Business expansion
Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
Help!
|
|
||||
|---|---|---|---|---|---|
| 3 types of reasons for business expansion and growth | show 🗑
|
||||
| show | Protecting essential raw material supplies, labour supplies, Economies of scale, Profitability/financial strength, Diversification., Eliminate competition, Reduce costs and risk, Survive economic shocks
🗑
|
||||
| show | Reverse integration into the chain of supply may safeguard the company’s supply chain, guaranteeing a supply of stock for resale.
🗑
|
||||
| Economies of scale | show 🗑
|
||||
| show | Strength through sheer size. A large business enterprise commands prestige, influence and power, Being a big player with a large market share will obviously strengthen the enterprise in the market place. Also able to weather the storms of recession.
🗑
|
||||
| show | A business spreading its risks by getting into a different line of business. For example adding products, or selling to foreign countries.
🗑
|
||||
| Aggressive reasons for expansion | show 🗑
|
||||
| Eliminating competition | show 🗑
|
||||
| show | Expansion may allow a company to acquire new technology and new products developed by competitors. Helps to acquire certain patents, processes, expertise or technologies that enhance the overall profitability of the business in the short and long term.
🗑
|
||||
| Psychological reasons for expansion | show 🗑
|
||||
| Short Term Sources of Finance | show 🗑
|
||||
| Bank Overdraft | show 🗑
|
||||
| Accrued Expenses | show 🗑
|
||||
| Trade Credit | show 🗑
|
||||
| Medium Term Sources of Finance | show 🗑
|
||||
| Hire Purchase | show 🗑
|
||||
| show | Involve the renting of an asset from a finance company. A lump sum is not required,full use and possession of an asset provided,fixed and regular payments to the company. While leasing costs more than cash purchase it can help the cash flow of a business.
🗑
|
||||
| show | Mortgage, long term loan, debenture, equity capital, share capital, owners capital, government grants.
🗑
|
||||
| show | If the company is a Private limited company and the money needed to purchase an asset could be raised by selling ordinary shares to new or existing shareholders. No security or repayments are required for the company.
🗑
|
||||
| Equity capital | show 🗑
|
||||
| show | Is loans from financial institutions, is high risk as interest and capital must be repaid, irrespective of profitability.
🗑
|
||||
| show | Growth, Exporting, Licensing, Franchising.
🗑
|
||||
| show | Merger, Takeover/Acquisition, Strategic Alliance/Business Alliance/Joint Venture.
🗑
|
||||
| show | A friendly/voluntary amalgamation or joining together of two or more firms for their mutual benefit, trading under a common name. It involves mutual consent of two equal companies to combine and become one entity.
🗑
|
||||
| show | This occurs when one company purchases 51% or more of the shares in another company in either a hostile or friendly manner.
🗑
|
||||
| show | An agreement between two or more independent businesses to pool resources and/or expertise to work together for their mutual benefit over a specified period of time or to complete a specified project, while all parties maintain their separate identities
🗑
|
||||
| show | Arrangement whereby the existing business with the proven business mode grants a contractual licence/permission to the person setting up the business to use its name, logo & business idea in return for a fee or percentage of profits/sales
🗑
|
||||
| Organic Growth | show 🗑
|
||||
| Subsidiaries | show 🗑
|
||||
| Debentures | show 🗑
|
||||
| show | County Enterprise Boards (for small firms) Enterprise Ireland (for Exporting Firms) IDA Ireland (for foreign owned firms in Ireland)
🗑
|
Review the information in the table. When you are ready to quiz yourself you can hide individual columns or the entire table. Then you can click on the empty cells to reveal the answer. Try to recall what will be displayed before clicking the empty cell.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Created by:
Lanaftz
Popular Business sets