What is a Business Segment? A business segment is a part of a company that can be identified by the products it provides or by the services or geographical locations it operates in. In other words, it a single part of a business that can be distinctly separated from the company as a whole based … Continue reading Business Segment
What is a Business Plan? A business plan is a written document that describes in detail how a business—usually a startup—defines its objectives and how it is to go about achieving its goals. A business plan lays out a written roadmap for the firm from marketing, financial, and operational standpoints. Business plans are important documents … Continue reading Business Plan
What is a Business Owner? A business owner is an individual who owns and operates a business, small or large, with the aim of deriving profit from its successful operation. He or she typically makes all important decisions for the business, whether related to the product/service on offer or its infrastructure, and may work with … Continue reading Business Owner
What are Business Function Costs? Business function costs are the total sum of all expenses both fixed and variable for a specific step in the value chain. In other words, it’s the total cost associated with each step a product takes from the manufacturer to the consumer. Business function cost is the sum of all … Continue reading Business Function Costs
What is a Business Environment? A business environment is a set of elements closely involved with a business’ activities. These factors have an internal or external influence over the company’s results, performance and growth. Definitions of Business Environment The term ‘business environment’ connotes external forces, factors and institutions that are beyond the control of the … Continue reading Business Environment
What is the Business Entity Principle? The business entity concept is an accounting principle that requires a business to be accounted for and treated as a separate entity from its owners. In other words, GAAP realizes that a business and its owner are two different things. The business is the entity that attempts to generate … Continue reading Business Entity Principle
What is a Business Cycle? A business cycle, also called economic cycle, is a period of changing economic activity comprised of expansions and contractions as measured by real GDP. In other words, it’s a period of time where the economy grows, peaks, shrinks, and bottoms out. Then the cycle repeats itself. A business cycle is … Continue reading Business Cycle