Business key terms

Energy obtained from naturally replenished sources, such as sunlight, wind and flowing water.

A resource that is naturally replenished and can remain available if it is managed responsibly.

The stock level at which a business places a new order.

The amount of stock ordered in a delivery.

A sample whose characteristics reflect those of the wider group the business wants to understand.

The views people hold about a business, influenced by experiences, reviews and what others say about it.

Work undertaken to develop new products or improve existing products and production methods.

Bringing business activities previously moved overseas back to the home country.

The people, materials, equipment and other things a business needs to operate.

A duty or area of work for which an employee is answerable.

A business that sells goods to final consumers, usually in quantities suitable for personal or household use.

Profit kept in a business to finance its activities rather than distributed to its owners.

Teaching existing employees new skills so they can carry out changed tasks, such as using a new computer system.

Income earned by a business from selling goods or services, before subtracting costs. Also called sales revenue or turnover.

A benefit that an entrepreneur may gain from starting or running a business.

The possibility that a business decision will lead to an unfavourable outcome, such as losing money.

A willingness to commit resources or make decisions when the outcome is uncertain and there is a possibility of loss.

The use of programmable machines to carry out physical tasks, such as assembling or painting products.

Ongoing payments by a franchisee to a franchisor, often calculated as a percentage of sales revenue.

Regular expenses involved in operating a business, such as wages, utilities and supplies.

A fixed annual amount of pay, usually paid in monthly instalments.

Raising money by selling items owned by a business, such as equipment, vehicles or buildings.

The stages through which a customer moves, from initial contact with a business or product to purchasing and receiving support afterwards.

An incentive or activity designed to encourage purchases, often by offering a temporary benefit such as a discount or free gift.

The income earned from selling goods or services, calculated as selling price multiplied by quantity sold.

The total monetary value of sales over a given period, also called sales revenue.

The number or quantity of products sold over a given period.

The group of people included in a piece of research.

A standard requiring goods to meet what a reasonable person would consider acceptable, taking account of factors such as their price and description.

A resource whose availability is limited relative to demand for it.