Unit 2 The Business Organisation Section 6

Explain five reasons why firms chose to expand?

Give one benefit and one problem of internal expansion

What's the difference between the internal and external expansion

Explain three methods of external expansion a firm can use

Smells Bad Rhubarb Chutney Ltd , a well known rhubarb chutney manufacturer merges with the following firms. Which type of firm are they merging with in each case?
a)Quality Rhubarb Chutneys Manufacturees Ltd.
b)Exoctic Chutney Shops Ltd
c)Megalarge Knickers Producers Ltd.
d)Rhubarb Farms Ltd.

Explain why takeovers and mergers are not always successful

Explain the benefits to a business of growing through franchising

Describe how the following groups are likely to be affected by a firms growth-
a)The firms employees
b)The firms shareholders
c)The Firms customers
d)The firms suppliers
e)The government
f)The local community

How do private and public limited companies differ in the way their shares can be sold

Describe two advantages to a private limited company of becoming a plc

Explain what is meant by the 'divorce of ownership and control'

Explain how a company's objectives will typically change as it grows

Describe two social costs and two social benefits of business activity

Give four examples of how some businesses are acting in a more socially responsible way

How can environmental pressure groups affect a business

Explain three advantages of operating as an MNE

Give two benefits and two problems for a country of hosting an MNE