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
What is a Business Concept? A business concept is a statement that describes the reach and reason of existence of a given business idea. In other words, it sums up the crucial elements that define the business. A business concept is a full, well-thought out construct of all of the key items required to build … Continue reading Business Concept
What is a Business Case? A business case is a document where a proposed action is presented and coherently supported with detailed reasoning and expected net benefits for the business. This term commonly applies to arguments and results that accompany an intended decision or project. A business case is the most important document you will … Continue reading Business Case