1.5

• What is a shareholder?

  An individual or entity that owns shares in a company and has a financial interest in its success.
• What are some shareholders?

  owners

  employees

  customers

  managers

  suppliers

  local community

  pressure groups

  government
• What is e commerce?


  selling goods online
• Why is social media used in a business?

  promote the business

  personal relationships
• Why is digital communication important in a business?

  fast communication

  personalized offeres
• Why are payment systems important in a business?

  transferring and transacrions
• How does technology influence a business?

  sales

  increases sales

  faster service

  conveniencee to work 24/7

  costs

  lower for business

  spend less on paper

  less staff

  cheaper

  marketing mix

  more spend

  reach audience

  more relevance
• What is the purpose of the legislation?

  To protect consumer and employee rights
• What are the guidelines of legislation?

  the product must be good when sold

  no defects

  safety

  durability
• What is consumer protection law?

  customers have rights to return the product if

  broken or damaged

  unusable

  not what was shown
• When do customers not have laws?

  if product is:

  damaged

  customer knew defect before buying

  consumer changes their mind
• What is employment laws when it comes to recruitment?

  sating cant cater to people with disability

  cant ask for a certain age or gender
• What are the laws when it comes to pay?

  national minimum wage

  set hourly wages

  minimum costs
• Laws with discrimination?


  not hiring someone for no reason

  particular person for redunduncy

  paying someone less for no reason
• Laws for hiring with health and safety?


  right place to work

  stopping employees from getting hurt

  employer respponsibility
• What is the impact of legislation on a business>

  cost:

  training costs

  changed equipment

  increases pay

  administration pay

  licenses or professional services
• Consequences of meeting legal obligations?

  positive reputation

  stakeholders feel well-treated

  higher sales

  better candidates for jobs
• Consequences of not meeting legislation?

  business may be taken to court

  negative media stories

  ill reputation

  business closed
• What is the meaning of unemployment?


  People who can work but do not have jobs, discluding students and people with disabilities
• What is the meaning of the unemployment rate?

  how much of the population is unemployed
• what is the positive impact of unemployment on a business?

  larger pool of candidates to choose employees from

  reduce wage rates

  more entrepreneurs
• Impact of unemployment on income?

  fewer people have jobs

  no disposable salaries

  Spending power decreases
• What is inflation?


  Increase in the general price level of goods and services in an economy over a period of time.
• What is interest rate?


  The cost of borrowing money or the return on investment.
• What is the impact of a rising interest rate?

  cost of borrowing rises

  pay back more money

  level of demand falls

  pay back more loans

  need for the business to expand
• What is the impact of a fall in interest rate?

  borrowing money becomes cheaper

  likely to use credit

  lower cost of interest

  demand for goods and services
• What is corporation tax?

  charges the business on a range of taxes

  20% on all profits

  impacts the profit
• What is vat?


  value added tax

  extra money is charged so that they can pay the government
• What are exchange rates?

  prices of currency exchange

  your commissions asked

  change of value overtime
• How does technology impact communications?

  sharing info easy

  spreading news and discounts

  research and development done faster
• How does technology impact digital technology?

  communication across borders

  video conferencing

  reduces carbon footprint
• How does technology impact social media?

  faster communication

  personal relations

  easy
• How does technology impact laws?

  minimum wage

  correct rate and conditions to work
• How does technology impact interest rates?

  loans more expensive
• How does technology impact exchange rates


  exports get affected

  prices get affected
• What are business stakeholders?

  Individuals or groups affected by a business
• Why must a business consider its stakeholders?

  To operate successfully and ensure long-term success
• What are the different types of stakeholders and their objectives?

  • Owners (shareholders): Maximize returns on investment
  • Employees: Earn a living and have job security
  • Management: Meet company goals and maximize profits
  • Suppliers: Sell products/services and make a profit
  • Customers: Receive high-quality products at fair prices
  • Pressure groups: Promote a specific cause or agenda
  • Local community: Positive impact on the community
  • Government: Promote public good and protect citizens' interests

  
• What is the primary objective of shareholders?

  To maximize their returns on investment
• What do employees primarily seek from their jobs?

  Job security and fair compensation