Business

What is Business?

Look at these famous brand names. What have they done to be successful?

To answer this question we consider: 1.Finance 2.Operations 3.Marketing 4.Human Resources 5.External factors

What does the course look like?

• 3 Papers in Year 13 • Each 2 hours long • Each paper tests you on anything from the course • NO coursework

In order rank the top 5 world’s most valuable brands.

The answers are: 1. Apple 2. Google 3. Microsoft 4. Facebook 5. Coca Cola 6. Amazon 7. Disney 8. Toyota 9. McDonald’s 10. Samsung Why are these brands so successful?

1- Finance •The main aim is to be profitable. What does this actually mean?

•Cash flow and how to improve it •Budgeting •Reduced costs. What could you do to achieve this?

2- Operations/Production • How do you produce your products as cheaply as possible?

• How do you ensure they are of high quality?

• What materials should you use?

• How can you make sure you produce as much as you can in a day?

3- Marketing • Research (who are your customers and what do they want) • Price (how much should you price your product and will it sell?)

• Promotions and Advertising.

• Brand Loyalty (How do I get customers to return time and time again)

Human Resources • How do we motivate people to work harder?

• How many people do we need?

• What skills do we need from our employees?

• Why is communication between employees and employers important?

External Factors Finally we need to consider the impact of the changes around the world on businesses and their success/ The factors below all have an impact on how businesses behave: 1.Political 2.Environmental 3.Social 4.Technology 5.Legislation 6.Economy, 7.Competition

Innocent smoothies • • • • • •

Set up in 1999 selling healthy fruit juice drinks.

By 2007 had achieved a turnover of £100 million.

Bought by Coke in 2009.

Expanded in to different product areas What was the secret to their success?

Click on the picture for a link to an article all about the business.

Using the factors mentioned previously what is it about Innocent that has made them so successful?

Strategies for success • Successful businesses use various strategies to grow bigger and bigger into the large brands we know.

• They grow by looking at the products that they already produce and the markets (places) they choose the sell them in.

• Click on the image and watch the video.

• How and why did innocent expand into international markets?

Finally-some strategies are very risky for a business….

• Look at Coca Cola’s strategies over the years. (click on the image) • Rank them in order of risk.

• Look at the most risky strategy on your list. Why is it the most risky strategy?

• Why do you think Coca Cola would be willing to take that risk