If you wish to prosper in business, you have to become acquainted with the lingo first. Listed here are a few of the most common business terms.
Decision-making is an important part of any business. Some decisions are small and can be made by individual staff members, and others will be slightly more important and will have to be made by their line managers. You will discover nevertheless some other decisions that will affect the running of the firm in the long run. These decisions are usually made by the board of directors and senior management, such as the Chief Executive Officer and COO. Nevertheless, these decisions really need to be reported to the shareholders who have an active interest in how the firm is run but are not invariably able to be present in the every day life of a company. Major changes and other important ideas of this nature is normally mentioned during the Annual General Meeting, or AGM for short. AGM is one of the most basic business terms that you should learn about. Such an event is important for companies who often take great care in arranging it, like the Telecom Italia AGM for example.
In regard to common business terms, so many men and women tend to confuse profits and revenue. A revenue is the amount of income a company receives as the result of selling the good or service they offer. A profit is part of the revenue, and it is calculated by deducting any costs involved in the making of the said good or service from the revenue, and it is important to remember that even though a company generates a revenue, it doesn't mean that it necessarily makes a profit too. A lot of publicly traded businesses need to publish reports outlining their profits, like Co-op profits for example.
Any business is like a small country, with so many things happening on the daily basis. You'll notice various departments with men and women with different skill sets that do a number of tasks. At every level there are actually individuals who manage the numerous tasks that get executed every day. These men and women are called managers, and as their title suggests they control what men and women directly below them do. You will find that any successful company also has an extremely strong management team, like Ikea management team. Management is a vital part of any business, and there is a great deal of business management terminology that you have to become familiar with if you want to succeed in business. In fact, a great many management terms are considered to be key business terms. One such case is benchmarking. Basically, benchmarking means objective setting, and it is one of the most important functions of any manager. A manager will have to set out obvious goals and the timeframe in which they need to be achieved if they want their team to work well.