Flashcards on Business Fundamentals and Environment

Business Fundamentals and Environment: Forms of Ownership Guide

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What is bootlegging in the context of business risks?

Unlawfully manufacturing or selling fake goods for sale, such as illegal copied DVDs sold on street corners.

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Business Risks

36 cards

Card 1

Question: What is bootlegging in the context of business risks?

Answer: Unlawfully manufacturing or selling fake goods for sale, such as illegal copied DVDs sold on street corners.

Card 2

Question: Give an example of how criminals commit bootlegging related to movies.

Answer: Criminals record movies with handheld devices during a live cinema screening to produce illegal copies.

Card 3

Question: How does bootlegging affect a business's profits?

Answer: Businesses lose out on profit due to the sale and distribution of fake or imitated products.

Card 4

Question: What are two financial consequences for businesses dealing with bootlegging?

Answer: Decline in sales from fake distribution and increased expenses if legal actions are taken.

Card 5

Question: Why might businesses change their pricing because of bootlegging?

Answer: They may implement price adjustment strategies to minimise the impact of reduced sales from counterfeit products.

Card 6

Question: What is a strike (labour dispute)?

Answer: A collective refusal of employees to work aimed at forcing the employer to accept their demands over workplace issues.

Card 7

Question: Name three forms a strike can take.

Answer: Go slow, lockout, and sympathy strike.

Card 8

Question: What obligation does a trade union have when planning a strike?

Answer: The trade union must give notice to the employer when planning a strike.

Card 9

Question: How can strikes affect a business's ability to meet obligations?

Answer: Strikes can make a business unable to meet contractual obligations and may lead to losing contracts.

Card 10

Question: Why can the cost of making up working hours after a strike be problematic for businesses?

Answer: Because the cost of making up all the lost working hours is too high.