UNIT 1 - UNDERSTANDING BUSINESS ACTIVITY

Syllabus Overview

This section introduces the underlying ideas and concepts of business and includes the purpose and nature of business activity and how businesses can be classified. Enterprise and entrepreneurs, and why some businesses grow while others remain small are further important issues. How business size can be measured, types of business organization, business objectives and stakeholder objectives are the concluding topics

Understanding Business Activity

Why is the purpose of business activities?

What is opportunity cost?

Why is specialization important?

How to add value in business?

Classification of businesses

How are businesses classified?

What are industrial structures?

Enterprise, business growth and size

Who are entrepreneurs?

How do you measure the size of a business?

What is a business plan?

Why should governments support businesses?

How does government support businesses?

How does a firm grow?

Why does a firm need to grow?

Why some firms don’t grow?

Why do some businesses fail?

Types of business organization

Which are the different forms of organization and which is better?

Business objectives and stakeholder objectives

What are business objectives?

Who are business stakeholders?

What is the difference between a private and public sector business objective?

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REFERENCE

Syllabus Cambridge IGCSE™ Business Studies 0450 by CAIE