Business Growth GCSE

Why might a business want to grow?

• More Profit

• Give employees more time off

• To meet regulations

• To sell less products

Why might a business want to grow?

• To gain more competition

• To gain more customers

• To reduce the amount of stores

How could we measure the size of a Business?

• Charity fundraising

• Quality of their adverts

• Sales revenue

• How much they spend on advertising

Spot the odd one out

• Increasing market share

• To be more ethical

• Reducing competition

• Increasing profits

Which of these isn't recognised as a motive for business growth

• The Risk Motive

• Managerial Motive

• The All or Nothing Motive

• The Cost Motive

Market share is the _________________ of the market that you control.

• proportion

• propulsion

• quality

• customers

• weight

A definition of Economies of scale is :-

• A reduced unit cost gained from an increase in production

• Increasing your turn over through reducing your sales prices

• Taking over suppliers

• Diversifying by launching new products

Three things that might hold back a company's ability to grow are :-

• Increasing demand for their products

• Restricted funds

• Being a Private Limited Company

• Limited skills and experience

• Proprietors are happy with their current lifestyle

Which of these is not a type of Economy of Scale?

• Managerial

• Technical

• Marketing

• Purchasing

• Public relations

What is reduced by Economies of Scale

• Total production Costs

• Total sales Revenue

• Unit costs

• Salary paid to employees