What is an aim
A long term goal that the business strives to achieve
What is an objective
Short term, specific and measurable targets that guide day to day operations
What is business growth
When a business expands its size and operations over time
What is internal growth/ organic growth
Where the business grows through its internal structures
What is external growth
The growth of a business by a merger or takeover where two
What is forwards vertical growth
Taking over/merging with another business that it supplies goods/services to
What is backwards vertical growth
Taking over/ merging with a business that supplies its goods/ services
What is diversification
Taking over/ merging with another business which has no connection
What is horizontal growth
A merger/takeover where two businesses are involved in similar operations
What is a business plan
A simple plan which sets out details of how the product/ services are sold, how it will be financed, marketed and details of market research findings
What is capital
What is a dividend
What is an entrepreneur
Someone who takes the risk of starting up and running a business
Characteristics of an entrepreneur
Creative, determined, risk- taking and confident
What are stakeholders
People with an interest in the operations of a business
Examples of external stakeholders
Local community, government, customers and suppliers
Examples of internal stakeholders
Owners and employees
