The process of identifying opportunities for which marketable needs exist and assuming the risk of creating an organization to satisfy them.

Achievement of a critical mass in the business, a point at which an adequate living is provided for the owner and family, with enough growth remaining to keep the business going.

A lease in which the tenant pays a base monthly rent plus real estate taxes and insurance on the building.

The effect of more consumers leaving a town to purchase goods than entering it to buy the same product.

A lease in which the tenant pays a base monthly rent plus a percentage of their gross revenue.

A way to arrange a manufacturing business by placing all comparable equipment together in the same area.

A way to arrange a manufacturing business by placing equipment in an assembly line.

An intermediary who sells products to the ultimate consumer.

A lease in which the tenant pays a base monthly rent plus real estate taxes, insurance, and any other operating expenses incurred for the building.

An intermediary who buys products in bulk from producers and resells them to other wholesalers or to retailers.

The point at which total costs equal total revenue and the business neither makes nor loses money.

Credit extended by retailers to the ultimate customers for the purchase of products or services.

The number of units of a product that people would be willing to purchase at different price levels.

Costs that do not change with the number of sales made.

The amount added to the cost of a product in setting the final price. It can be based on selling price or on cost.

Psychological pricing strategy in which goods are priced at, say, $9.99 rather than $10.00 in the belief that the price will seem lower than it really is.

Setting the price of a new product lower than expected to gain fast market share.

Psychological pricing strategy used with goods whose quality is difficult to determine by inspection or for products about which consumers have little solid information.

The percentage change in quantity demanded for a product in response to a one percent change in price.

Grouping product prices into ranges, such as low-, medium-, and high-priced items.

Setting the price of a new product higher than expected to recover development costs.

Setting the price of a product in a way that will alter its perception by customers.

An aspect of public relations consisting of any message about your company communicated through the mass media that you do not pay for.

Psychological pricing strategy common in retailing goods for which consumers have an idea of what the price “should be.”

Credit extended from one business to another.

Costs that change in direct proportion to sales.

The completion of a business deal without the use of money as a means of exchange. Barter is a common form of ountertrade.

Selling goods or services in a foreign country.

An agreement in which two businesses form a temporary partnership to produce a product or service in a market that neither could satisfy alone.

The agreement that allows one business to sell the rights to use a business process or product to another business in a foreign country.

A partnership between two businesses (often in different countries) that is more informal than a joint venture.

Granting authority and responsibility for a specific task to another member of an organization; empowerment to accomplish a task effectively.

The negative consequences and components of stress.

The process of directing and influencing the actions of members within a group.

The process of planning, organizing, leading, and controlling resources in order to achieve the goals of an organization.

The forces that act on or within a person that cause the person to behave in a specific manner.

Emotional states that occur in response to demands, which may come from internal or external sources.

A formal procedure allowing employees to seek review of a disciplinary measure at a higher level of management.

Essentially means an employee hired for an indefinite period may be discharged for any or no reason, cause or no cause, unless specifically prohibited by law.

Part of an employee’s compensation in addition to wages and salaries.

A one-time reward provided to an employee for exceeding a performance standard.

A planned effort to provide employees with the knowledge, skills, and abilities needed to accept new and more challenging job assignments within the company.

Written rules and regulations informing employees of their rights and responsibilities in the employment relationship.

The process of helping new employees become familiar with an organization, their job, and the people they will work with.

A planned effort to teach employees more about their job so as to improve their performance and motivation.

The process of gathering all the information about a particular job, including a job description and the job specifications.

A written description of a nonmanagement position that covers the title, duties, and responsibilities involved for the job

The identification of the knowledge, skills, abilities, and other characteristics an employee would need to perform the job.

A process of evaluating an employee’s job-related achievements.

A plan in which employees receive additional compensation based on the profitability of the entire business.

Discipline that is applied to employees in appropriately incremental and increasingly forceful measures.

Manufacturing system that reduces inputs into component parts so as to extract products.

Scheduling that involves arranging production activities around the due date for the product.

The process of comparing key points within your business with comparable points in another external entity.

Quality control applied to work in progress.

A production process that operates for long periods of time without interruption.

The means to monitor input, transformation, and output so as to identify problems.

The number of goods produced that are outside the company’s boundaries of acceptable quality.

Allocating resources and beginning the steps to produce a product.

The study of the interaction between people and machinery.

Communication tools to connect control systems to the processes of a business.

Inspecting and testing products after they are produced.

Quality control applied to a company’s inputs.

Scheduling in which materials and resources are allocated for production when a job order comes in.

All the resources that go into a business.

A production process that operates in short cycles so that it can change products.

The set of standards that certifies that a business is using processes and principles to ensure the production of quality products.

A production process that allows products to be produced specifically for individual customers.

The tangible or intangible products that a business produces.

The measure of outputs according to the inputs needed to produce them; a way to determine the efficiency of a business.

How well a good or service meets or exceeds customers’ expectations, or the degree to which a product conforms to established tolerance standards.

The use of small groups of employees to analyze products and processes in an effort to improve quality.

Information showing the steps required to produce a product.

The order in which the steps need to occur to produce a product.

The tolerance range in which only 3.4 defects per million are allowed.

The use of statistical analysis to determine the probability of a variation in product being random or a problem.

Manufacturing system that combines inputs to create a finished product or change it into a different product.

The boundaries a manager sets in determining the acceptable quality of a product.

What a business does to add value to inputs in converting them to outputs.