Revision is a collection of short, clear explanations covering the core areas of business studies, including finance, marketing, operations, people, globalisation, and strategy. Each note breaks down key ideas and decision-making tools into simple, exam-friendly summaries. The aim is to make complex topics easier to understand, revise, and apply. It’s a quick-reference space for building strong business knowledge step by step.
Decision trees are visual diagrams used by businesses to map out choices, possible outcomes, and their financial consequences. They help managers compare options by calculating expected monetary values, reducing the risk of costly mistakes. This guide covers the definition, features, advantages, disadvantages, calculation steps, and evaluation of decision trees for GCSE and A-Level Business Studies students.
Absenteeism is the habitual or frequent absence of employees from work without valid reason. It is measured as a percentage using a simple formula, and high rates signal problems with motivation, management, or working conditions. Businesses track absenteeism to identify workforce issues, reduce costs, and improve productivity. Understanding this metric is essential for GCSE and A-Level Business Studies students.
Labour turnover measures the percentage of employees leaving a business over a set period. It is calculated by dividing the number of staff who leave by the average number of employees, then multiplying by 100. A high rate signals potential problems with pay, management, or working conditions, while a low rate suggests strong staff retention and satisfaction.
Labour productivity measures the output produced per worker over a given period. It is calculated by dividing total output by the number of employees. A rise in productivity per worker means a business is getting more from its workforce, which can lower unit costs and boost profitability. Understanding this metric is essential for GCSE and A-Level Business Studies students, as it connects to efficiency, competitiveness, and human resource management.
YED measures how demand changes as income changes, guiding pricing and product decisions. It can help businesses predict demand for luxury and inferior goods during economic change.
Labour retention measures how well a business keeps its employees over a set period. A high retention rate suggests strong job satisfaction, effective management, and competitive pay, while a low rate signals problems that could increase costs and reduce productivity. This metric is essential for GCSE and A-Level Business Studies students to understand, calculate, and evaluate.
A community interest company (CIC) is a special type of limited company designed to use its profits and assets for the benefit of a community rather than private shareholders. CICs must pass a "community interest test" and are regulated by the CIC Regulator. They can trade, earn profits, and pay staff, but face restrictions on profit distribution.
A charity is a not-for-profit organisation that exists to serve a social, environmental, or humanitarian cause rather than to generate profit for owners or shareholders. Charities raise funds through donations, grants, and trading activities, then reinvest all surplus income back into their mission.
A public limited company (PLC) is an incorporated business that sells shares on a stock exchange to the general public. It must have a minimum share capital of £50,000, at least two directors, and a qualified company secretary. PLCs can raise large amounts of capital but face strict regulation, public scrutiny, and the risk of hostile takeovers.
A private limited company (Ltd) is a business owned by shareholders whose liability is limited to the amount they invested. Shares cannot be sold to the general public. This structure protects personal assets, gives the business a separate legal identity, and is the most popular form of incorporation in the UK.
A limited liability partnership (LLP) is a legal business structure where partners enjoy the tax flexibility of a traditional partnership while having their personal assets protected from business debts. It must be registered with Companies House and is popular among professional service firms like law practices and accountancy firms.
A partnership is a business owned and run by two or more people who share responsibility, profits, and losses. Partners typically have unlimited liability, meaning their personal assets are at risk if the business cannot pay its debts. Partnerships are common in professions like law, accountancy, and medicine, and they appear frequently across GCSE and A-Level Business Studies specifications.
