IGCSE, A Level Business Student Forum

[KN]Market share measures the percentage of total sales a business holds in its industry but it does not always give a full picture of size.
[APP]Forexample an older and more established business may have a large market share because it has been operating for many years while a newer business might ...

[KN] A limitation of using capital employed as a way to compare business size is that not every business spends a large amount of money on its assets
[AN] For example an airline may invest on new aeroplane whereas a different airline may use old aeroplane with the same amount of efficiency
[AN ...

[KN] A limitation of using number of employees to compare business size is that not all business require labour inorder to run there business efficiently
[APP] For example a car factory may use more machinery as compared to a hairdresser which requires more physical human labour due to it being a ...

[KN] Capital employed is a good way measure the size of a business as it helps shows how much money it has invested inorder for it to run efficiently
[APP] For instance airlines are an example for capital employed businesses as they invest in assets like aeroplane as well as equipment for there ...

[KN] Value of sales can be used to measure the size of the business as it helps show how much revenue a business is earning
[APP] For instance a smartphone company like Nokia may earn less income as compared to a larger smartphone industry like Apple or Samsung
[AN]Therefore this shows that higher ...

[KN] Number of employees can be used to measure the size as it shows that the higher the number of employees the greater the size of the business
[APP] For instance a large car manufacturing business may employ more workers as compared to a small car manufacturing businesses this shows the larger ...

[KN] A private limited company has the benefit of limited liability whereas a sole trader has unlimited liability
[APP] For instance a sole trader that runs a bakery may be in high debt and they will have to sell there personal assets like their car in order to pay of there debt, on the other hand ...

[KN]A reason why an entrepreneur might want to set up a private limited company may be because they will have the benefit of limited liability
[APP] For example if the owner of the business fails to pay their debt their personal asset will not be at risk such as their car or house.
[APP]this will ...

[KN]A sole trader business is owned and controlled by one person
[ANN]For example a toy store is owned by one person and they are in charge of making all the business decisions themselves
[AN] This helps the owner to make fast decisions which will lead to the owner fulfilling consumer demand ...

[KN]development of the internet has led to growth in the tertiary sector as it has created new service industries
[APP] For example platforms like Amazon or Daraz allows people to shop online providing new retail service businesses
[AN]Hence this creates millions of jobs in the IT industry which ...

[KN] Transport services are important for a manufacturing business as it helps deliver raw materials to factories and then finished goods to the customer
[ANN] For example a truck company delivering parts to a furniture factory guarantees the factory gets all the raw materials delivered on time so ...

[KN]The tertiary sector has grown in developed economies as it has become an attraction job due to its high disposable income
[APP]For example in the UK a higher disposable incomes means that people are likely to spend more on luxury items like holidays and restaurants
[AN] This will lead to more ...

[KN]a way manufacturing business can be affected by new environmental laws is that it can increase cost of production
[APP] For example a manufacturing business must install new filters in order to reduce pollution
[AN] This will lead to an increase in expenses which will result in the profit margin ...

[KN]One reason for de-industrialization in developed countries is due to the rapid growth of the tertiary sector
[APP] For example more jobs with higher disposable income are in the tertiary sector such as banking which attracts people to work in this sector of industry
[AN]this means fewer workers ...

[KN] A primary sectors provides raw materials to the secondary sector inorder to produce a product
[APP]For example a farmer who is in the primary sector of industry grows tomatoes , which are later brought by factory in the secondary sector inorder to produce the finished good of ketchup
[AN ...