Edexcel GCSE Business key terms

A person who works for a business in return for pay.

Keeping existing employees working for the business rather than losing them to other employers.

Laws governing the relationship between employers and workers, including recruitment, pay, discrimination and working conditions.

An email containing business news, product information or offers sent to people on a business’s mailing list.

A person who sets up and runs a business, organising resources, making business decisions and taking risks.

The activity of setting up and running a business by organising resources, making decisions and taking risks.

A business that sells goods to consumers online.

Too much communication, overloading people with messages and information.

The value of one currency expressed in terms of another currency.

A good or service sold to a customer in another country.

An action intended to prolong the sales life of an existing product by maintaining or increasing demand.

Finance obtained from outside a business, such as borrowing from lenders or raising money from investors through shares.

A factor outside a business’s immediate control that can affect its activities, decisions or performance.

Expansion through combining with or gaining control of another business, using a merger or takeover.

Filling a vacancy by appointing someone from outside the business.

A certification system with standards intended to support fairer trading conditions for producers and workers, including farmers in developing countries.

A response from the receiver of a message that helps the sender check understanding or clarify information.

Numerical information about a business’s finances, including revenue, costs, profit and cash balances.

The loss of money through business activity, including money an owner has invested.

A business target concerned with financial performance, such as profit, sales or financial security.

Having sufficient income and reserves to meet financial commitments and cope with unexpected expenses.

Suitable for the purpose for which goods are supplied.

A long-term resource owned by a business and used in its operations, such as machinery, premises or a vehicle.

A cost that does not change with the level of output, such as rent or business rates.

A physical site from which a business operates, such as a shop, café, office or warehouse.

An organisational structure with few levels of authority, usually a short chain of command and relatively wide spans of control.

An arrangement allowing employees some choice over when they complete their required working hours, within limits agreed with the employer.