Ethics is: 6:1 Ethical and Environmental Considerations
about what is
Ethics involves treating workers, suppliers and customers right
right and
however what is right and wrong changes over time so it can
wrong
Knowledge Organiser
Ethical marketing
Marketing activities
that seek to give
customers information
to make good choices
Environmentally
friendly
Describes consumers
and businesses that
act to make
production sustainable
Sustainable
production
Unit 6: Influences on Business Activity
The share of the total
market for a product
Globalisation is:
the process by which
business activity
around the world has
become increasingly
interconnected
International branding
Creating an image or
values for a product in
different countries
Multinational companies
Businesses that operate in
different countries
Productivity
A measure of output of
each worker on average
Free trade
The absence of restrictions
on trade between
countries
Economic climate: 6:2 The Economic Climate
refers to how well
the country is doing Gross Domestic Product (GDP) is a measure of the
in terms of the levels amount of goods and services a country produces
be hard for businesses to keep up. of income and Response to economic change
employment
Benefits of being environmentally friendly
A fall in GDP means the country is in a
 Sell the product at a lower cost to
beat competition (less profit though!)
Production
Increased sales Reduced costs  Improve quality control to reduce
A rise in GDP means the economy is
Income wastage
recession and incomes fall
 Increase productivity through
Reduced tax bills Reduce resource scarcity The amount of money technology
growing and incomes rise
people receive from
work  Increase productivity by motivating
HR
Saving workers
water Customers  Reduce costs by improving cash flow,
Sustainable Switching
off lights Buyers of goods and reducing interest payments on
Finance
construction
overdrafts or loans
services  Change loans to get a lower interest
rate
Solar & Consumer income
wind Recycling  Change the marketing mix
energy
The total amount of - Change the product to appeal to
income that all
Marketing
Sustainable different customers
- Increase promotion
production customers in the - Different pricing strategies
country receive - Sell using e-commerce
6:3 Globalisation Assessment Information Possible questions
Pros of a UK business Cons of a UK business 1. State two advantages of moving
locating abroad locating abroad production abroad.
Your Paper 2 will be in the afternoon on
 Lower labour costs  Quality control Tuesday 4th June
2. Define the term ‘globalisation’.
 Lower costs  Poor communications
 Expertise  Transport Number of marks available: 80
 Skilled workers  Loss of UK sales Time allowed: 90 minutes 3. Explain how being environmentally
 Demand  No skilled labour
 Costs of moving friendly could affect the finance
Answer ALL of the questions department.
The first 15 questions will be multiple 4. Analyse how being environmentally
Influences on
choice - you must only select ONE friendly can benefit a business.
business
answer, selecting two will score 0 marks.
Ethical and environmental considerations 5. Analyse two impacts of globalisation
There could be negative implications if businesses on a business.
The other questions will include a range
don’t follow UK guidelines in other countries
of 2, 3, 4, 6, 7, & 9 mark questions 6. Evaluate how a rise in income could
The economic climate
This will influence whether or not a business is affect different business functions.
willing to operate there - if low income the
business will suffer State Explain Analyse Recommend Evaluate