BUS

internal customers

individuals and units within the firm that receive services from other individuals or units.

secondary data

information that has already been complied by others and published in journals and books or made available online

marketing mix

ingredients that go into a marketing program: product, price, place, and promotion.

participative (democratic) leadership

involves managers and employees working together to make decisions.

focus group

is a group of people who meet under the direction of a discussion leader to communicate their opinions about an organization, its products, or other given issues

communicate a vision and rally others around that vision, set corp values, promote corp ethics, embrace change, stress accountability and responsibility

leaders must be

monopoly

one seller controls the total supply of a product or service and set the price

Certified public accountant

an accountant who passes a series of exams set by american institute of certified public accountants

long term financing

covers funds needed for more than a year (usually 2 to 10 years.

marketing

as the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings

few customers, customers are relatively large, geographically concentrated, more rational and less emotional than consumer buyers, tend to be direct sales, personal selling.

b2b factors compared to consumer markets

goals

broad long term accomplishments an org wants to attain; team process

perfect competition

competiton is which there are many sellers in a market and none is large enough to dictate the price of a product

consumer market

consists of all the individuals or households that want goods and serves for personal consumption or use and have the resources to buy them

financial managers

examine financial data prepared by accountants and recommend strategies for improving the financial performance of the firm

command economies

exist when he gov largely decides what goods and serves will be produces, who gets them, and who the economy will grow. socialism and communism

free-market economies

exist when he market largely determines what goods and services get produced, who gets them and how the economy grows. Captialism

mixed economies

exist where some allocation of resources is made by the market and some by the government.

knowledge management

finding the right information, keeping the information in a readily accessible place, and making the information known to everyone in the firm

public accountant

for a fee, provides accounting serves to individuals or businesses. Such services can include designing an accounting system, helping select the correct software to run the system, and analyzing an organizations financial performance.

financial accounting

for people primarily outside org. company owners, managers and employees, creditors, and lenders, employee unions, customers, suppliers, gov agencies, and gen public.

Finance

function in a business that acquires funds for the firm and manages them within the firm; preparing budgets; doing cash flow analysis; and planning for the expenditure of funds on such assets as plant,equipment, and machinery

debt financing

funds raised through various forms of borrowing that must be repaid

directing

giving assignments, explaining routines, clarifying policies, and providing feedback on performance

enabling

giving workers the education and tools they need to make decisions. key to success for empowerment

human relations skills

include communication and motivation; they enable managers to work through and with people. Skills associated with leadership-coaching, more ale building, delegating, training and development, and supportiveness are also human relations skills

external customers

include dealers, who buy products to sell to others, and ultimate customers (also known as end users) such as you and me, who buy products for their own personal use

organizing

includes designing the structure of the organization and creating conditions and systems in which everyone and everything works together to achieve the organization's goals and objectives

Middle Management

includes general managers, division managers, and branch and plant managers who are responsible for tactical planning and controlling

supervisory management

includes those directly responsible for supervising workers and evaluating their daily performance; they're often known as first line managers (or supervisors) because they're the first level above workers.

financial management

is the job of managing a firm's resources to meet its goals and objectives

contingency planning

is the process of preparing alternative course of action the firm can use if its primary plans don't work out; crisis planning is part of this

operational planning

is the process of setting work standards and schedules necessary to implement the company's tactical objectives. focuses on specific supervisors, department managers, and individual employees. daily and weekly operations

oligopoly

just a few sellers dominate the market

monopolistic competition

large number of sellers produce very similar products that buyers nevertheless perceive as different ; product differentiation

autocratic leadership

leadership style that involves making managerial decisions without consulting others

annual report

yearly statement of the financial condition, progress, and expectations of an org.

budget

sets forth managements expectations for revenues and, on the basis of those expectations, allocates the use of specific resources throughout the firm; depends heavily on the accuracy of the firms balance sheet, income statement, statement of cash flows, and short term and long term financial forecasts, which all need to be as accurate as possible.; capital, cash, and operating or master budget

ethics

society's accepted standards of moral behavior, that is, behavior accepted by society as right rather than wrong

government and not for profit accounting

suports orbs whose purpose is not generating a profit but serving ratepayers, taxpayers, and others according to a duly approved budget.

relationship marketing

tends to lead away from mass production and toward custom-made goods and services

decision making

choosing among two or more alternatives, which sounds easier than it is

volume (or usage) segmentation

separating the market by usage (volume of use)

Product, price, place, promotion

4 p's

trial balance

a summary of all the financial data in the account ledgers that ensures the figures are correct and balanced

intuits, quick books, and sage's peachtree

accounting software

business to business market (B2B)

consists of all the individuals and organizations that want goods and services to use in producing other goods and services or to sell, rent, or supply goods to others

top management

highest level, president and other key co execs who develop strategic plans. CEO, CFO, COO, CIO

Certified management accountant

is a professional accountant who has met certain educe and experience requirements, passed a exam, and certified by Institute of certified management accountants

double entry bookkeeping

practice of writing every business transaction in tow places

long term forecast

predicts revenues costs and expenses for a period longer than 1 years, sometimes as long as 5 to 10 years.

short term forecast

predicts revenues costs and expenses for a period of one year or less

cash flow forecast

predicts the cash inflows and outflows in future periods, usually months or quarters

transparency

presentation of a co's facts and figures in a way that tis clear and apparent to all stakeholders

financial controls

process in which a firm periodically compares its actual revenues, costs, and expenses with its budget.

ledger

specialized accounting book or computer program in which information from accounting journals is accumulated into specific categories and posted so that managers can find all the information about one account in the same place

objectives

specific short term statements detailing how to achieve the organizations goals

economics

study of how society chooses to employ resources to produce goods and services and distribute them for consumption among various competing groups and individuals

undercapitalization, poor control over cash flow, and inadequate expense control

3most common reasons a firm fails

accounting cycle

6 step procedure that results in the preparation and analysis of the major financial statements

1. top management must adopt and unconditionally support an explicit corporate code of conduct 2. employees must understand that senior management expects all employees to act ethically 3. managers and others must be trained to consider the ethical implications of all business decisions 4. An ethics office must be set up with which employees can communicate anonymously 5. Involve outsiders such as suppliers, subcontractors, distributors and customers 6. the ethics code must be enforced

6 steps to improve bus

technical skills

ability to perform tasks in a specific discipline (such as selling a product or developing software) or department (such as marketing or info systems)

Certified internal auditor

accountant who has a bachelor degree and 2 years of experience in internal auditing, and who has passed an exam administer by the institute of internal auditors

1. analyze soruce documents, 2. record transactions in journals 3. transfer journal entries to ledger 4. take trial balance 5. prepare financial statements (balance sheet, income statement, statement of cash flows) 6. analyze financial statements

accounting cycle

demographic segmentation

age income and education level; most widely used

capitalism

an economic system in which all or most of the factors of production and distribution are privately owned and operated for profits

mission statement

an outline of the fundamental purposes of an organization; top management and others in the firm set this. Should address orgs self concept, philosophy, long term survival needs, customer needs, social responsibility, nature of the product or service.

marketing research

analysis of markets to determine opportunities and challenges, and to find the information needed to make good decisions

product

any physical good, service, or idea that satisfies a want or need, plus anything that would enhance the product in the eyes of consumers, such as the brand name

1. set clear performance standards 2. monitor and recording actual performance 3. comparing results against plans and standards 4. communicating results and deviations to the appropriate employees 5. taking corrective action when needed and providing positive feedback for work well done

controlling consists of five steps

primary data

data that you gather yourself (not from secondary sources such as books and magazines)

1. define the situation 2. describe and collect needed info 3. develop alternatives 4.develop agreement among those involved 5. decide which alternative is best 6. Do what is indicated 7. Determine whether the decision was a good one, and follow up

decision making process

integrity based ethics coeds

define the organizations guiding values, create an environment that supports ethically sound behavior, and stress shared accountability

marekt pric

determined by supply and demand

one-to-one marketing

developing a unique mix of goods and services for each individual customer.easy to do in B2B markets. now possible in consumer markets too.

geographic segmentation

dividing a market by cities, counties, states, or regions

benefit segmentation

dividing the market by determining which benefits of the product to talk about

psychographic segmentation

dividing the market using group's values, attitude, and interests

communism

economic and political system in which the government makes almost all economic decisions and owns almost all the major factors of production.

socialism

economic system based on the premise that some, if not most, basic businesses should be owned by the government so that profits can be more evenly distributed among the people

compliance based ethics codes

emphasize preventing unlawful behavior by increasing control and penalizing wrongdoers.

controlling

establishes clear standards to determine whether an organization is progressing toward its goals and objectives, rewarding people for doing a good job, and taking corrective action if they are not

1. is my proposed action legal 2. is it balanced 3. how will it make me feel about myself

ethics questions

independent audit

evaluation and unbiased opinion about accuracy of a companies financial statements

conceptual skills

let the manager picture the org as a whole and see the relationships among its various parts. They are needed in planning. org, controlling, systems development, problem analysis, decision making, coordinating, and delegating.

microeconmics

looks at the behavior of people and organizations in markets for particular products or services

macroeconomics

looks at the operation of a nation's economy as a whole

brain drain

loss of the best and brightest people to other countreis

capital expenditures

major investments in either tangible long term assets such as land, buildings, and equipment, or intangible assets such as patents trademarks and copyrights.

planning

management function that includes anticipating trends and determining the best strategies and tactics to achieve organizational goals and objectives

free rein leadership

managers set objectives and employees are free to do whatever is appropriate to accomplish those objectives

find opportunities, conduct research, identify target market: design a product to meed the need based on research, product testing, determine a brand name, design a package, set a price, select a distribution system, design a promotional programs, build relationships with customers

marketing

target marketing

marketing directed toward those groups (market segments) an organization decides it can serve profitably

leading

means creating a vision for the organization and communicating, guiding, training, coaching, and motivating others to achieve goals and objectives in a timely manner

mass marketing

means developing products and promotions to please large groups of people.

empowerment

means giving employees the auth to make a decision without consulting the manager and the responsibility to respond quickly to customer requests

accounting system

method we use to record and summarize accounting data into reports

equity financing

money raised from within the firm, from operations or through the sale of ownership in the firm (stock or venture captial)

vision

more than a goal; it's a board explanation of why the organization exists and where it's trying to go; gives an organization a sense of purpose and a set of values that unite workers in a common destiny;normally top management establishes this

ethical dilemmas

must choose between equally unsatisfactory alternatives

managing day by day needs of the business, controlling credit operations, acquiring needed inventory, making capital expenditures

operational needs for which funds are needed

strategic planning

process of determining the major goals of the org and the policies and strategies for obtaining and using resources to achieve those goals; done by top management; decide which customers to serve, when to serve them, what products to sell, and geographic areas to compete.

tactical planning

process of developing detailed short term statements about what is to be done, who is to do it, and how; managers to teams of managers at lower levels of org normally do this. setting annual budgets and deciding on other activities necessary to meet strategic objectives

niche marketing

process of finding small but profitable market segments and designing or finding products for them

environmental scanning

process of identifying factors that can affect marketing success: global, sociocultural, and technological

test marketing

process of testing products among potential users

managerial accounting

provides information and analysis to managers inside the organization to assist them in decision making; concerned with measuring and reporting costs of production, marketing, and other functions, preparing budgets(planning), checking whether or not units are staying within their budgets (controlling), and designing strategies to minimize taxes.

journal

record book or computer program where accounting data are first entered

bookkeeping

recording of business transactions

accounting

recording, classifying, summarizing, and interpreting of financial events and transactions in an organization to provide management and other interested parties the financial information they need to make good decisions about its operation.

staffing

recruiting, hiring, motivating, and retaining the best people available to accomplish the company's objectives

short-term fiancing

refers to funds needed for a year or less

demand

refers to the quantity of products that people are willing to buy at different prices at a specific time

auditing

reviewing and evaluating the if nor used to prepare a company's financial statements

sarbanes oxley act

scrutiny of the accounting industry intensified and resulted in this us congress passage. created new gov reporting standards for publicly traded companies. created the Public Company Accounting Oversight board, charged with overseeing AICPA. : prohibits accounting firms from providing certain non-auditing works (such as consulting services) to companies they audit, strengthens protections of whistleblowers, requires CEOs and CFo's to certify accuracy of financial reports and has penalties, prohibits corp loans to director sand execs of company, set the 5 member PCAOB under the SEC to oversee accounting, felony for altering or destroying audit docs. new rules for auditing and consulting to ensure integrity of auditing process.

market segmentation

the process of dividing the total market into groups whose members have similar characteristics

management

the process used to accomplish organizational goals through planning, organizing, leading, and controlling people and other organizational resources

supply

the quantitates of products manufacturers or owners are willing to sell at diff prices at a specific time

state capitalism

the state runs some business instead of private owners

resource development

the study of how to increase resources (say, by getting lidl from shale, and tar sands) and create conditions that will make better use of them(like recycling and conservation)

promotion

the techniques sellers use to inform people about and motivate them to buy their products or services

tax accountant

trained in tax law and is responsible for preparing tax returns or developing tax strategies

organization chart

visual device that shows relationships among people and divides the organization's work; shows who reports to whom

brand name

word letter or group of words or letters that differentiates one seller's goods and services from those of competitors.

private accountant

works for a single firms, gov agency, or nonprofit org.