AS Applied Business Lesson 1

What you will study In this unit you will study The aims and objectives that profit and not-for-profit businesses try to achieve. You will explore how the external environment, such as changing social values and competition, affects the ability of businesses to achieve their aims and objectives. You will study how businesses use market research and the marketing mix to identify and meet customer needs, explaining how these marketing activities help businesses to achieve their aims and objectives. You will explore the meaning of enterprise and enterprising behaviour and investigate why individuals and teams are vital to the success of business.

How you will be assessed You need to: Produce a portfolio of work investing the factors that have contributed to the success of a business, which: Describes the main aims and objectives of the business and the external environment factors which have affected the ability of the business to achieve aims and objectives, illustrating these with examples taken from the business.   Explain how marketing activities, enterprise skills and teams have contributed to the success of the business. Analyse how those marketing activities, enterprise skills and teams have contributed to the success of the business. Judge how the business has achieved its main aims and objectives and evaluate the key factors that have contributed to this.

Topics we will cover Business aims and objectives External Environment Marketing Activities Enterprise and Enterprise Skills Importance of Teams to the success of a Business.

Handbook You will each be given a yellow folder. This folder is yours to look after and will allow you somewhere to store your research and work. Please write your name on your folder. In your folder there is a AS Business Studies Handbook. This handbook has been designed to help support you through your research. In this handbook you will find the tasks listed which have been designed to help you achieve the best grade possible. Throughout the course I will give you clear deadlines for draft work and final copies and these are to be strictly kept to. At the back of this handbook is the AQA mark scheme and you should refer to this in order to maximise your marks.

Choosing your Business What business to Choose? In order to be able to complete this portfolio of work for your AS Applied Business course, you need to research a Business. This involves you having to look for a business that you will be able to write a detailed report on. Therefore, when choosing your business it needs to be Local Have an interest in. A business that you understand Have between 30-50 employees Be able to access information about. Once you have decided upon a business you need to speak to me and let me know what business you plan to do your research on. I will have to agree the decision before you are allowed to embark on your research of this business.

Your Assignment For this assignment you will study a Business of your choice. When choosing a business you need to make sure you will be able to access as much information as you can about the business in order for you to answer the tasks. It is imperative that you use your own initiative and carry out further research for specific tasks. Your assignment is split into a number of tasks. Each one should be handed in on the set deadline to ensure it will be marked. It should be word processed and have a header with your name, form, unit 1 and task number as well as the relevant assignment section e.g. A01, A02, A03 or A04. For all assignments you will submit a first draft to the deadline, it will then be marked within the time period that you had to produce it and then returned to you. You will have an opportunity to improve the task before your final submission. If drafts are not handed in you will lose the opportunity of a first mark and your parents will be informed of your approach to your study. It is essential that you keep all research conducted throughout the assignment and create a bibliography as you work through and attach this to the completed project.

How to layout your work Your work needs to be presented in a report format. You need to pretend that the person reading your work has no idea about your business and therefore you need a clear introduction explaining what your business does and what sector it operates within. You need to demonstrate in your work that you understand the Business concepts and therefore I would like you to explain what everything means. For example if you are talking about the Marketing Mix define the marketing mix first, outline what it includes and then apply the concept to your business and how they may use the marketing mix. The presentation of your report is really important. It needs to look professional and continuous.

How the lessons will be structured Before you go ahead with any task, I will provide you with a few theory lessons. Giving you the knowledge you will need to complete the task. After you have received all the theory input you will then have a number of lessons plus homework time to complete the task.

Business Aims and Objectives AS Applied Business Studies Theory Lesson 1

Task 1 and Task 2 Task 1- (A01) Introduction Write a brief introduction to your business. This should include an overview of what the business does, what sector the business operates in, the size and scale of the business e.g. number of employees, number of offices, locations, growth etc. No more than 1 side of A4. This lessons theory will help you answer task 1 and task 2 of your assignment. You should be taking detailed notes that you can refer to in your assignment write up.

Task 2 Task 2- (A01) Aims and Objectives Open a word document. This word document will be where you produce all your portfolio of work. Your work should be written in a report format and be continuous. What are the aims and objectives of your business (survival, meeting stakeholder needs, maximising sales revenue (income) maximising profits or growth.) Relate the Business aims and objectives to SMART objectives and discuss if you feel they are SMART. (Explain what SMART Objectives are in your answer.) How does your business measure their objectives? Gather information, quantitative information e.g. actual and target sale figures over time. Qualitative information, e.g. stakeholder opinions. How have their objectives changed over the last five years. State each objective and how it benefits the business. Use tables/graphs/diagrams where appropriate.

Range of different businesses Local, national and international business Public and private businesses. Public Sector businesses are those that have been set up or taken over by the government. These businesses are less likely to take risks as they operate for the benefit for the wider public rather than just to make a profit. E.g. NHS. Private Sector businesses are owned privately by an individual. Private owners risk their own money, so are determined for the business to succeed. E.g. Tescos, Virgin and lastminute.com In the UK there are very few public businesses left. Most businesses have been privatised.

Not-for-profit/voluntary businesses

Types of Ownership Sole traders Partnerships Private Limited Companies (LTD) Public Limited Companies

Key Stakeholders People who have an interest in the decisions that businesses make are called stakeholders. Customers Employees Suppliers Owners Trade Unions Employer Associations Local and National Communities Governments

Primary, Secondary and Tertiary Sector The primary sector stage is concerned with extracting the primary products of nature. Secondary Sector stage is taking the product and manufacturing or turning the product into something else another product. Tertiary Sector- bringing the product made to the local supermarket involves the tertiary sector, this also involves providing a service.

Business Purposes

Aims and Objectives of a Business Survival Meeting Stakeholder needs Maximising Sales Revenue Maximising Profit Growth Aims:

Private Sector Aims Four major strategies of private sector businesses. Break-even (where costs = sales) Survival Profit Maximisation Growth

Public Sector Aims Organisations in the public sector have broader aims than just focussing on profitability. A key reason for this is that important stakeholder groupings include national and local government and everyone that makes up society including the taxpayer. Cost Limitations- government are responsible for about half of all spending in Britain. Governments revenue is largely raised through taxation, therefore government has a responsibility to tax payers and therefore need to use the money carefully. Government are accountable for the spending. Value for Money- providing services at low cost, using resources to produce services, making the most efficient use of resources. Meeting government standards- governments set targets and standards which it expects providers of the public sector to meet. For example schools are assessed through exam results. Growth of range of provision- Provide a suitable range of provision. Make sure it meets real need in the community. For example from time to time new roads will need to be built to ease traffic flow.

SMART Objectives In business a good set of objectives should be SMART. This acronym stands for: Specific Measurable Achievable Realistic Time Related

How do businesses measure if they are achieving their aims and objectives? Quantitative Information- actual and target sales figures over time. Qualitative Information- Stakeholder opinions