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On Line Study Group (1 Viewer)
- Thread starter Modern Hot Chic
- Start date
Ok. We know that the business ratios that were posted above are all designed to assess the business's performance with regards to financial management. The idea of using a ratio is so that it is comparible to other business of smaller/larger sizes.tractor_chic said:
Comparitive ratio analysis is used for comparing the business's performance:
-over time - past performance
-inter-firm - between similiar businesses
-against industry standards - benchmarks.
The idea of comparing a business ratio to the industry standard is because certain ratio's will differ with different industries.
Eg. In industries where there is a predictable source of funds flowing into the business, it isn't as important as having as good a working capital ratio as say a Retail Store as for an electricity company they know that every 3 months (or whenever it is) everyone pays there bills and a huge amount of money comes in. If you wanted to know if the business was doing good/bad, then comparing it to the industry average will allow you to compare it to business who are in the same situation.
Another example, the airline industry suffered badly after Sept 11. If you wanted to gauge how you did in 2003, then off course after comparing it to your 2000 results, your going to be down (just an example). As a result, its much easier for Qantas to compare there fiqures with the industry average as it is everyone that is experiecing problems, and not just Qantas itself.
< Not sure how good these examples are but there on the right track
lilmzqt
+.~*Special*~.+
hey at least we r TRYING to do something that will help us do better in hsc.......who cares how stupid it might b, if we do better than we would normally do without each others help????pirate said:
Modern Hot Chic
Member
OK, Q: does anyone have information on that bit from the syllabus UNDERSTANDING MANGEMENT THEORIES or something like that? Cause I so don't get it.
Modern Hot Chic
Member
if anyone wants some notes of Business Management and Change I have some
lilmzqt
+.~*Special*~.+
would love some. man i feel like such a bitch taking everyones notes..i dun hav any decent ones to swap back with....Modern Hot Chic said:
Modern Hot Chic
Member
it's not all of the syllabus though..just what i got up to but I'm working on them
lilmzqt
+.~*Special*~.+
thanx 4 that. just outta curiosity....y is the word piglets written in massive purple letters there? lol
Modern Hot Chic
Member
that's how I remeber it
P = Political
I= Financial
G = Geographical
L = Legal
E= Economic
T = Technological
S= Socio -Cultural or whatever it is
P = Political
I= Financial
G = Geographical
L = Legal
E= Economic
T = Technological
S= Socio -Cultural or whatever it is
lilmzqt
+.~*Special*~.+
ooooooh......thats a good idea!!!
Modern Hot Chic
Member
and it works
G
Gavvvvvin
Guest
Hey thats really good!Modern Hot Chic said:
Brillinat
We have the same thing going with the elements of a marketing plan, except it isnt really a word. It works for me.
SEIDI (Pronounced SAY-DEE)
S = Situational Analysis
E = Establishing Market Objectives
I = Identifying target markets
D = Developing Market Strategies
I = Implement, Monitor, and Control
We have the same thing going with the elements of a marketing plan, except it isnt really a word. It works for me.
SEIDI (Pronounced SAY-DEE)
S = Situational Analysis
E = Establishing Market Objectives
I = Identifying target markets
D = Developing Market Strategies
I = Implement, Monitor, and Control
Modern Hot Chic said:
I take it when you say management theories you mean Classical-Scientific, Behavioural, Political, and Contingency theories.
Basically you look at the three ways in which management operate in each theory, and you should know the pro's and con's of each one.
Classical-Scientific Theory.
The old, more traditional style of management theory and was Pioneered by Max Weber and Henri Fayol (Not important IMHO).
The most important thing with this the HIERARCHICAL ORGANSATIONAL STRUCUTRE.
That is, its a management structure of a short span of control (meaning managers only look after a few people), and a long chain of command (meaning there are many layers of manangement. Eg. Top manangement [CEO, GM], Middle Management [Department Mangers], and then First-Level Supervisors [Team Leaders])
Now you need to know the differences between the different structrues, and the pro's and con's so.
The CS theory use's the standard Planning, organising, and controlling (Dont get mixed up with 'PLOC' from year 11)
- Planning
- Working out what the business is to achieve (objectives)
- Determining the way this will be done (stratergies)
- Coordinating all the activities needed to achieve the objectives.
- Organising
- What tasks are to be done.
- Who will carry out the tasks
- How the tasks will be grouped together.
- Who will be in positions of authority.
- Controlling
- How to effectively measure what is happening in a business.
- What is actually happening compared with what was planned.
Summary
Characterised by a heirarchical organisational strucutre, based on division of labour, with a long chain of command and a short span of control.
Pro's - Efficient and productive, with the aim of minimisng waste and making workers word hard.
- Good at determining the best (read: Efficient) way to do things.
Con's - Workers treated as machines.
- There jobs were highly-specialised (llike a production line)
- So workers were unhappy. High absenteeism, high turnover bla bla bla.
Thats CS. I'll do behavioural tomorrow
Basically I only really know CS and Behavioural well. Political should be learnt I guess, but Contingency is very easy, as it basically uses the idea that manamgement should be flexible to changes in the business environment, and is perhaps a more modern one.
Behavioural focuss on the idea of the worker being the most important asset to a business, so you go on from there to say how its a much happier place to work, however it may not be as efficient, and workers may not be as productive bla bla bla
Basically I only really know CS and Behavioural well. Political should be learnt I guess, but Contingency is very easy, as it basically uses the idea that manamgement should be flexible to changes in the business environment, and is perhaps a more modern one.
Behavioural focuss on the idea of the worker being the most important asset to a business, so you go on from there to say how its a much happier place to work, however it may not be as efficient, and workers may not be as productive bla bla bla
Modern Hot Chic
Member
thanks scotty, that's really helpful
Modern Hot Chic
Member
Just learnt this, thought it might help...
Employmen Relations Approaches
1. Unitary - Employees share the business's goals.
2. Pluarist - Employees have differing goals --> conflict
3. Radical - Employees can overthrow the employer - employees hold too much power.
OK< 2 thins.
1. Who wants me to post some biz notes up for Biz M. and Change?
2. Can someone please explain price penetration and all of those?
Employmen Relations Approaches
1. Unitary - Employees share the business's goals.
2. Pluarist - Employees have differing goals --> conflict
3. Radical - Employees can overthrow the employer - employees hold too much power.
OK< 2 thins.
1. Who wants me to post some biz notes up for Biz M. and Change?
2. Can someone please explain price penetration and all of those?
Ok. Dont get Price Penetration and all that mixed up with financial. It is part of the marketing topic, and goes under the 4 P's.
The 4p's are:-
Product
Price
Promotion
Place
Under Price you have:-
Pricing Methods:-
- Cost Based Pricing (Also pritty similiar to Cost plus Margin) - Selling in relation to what it costs to make the product. Either breakeven (making no profit, making no loss), or a pecentage of what it costs to make. Eg. Cost + 20%.
- Market Based Pricing - The price is determined by the market; ie. Supply and Demand.(Eg. Wheat, and Oil)
- Competitive Based Pricing - Thats pricing with regards to what the competition is doing (Eg. Trying to be the cheapest on the market and so on). You can break competitive based pricing up into smaller categories. Theres
Going Rate (Which is pricing the product the same as everyone else is. Ie. DVD's are usually $29.95).
Leader-follower pricing (If theres a major force and the rest price to follow).
Discount (Aim to be the cheapest. Ie. BIG W's Quanteed Lowest Prices).
Premium (Most expensive product. Creates a false sense of quality sometimes. Eg. Sony stuff is expensive, may not be the best).
- Value Based Pricing - Similiar to Premium pricing. The idea that the customers will pay top-dollar as they perceive the product to be of a high quality.
The 4p's are:-
Product
Price
Promotion
Place
Under Price you have:-
Pricing Methods:-
- Cost Based Pricing (Also pritty similiar to Cost plus Margin) - Selling in relation to what it costs to make the product. Either breakeven (making no profit, making no loss), or a pecentage of what it costs to make. Eg. Cost + 20%.
- Market Based Pricing - The price is determined by the market; ie. Supply and Demand.(Eg. Wheat, and Oil)
- Competitive Based Pricing - Thats pricing with regards to what the competition is doing (Eg. Trying to be the cheapest on the market and so on). You can break competitive based pricing up into smaller categories. Theres
Going Rate (Which is pricing the product the same as everyone else is. Ie. DVD's are usually $29.95).
Leader-follower pricing (If theres a major force and the rest price to follow).
Discount (Aim to be the cheapest. Ie. BIG W's Quanteed Lowest Prices).
Premium (Most expensive product. Creates a false sense of quality sometimes. Eg. Sony stuff is expensive, may not be the best).
- Value Based Pricing - Similiar to Premium pricing. The idea that the customers will pay top-dollar as they perceive the product to be of a high quality.
Christie35
Member
- Joined
- Jul 27, 2004
- Messages
- 40
does anyone have any notes on an Industrial dispute? I need help.
Then theres Pricing Stategies.
Penetration Pricing - Price set below competitors to gain market share.
Loss Leader - Priced below cost to attach customers. (Eg. Might sell Paint below cost, however when the customer buys paint brushes and assecories money makes up for the loss)
Market Skimming - Used for Niche Products, no real competition, as a result a high price is set.
Price Points - Pyschological price, as an idicator of quality.
Discounts - Is a discount of the product for quantity, season, or promotion. (So you have the BUY 2, Get 1 free, or the Back to School Specials, or XMAS sales.)
Penetration Pricing - Price set below competitors to gain market share.
Loss Leader - Priced below cost to attach customers. (Eg. Might sell Paint below cost, however when the customer buys paint brushes and assecories money makes up for the loss)
Market Skimming - Used for Niche Products, no real competition, as a result a high price is set.
Price Points - Pyschological price, as an idicator of quality.
Discounts - Is a discount of the product for quantity, season, or promotion. (So you have the BUY 2, Get 1 free, or the Back to School Specials, or XMAS sales.)