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1852723
Starting a Business
Descripción
Mapa Mental sobre Starting a Business, creado por Alice Rogers el 10/01/2015.
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gcse business studies unit 1
Mapa Mental por
Alice Rogers
, actualizado hace más de 1 año
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Creado por
Alice Rogers
hace más de 9 años
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Resumen del Recurso
Starting a Business
Why are businesses set up?
Financial
making a fortune, or just a steady income
Personal
independence, being your own boss, difficulties finding another job, or has an idea to put into practice
Helping others
e.g starting up a charity
What are the Aims of a business?
Profit
in order to survive
Market share
e.g to be the biggest in thier market
Quality
e.g to have the best quality product possible
Expanding
e.g as quickly/much as possible
Satisfy customers
improve customer service
Limit environmental Damage
'Not-for-Profit'
earn enough to cover costs, any extra (surplus) goes back into the business or to charity.
Public sector
owned by the government
Entrepreneurs
someone who takes on the risks of enterprise activity
reward of a successful enterprise activity is profit
can involve starting a new business or expanding an existing one
e.g. by finding a gap in the market
the will usually do this by using thier own money as well as loans etc.
Ownership structures
Sole Traders
Easy to set up
be your own boss
you decide what happens with profit
long hours
unlimited liability
Partnerships
more ideas
share ideas
more capital goes into the business
each partner is legally responsible for what the others do
some have limited liability
disagreements
PLC's
Limited liability
must have memorandum of association
must have article of association
owned by shareholders
Franchises
give other firms the rights to sell their products for a fee
branded franchises
buy the rights to trade under the mane of the franchisor
they pay a % of the profits
e.g fast food industry
do not have much control over the business
Aims and objectives
survival
Profit
growth
market share
environmental sustainability
ethical considerations
customer satisfaction
objectives help them achieve their aims
the objectives act as clear targets for for firms to work towards
businesses use the objectives to measure their success
numerical targets are easier to analyse and compare
non-numerical targets are trickier to use
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