Business- Exam Prep

Which one of these is not a formal business

• Discovery Medical Aid

• A Beauty Salon

• A fruti vendor

• Spar

Identify 3 characteristics of an informal business

• Do not pay tax.

• Usually comprised of only the business owner, or sometimes family members, or one or two employees.

• Keep records of business transactions.

• Usually operate from a fixed place such as an office.

South African __________ Services

Are informal businesses important for the South African Economy?

• Yes

• No

Identify 2 advantages of an informal business.

Identify two disadvantages of a formal business

_____________ employ less than five people, often just the owner. Usually informal and operate in the community.

• Mini Business

• Micro enterprise

• Small business

These businesses make goods by taking raw materials or unfinished products and turning them into finished goods. This process is often done in a factory, using machines and equipment.

• Making Business

• Service Shop

• Manufacturing Business

____________ is the buying and selling of goods.

A is an illness that occurs suddenly in large numbers, affecting a greater number of people in a community than normal.

• Disease

• Natural disaster

• Epidemic