External Environment
Computer Aided Manufacturing
A computer controls the machinery in production
Inflation
A general rise in price levels
Corporation Tax
A tax on business profits
Value Added Tax (VAT)
A tax on the purchase of goods and services
Contents of a Business Plan
Aims and Objectives, marketing plans, financial forecasts
Voluntary deduction
An employee agrees for this to be taken out of their salary
Purpose of a Business Plan
Can help get a loan from the bank. Makes the business more organised,
Copyright Law
Creators of work have the rights to control how their work is used.
Publishing/Graphics
Design logos/promotions
Computer Aided Design
Designs are displayed digitially often in 3D to be edited and tested.
Competition Law
Ensures fair competition , that a business hasnt too much power in a market
Unforeseen events
Events a business cannot prepare for eg flood, earthquake
Consumer Law
Goods must be of satisfactory quality, fit for purpose and as described
Environmental Law
Helps protect the environment eg reducing pollution a business creates
Recession
Lower demand in the economy for products
Ethical
Morally doing the right thing
Statutory Deduction
Must be taken out of an employees salary by law eg Income Tax, National Insurance
Salary
Paid monthly and are a fixed amount.
Wages
Paid weekly and can vary based on hours worked
Net Pay
Pay an employee receives after deductions
Gross Pay
Pay an employee receives before deductions
Spreadsheets
Produce accounts, produce graphs
Employment Law
Protects employee rights eg must have contracts, minimum wage
How a business can be ethical
Recycling, treating employees well, treating suppliers well
How a business can be sustainable
Reduce packaging, save energy, recycle
Income Tax
Statutory deduction from an employees salary
Databases
Store customer details, check stock levels, staff records
SPICED
Strong Pound Imports Cheaper Exports Dearer
Interest Rate
The cost of borrowing money
Health and Safety Law
There is a safe work environment/conditions
Word Processing
Type letters to customers
Exchange Rate
Value of one currency expressed as another
