Unit one business and management

Social factors in the external environment take account changes in

• Business cycles

• Corporate tax rates

• Customs and habits

• Exchange rates

Which of the following would not be part of the tertiary sector

• Education

• Farming

• Insurance

• Tourism

Which management tool enables managers to deal with stakeholder conflict?

• Contingency Planning

• Crisis Management

• Perception mapping

• Stakeholder mapping

In 2006, L'Oreal acquired The Body Shop. This is an example of

• A management buy-out

• A merger

• Diversification

• Horizontal Integration

A growth strategy that combines the contribution and responsibilities of two different organizations in a shared project forming a separate legal identify.

An organization that operates in two or more countries, with its head office usually based in the home country.

Internal diseconomies of scale can be caused by

• management control diluted because of more employees

• being unable to buy inventory at a discount

• Higher advertising costs

• Traffic congestion

A disadvantage of a merger is

• Rights to new technology and human resources

• Market power

• Synergy

• Corporate culture

Declaration of a firm's overall purpose. It forms the foundation for setting the objectives of the business.

Consumers are the people or businesses that

• Buy goods and services

• Use a good or a service

• Pay for a good or service