Top 50 important terms in business: Everything you should know
1. Mission
A mission statement describes what the company is doing today to achieve goals. The focus is on the present.
2. Vision
A vision statement represents the goals and ambitions of a company.
The focus is on the future.
3. Segmentation
Segmentation is dividing the market into smaller groups of consumers with common characteristics for effective targeting.
4. Target Audience
A group of people or organizations that are the main focus of a company's marketing and advertising campaigns.
5. Branding
Branding is creating a unique image of your company. It is about the feelings that a customer associates with the company.
6. Competition
The state where several companies in the market compete for the same resources and customers.
7. Unique Selling Proposition (USP)
The USP is what differentiates your company or product from competitors. It also helps attract new customers.
8. Consumer Demand
Consumer demand is the amount of goods and services that consumers are willing to purchase at a given price over a specific period.
9. Marketing
Marketing is the process of planning, developing, and promoting products or services to satisfy the needs of the target audience.
10. Sales
Sales is the process of getting your customers to purchase a product or service through communication and offers.
11. Franchise
A franchise is an agreement between a franchisor (brand owner) and a franchisee (business owner). The franchisee is allowed to use the brand and business model of the franchisor.
12. Investment
Investing money or other resources to obtain profit or achieve other financial goals.
13. Budget
A budget is a plan of financial resources for different periods and purposes.
14. Profit
Profit is the positive difference between a company's revenue and expenses.
15. Management
Management is the process of coordinating and controlling the activities of a company.
16. Leadership
Leadership is the ability to lead and inspire others to achieve common goals.
17. Innovation
Innovation is the creation and implementation of new ideas, products, or processes that bring new values/features or improve existing ones.
18. Market Research
Market research is the process of collecting and analyzing information about the market, consumers, and competitors.
19. Key Performance Indicators (KPIs)
Key Performance Indicators (KPIs) are metrics used to measure the effectiveness and achievement of a company's goals.
20. Partnership
Partnership is the collaboration of two or more companies to achieve common interests and goals.
21. Sustainable Development
Sustainable development is a strategy based on the environmental, social, and economic aspects of business.
22. Product Life Cycle
The product life cycle is the stages that a product goes through from its introduction to the market to the ending phase.
23. Market Share
Market share is the portion of the market controlled by a company compared to its competitors.
24. Risk Management
Risk management is the process of identifying, assessing, and managing risks that may affect the achievement of company goals.
25. Customer Loyalty
Customer loyalty is the dedication and continuous support of customers to a company or its products and services.
26. Diversification
Is a strategy of expanding a company's activities into new markets or products to reduce risks and increase profits.
27. Cash Flow
Cash flow is the volume of cash inflows and outflows associated with a company's operational activities.
28. Assets
Assets are everything that a company owns: cash, land, equipment, and other resources.
29. Liabilities
Liabilities are the obligations and debts of a company: loans, credits, and other financial obligations.
30. Dividends
Dividends are a part of a company's profit paid to its shareholders after certain periods as a reward for owning shares.
31. Pricing Strategy
Pricing strategy is a plan for setting the prices of a company's products or services considering the competitive environment, production costs, and consumer preferences and needs.
32. Advertising
Advertising is a tool used to attract attention, raise awareness, inform, and get consumers to purchase a product or service.
33. Public Relations
Public relations is the management of communication and relationships between a company and the public: customers, investors, stakeholders, and other companies.
34. Internet Marketing
Internet marketing is the use of the Internet and digital channels to promote products and services, attract customers, and increase awareness and sales.
35. Social Media
Social media are online platforms that allow people to connect, communicate, and share information.
36. Conversion
Conversion is the percentage ratio between the number of visitors who perform a specific action and the total number of website or landing page visitors.
37. Negotiations
Negotiations are the process of discussing and reaching an agreement between two or more parties on issues affecting their interests and goals.
38. Planning
Planning is the process of setting goals and developing strategies, and actions to achieve the company's objectives.
39. Project Management
Project management is the organization and coordination of resources, timelines, and tasks.
40. Reputation
Reputation is the opinion about a company or its products, based on the experience and perception of the public.
41. Stocks
Stocks are ownership shares of a company that are bought and sold on the stock exchange.
42. Taxes
Taxes are mandatory payments collected by the government from companies and citizens to finance public needs.
43. Liquidity
Liquidity is the cash a company owns. The cash can be converted from assets.
44. Shareholders
Shareholders are individuals or organizations that own shares of a company and have the right to dividends and participation in important decision-making.
45. Infrastructure
Infrastructure is the physical and organizational systems and resources necessary for the business operating.
46. Net Profit
Net profit is a company's profit after deducting all expenses, taxes and costs.
47. Holding Company
A holding company is a company that owns shares and controls subsidiary or dependent companies but does not engage in primary operational activities itself.
48. Investment Funds
Investment funds are financial organizations that collect money from investors and invest it in various assets such as stocks, bonds, and real estate.
49. Monopoly
A monopoly is a situation where a company controls the market and has the exclusive right to provide goods or services without competition.
50. Integration
Integration is the process of combining different companies, businesses, or industries to create a more efficient and competitive structure and operations.
A mission statement describes what the company is doing today to achieve goals. The focus is on the present.
2. Vision
A vision statement represents the goals and ambitions of a company.
The focus is on the future.
3. Segmentation
Segmentation is dividing the market into smaller groups of consumers with common characteristics for effective targeting.
4. Target Audience
A group of people or organizations that are the main focus of a company's marketing and advertising campaigns.
5. Branding
Branding is creating a unique image of your company. It is about the feelings that a customer associates with the company.
6. Competition
The state where several companies in the market compete for the same resources and customers.
7. Unique Selling Proposition (USP)
The USP is what differentiates your company or product from competitors. It also helps attract new customers.
8. Consumer Demand
Consumer demand is the amount of goods and services that consumers are willing to purchase at a given price over a specific period.
9. Marketing
Marketing is the process of planning, developing, and promoting products or services to satisfy the needs of the target audience.
10. Sales
Sales is the process of getting your customers to purchase a product or service through communication and offers.
11. Franchise
A franchise is an agreement between a franchisor (brand owner) and a franchisee (business owner). The franchisee is allowed to use the brand and business model of the franchisor.
12. Investment
Investing money or other resources to obtain profit or achieve other financial goals.
13. Budget
A budget is a plan of financial resources for different periods and purposes.
14. Profit
Profit is the positive difference between a company's revenue and expenses.
15. Management
Management is the process of coordinating and controlling the activities of a company.
16. Leadership
Leadership is the ability to lead and inspire others to achieve common goals.
17. Innovation
Innovation is the creation and implementation of new ideas, products, or processes that bring new values/features or improve existing ones.
18. Market Research
Market research is the process of collecting and analyzing information about the market, consumers, and competitors.
19. Key Performance Indicators (KPIs)
Key Performance Indicators (KPIs) are metrics used to measure the effectiveness and achievement of a company's goals.
20. Partnership
Partnership is the collaboration of two or more companies to achieve common interests and goals.
21. Sustainable Development
Sustainable development is a strategy based on the environmental, social, and economic aspects of business.
22. Product Life Cycle
The product life cycle is the stages that a product goes through from its introduction to the market to the ending phase.
23. Market Share
Market share is the portion of the market controlled by a company compared to its competitors.
24. Risk Management
Risk management is the process of identifying, assessing, and managing risks that may affect the achievement of company goals.
25. Customer Loyalty
Customer loyalty is the dedication and continuous support of customers to a company or its products and services.
26. Diversification
Is a strategy of expanding a company's activities into new markets or products to reduce risks and increase profits.
27. Cash Flow
Cash flow is the volume of cash inflows and outflows associated with a company's operational activities.
28. Assets
Assets are everything that a company owns: cash, land, equipment, and other resources.
29. Liabilities
Liabilities are the obligations and debts of a company: loans, credits, and other financial obligations.
30. Dividends
Dividends are a part of a company's profit paid to its shareholders after certain periods as a reward for owning shares.
31. Pricing Strategy
Pricing strategy is a plan for setting the prices of a company's products or services considering the competitive environment, production costs, and consumer preferences and needs.
32. Advertising
Advertising is a tool used to attract attention, raise awareness, inform, and get consumers to purchase a product or service.
33. Public Relations
Public relations is the management of communication and relationships between a company and the public: customers, investors, stakeholders, and other companies.
34. Internet Marketing
Internet marketing is the use of the Internet and digital channels to promote products and services, attract customers, and increase awareness and sales.
35. Social Media
Social media are online platforms that allow people to connect, communicate, and share information.
36. Conversion
Conversion is the percentage ratio between the number of visitors who perform a specific action and the total number of website or landing page visitors.
37. Negotiations
Negotiations are the process of discussing and reaching an agreement between two or more parties on issues affecting their interests and goals.
38. Planning
Planning is the process of setting goals and developing strategies, and actions to achieve the company's objectives.
39. Project Management
Project management is the organization and coordination of resources, timelines, and tasks.
40. Reputation
Reputation is the opinion about a company or its products, based on the experience and perception of the public.
41. Stocks
Stocks are ownership shares of a company that are bought and sold on the stock exchange.
42. Taxes
Taxes are mandatory payments collected by the government from companies and citizens to finance public needs.
43. Liquidity
Liquidity is the cash a company owns. The cash can be converted from assets.
44. Shareholders
Shareholders are individuals or organizations that own shares of a company and have the right to dividends and participation in important decision-making.
45. Infrastructure
Infrastructure is the physical and organizational systems and resources necessary for the business operating.
46. Net Profit
Net profit is a company's profit after deducting all expenses, taxes and costs.
47. Holding Company
A holding company is a company that owns shares and controls subsidiary or dependent companies but does not engage in primary operational activities itself.
48. Investment Funds
Investment funds are financial organizations that collect money from investors and invest it in various assets such as stocks, bonds, and real estate.
49. Monopoly
A monopoly is a situation where a company controls the market and has the exclusive right to provide goods or services without competition.
50. Integration
Integration is the process of combining different companies, businesses, or industries to create a more efficient and competitive structure and operations.