If you are a keen business person and would like to discover more about the world of business, here is a brief list of the most ordinary terms used in business
Any business exists to produce either a product or a service to then sell it for a profit. A profit is among the most basic financial terms and concepts that you will encounter in the world of business, and in basic terms a profit is gained when the revenues from selling the good or a service exceed the costs involved in its production. If a company goes public, it has to announce its earnings to the public, including its profits, like Nestlé profits as an example. These costs involved in the estimation of the profit can either be variable or fixed, and these are two important financial terms that any businessperson has to be aware of. Fixed costs, as the name indicates, are any costs that don't change with output, like rent and employees earnings; variable costs on the other hand will alter with the amount of output, like the cost of purchasing raw materials as an example.
There are a great deal of things going on in the daily life of any firm, whether it is small or big. Within it there is a number of people working in different departments that are in charge of various tasks. Even so to make sure that all of these tasks go according to plan, there is always somebody to oversee them. At the lower level you come across your line managers and departmental mangers, who make choices on an almost day-to-day basis. But as you go higher up the corporate hierarchy you will discover men and women like the chief executive or the CFO who are in charge of the whole company and who make choices that will have a much larger effect on the future of the business they are leading. Many firms likewise have shareholders, who own shares of that business and for that reason have an interest in how the company is run without being directly involved. To stay informed on how the firm is doing and any fresh advancements they attend an annual general meeting, or AGM for short, and that is amongst the most basic business terms you absolutely have to know. Every public company has to hold one every year, like the Telecom Italia AGM that is always a major event for their shareholders. During an AGM, shareholders are presented with an annual report about the company’s performance and strategy.
There is no use in creating a good or service if no body is aware of it. To be sure that their target market knows about the existence of their product, firms resort to the help of marketing. Basically, marketing is the study of a relationship between the producer and the consumer that will help firms put the best product on the market, and it is surely among the most helpful common business terms you will ever come across. Every business has their own marketing tactic, like Dell marketing strategy for example.