Business Unit 1.6 Revision Puzzle
Across
- 2. is a form of external growth whereby two or more firms agree to form a new organization, thereby losing their original identities
- 5. Scale of operations refers to the size of ____
- 7. refers to M&As between firms that have similar operations but do not directly compete with each other
- 8. costs that do not change as production changes
- 9. reduction in average unit cost as a business increase in size
- 10. is a high-risk growth strategy that involves a business selling new products in new markets
- 14. Large companies that have a large market share can control the _____ by determining prices and deciding which services will be the industry standard
- 16. One of the advantages of being a big business is _____. Large firms have a greater chance of sustaining. They are less likely to fail and less likely to be taken over by another firm.
- 17. is an external growth strategy that occurs when a business amalgamates with a firm operating the same stage of production
- 19. is a growth strategy that combines the contributions and responsibilities of two different organizations in a shared project by forming a separate legal enterprise
- 22. Big businesses can afford to produce a bigger product range and in doing so spread the ____ of one product failing
- 23. One of the Advantages of being a small business is ________. Sometimes the market can be too small for the big businesses to get involved. Therefore the competition in the market will be limited.
- 25. is a growth strategy that occurs with the amalgamation of a firm operating at a later stage in the production process
- 26. costs of production per unit
- 28. occurs when a business grows by collaborating with, buying up or merging with another firm
- 29. Businesses that expand or increase their scale of operations can often use the larger scale to become more _____
- 30. ______ = fixed cost + variable cost or TC = FC + VC
Down
- 1. Total cost per unit
- 3. Type of Internal economies of scales states that: Big businesses can gain discounts by bulk buying – buying in large quantities
- 4. occurs when a business amalgamates with a firm operating in an earlier stage of production
- 6. is the most efficient scale of operation for a business which occurs at the level of output where average costs of production are minimized
- 11. = TC / Q
- 12. Small businesses can focus ________ where they want and where they believe the greatest profitability lies
- 13. costs that vary as production changes
- 15. are businesses that provide a diversified range of products and operate in an array of different industries
- 18. (MNC) is an organization that operates in two or more countries, with its head office usually based in the home country
- 20. is the growing integration and interdependence of the world’s economies, causing consumers around the globe to have increasingly similar habits and taste
- 21. increase in average unit cost as a business increase in size
- 24. expansion from within a business by expanding the range of products and/or locations
- 27. refers to an agreement between franchisor selling its rights to other businesses to allow to sell products under its name in return for a fee regular royals payment