stable economy. |
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Term
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Definition
| A severe recession, usually accompanied by deflation. |
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Term
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Definition
| Two or more consecutive quarters of decline in the GDP. |
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Term
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Definition
| The sum of government deficits over time. |
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Term
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Definition
| Economic systems in which the market largely determines what goods and services get produced, who gets them, and how the economy grows. |
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Term
Consumer Price Index
(CPI) |
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Definition
| Monthly statistics that measure the pace of inflation or deflation. |
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Term
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Definition
| The periodic rises and falls that occur in economies over time. |
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Term
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Definition
| A business that is owned and usually managed by one person. |
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Term
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Definition
| A legal form of business with two or more owners. |
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Term
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Definition
| A legal entity with authority to act and have liability apart from its owners (stockholders). |
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Term
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Definition
| The responsibility of business owners for all of the debts of the business. |
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Term
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Definition
| A partnership in which all owners share in operating the business and in assuming liability for the business's debts. |
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Term
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Definition
| A partnership with one or more general partners and one or more limited partners. |
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Term
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Definition
| An owner (partner) who has unlimited liability and is active in managing the firm. |
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Term
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Definition
| An owner who invests money in the business but does not have any management responsibility or liability for losses beyond the investment. |
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Term
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Definition
The responsibility of a businesses owners for losses only up to the amount they invest; limited partners and shareholders have limited liability.
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Term
Master Limited Partnership
(MLP) |
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Definition
| A partnership that looks much like a corporation (in that it acts like a corporation and is traded on a stock exchange) but is taxed like a partnership and thus avoids the corporate income tax. |
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Term
Limited Liability Partnership
(LLP) |
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Definition
| A partnership that limits partners risk of losing their personal assets to only their own acts and omissions and to the acts and omissions of people under their supervision. |
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Term
conventional corporation
(C) |
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Definition
| A state-chartered legal entity with authority to act and have liability separate from its owners. |
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Term
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Definition
| A unique government creation that looks like a corporation but is taxed like sole proprietorships and partnerships. |
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Term
Limited Liability Company
(LLC) |
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Definition
| A company similar to an S corporation, but without the special eligibility requirements. |
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Term
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Definition
| The result of two firms forming one company. |
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Term
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Definition
| One companies purchase of the property and obligations of another company. |
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Term
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Definition
| The joining of two companies involved in different stages of related businesses. |
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Term
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Definition
| The joining of two firms in the same industry. |
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Term
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Definition
| The joining of firms in completely unrelated industries. |
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Term
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Definition
| An attempt by employees, management, or a group of investors to purchase an organization primarily through borrowing. |
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Term
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Definition
| An arrangement whereby someone with a good idea for a business sells the rights to use the business name and sell a product or service to others in a given territory. |
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Term
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Definition
| A company that develops a product concept and sells other the rights to make and sell the products. |
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Term
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Definition
| The right to use a specific business's name and sell its products or services in a given territory. |
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Term
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Definition
| A person who buys a franchise. |
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Term
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Definition
| The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients,partners, and society at large. |
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Term
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Definition
| A three-part business philosophy: (1) a customer orientation, (2) a service orientation, and (3) a profit orientation. |
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Term
Customer Relationship Management
(CRM) |
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Definition
| The process of learning as much as possible about customers and doing everything you can to satisfy them-or even exceed their expectations-with goods and services. |
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Term
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Definition
The ingredients that go into a marketing program: product, price, place, and promotion.
(The 4 P's) |
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Term
|
Definition
| Any physical good, service, or idea that satisfies a want or need plus anything that would enhance the product in the eyes of consumers, such as the brand. |
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Term
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Definition
| The process of testing products among potential users. |
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Term
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Definition
| A word, letter, or group of words or letters that differentiates one seller's goods and services from those of competitors. |
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Term
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Definition
| All the techniques sellers use to inform people about and motivate them to buy their products or services. |
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Term
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Definition
| The analysis of markets to determine opportunities and challenges, and to find the information needed to make good decisions. |
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Term
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Definition
| Information that has already been compiled by others and published in journals and books or made available online. |
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Term
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Definition
| Data that you gather yourself (not from secondary sources such as books or magazines - costing more money due to research costs done by you). |
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Term
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Definition
| A small group of people who meet under the direction of a discussion leader to communicate their opinions about an organization, its products, or other given issues. |
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Term
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Definition
| The process of identifying the factors that can affect marketing success. |
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Term
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Definition
| All the individuals or households that want goods and services for personal consumption or use. |
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Term
| business-to-business (B2B) market |
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Definition
| All the individuals and organizations that want goods or services to use in producing other goods and services or to sell, rent, or supply goods to others. |
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Term
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Definition
| The process of dividing the total market into groups whose members have similar characteristics. |
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Term
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Definition
| Marketing directed toward those groups (market segments) an organization decides it can serve profitably. |
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Term
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Definition
| Dividing a market by cities, counties, states, or regions. |
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Term
|
Definition
| Dividing the market by age, income, and education level. |
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Term
| psychographic segmentation |
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Definition
| Dividing the market using the group's values, attitudes, and interests. |
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Term
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Definition
| Dividing the market by determining which benefits of the product to talk about. |
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Term
| volume (or usage) segmentation |
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Definition
| Dividing the market by usage (volume of use). |
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Term
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Definition
| The process of finding small but profitable market segments and designing or finding products for them. |
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Term
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Definition
| Developing a unique mix of goods and services for each individual customer. |
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Term
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Definition
| Developing products and promotions to please large groups of people. |
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Term
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Definition
| Marketing strategy with the goal of keeping individual customers over time by offering them products that exactly meet their requirements. |
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Term
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Definition
| The middle link in a series of organizations that distribute goods from producers to consumers. |
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Term
|
Definition
| A business owned and controlled by the people who use it- producers, consumers, or workers with similar needs who pool their resources for mutual gain. |
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