Making the business effective GCSE Business Studies

Making the business effective GCSE Business Studies; please watch the lesson below and take the tests to get you ready for your upcoming exam.

1.4.1 The options for start-up and small businesses

The concept of limited liability:
● limited and unlimited liability
● the implications for the business owner(s) of limited and unlimited liability.
The types of business ownership for start-ups:
● sole trader, partnership, private limited company
● the advantages and disadvantages of each type of business ownership.
The option of starting up and running a franchise operation:
● the advantages and disadvantages of franchising.

1.4.2 Business location

Factors influencing business location:
● proximity to: market, labour, materials and competitors
● nature of the business activity
● the impact of the internet on location decisions: e-commerce and/or fixed premises.

1.4.3 The marketing mix

What the marketing mix is and the importance of each element:
● price, product, promotion, place.
How the elements of the marketing mix work together:
● balancing the marketing mix based on the competitive environment
● the impact of changing consumer needs on the marketing mix
● the impact of technology on the marketing mix: e-commerce, digital communication.

1.4.4 Business plans

The role and importance of a business plan:
● to identify: the business idea; business aims and objectives; target market (market research); forecast revenue, cost and profit; cash-flow forecast; sources of finance; location; marketing mix.
The purpose of planning business activity:
● the role and importance of a business plan in minimising risk and obtaining finance.