Area of Study 1 Business foundations
This area of study introduces students to the key characteristics of businesses and their stakeholders. Students investigate potential conflicts between and the different demands of stakeholders on a business. They examine a range of management styles and management skills that may be used when managing a business and apply these to contemporary business case studies.
Outcome 1
On completion of this unit the student should be able to discuss the key characteristics of businesses and stakeholders, and analyse the relationship between corporate culture, management styles and management skills. To achieve this outcome the student will draw on key knowledge and key skills outlined in Area of Study 1.
Key knowledge
- types of businesses including sole traders, partnerships, private limited companies, public listed companies, social enterprises and government business enterprises
- business objectives including to make a profit, to increase market share, to fulfil a market and/or social need and to meet shareholder expectations
- characteristics of stakeholders of businesses including their interests, potential conflicts between stakeholders, and corporate social responsibility considerations
- the areas of management responsibility including operations, finance, human resources, sales and marketing, and technology support, and how each area contirubutes to the achievement of business objectives • management styles including autocratic, persuasive, consultative, participative and laissez-faire
- the appropriateness of management styles in relation to the nature of task, time, experience of employees and manager preference
- management skills including communicating, delegating, planning, leading, decision-making and interpersonal • the relationship between management styles and management skills
- corporate culture both official and real, and strategies for its development.
Key skills
- define, describe and apply relevant business management concepts and terms
- analyse case studies and contemporary examples of business management
- interpret, discuss and evaluate business information and ideas
- apply business management knowledge to practical and/or simulated business situations
- analyse and discuss management styles and management skills necessary for successful business management
- evaluate management styles and management skills and their appropriateness for a range of business situations
- propose and justify management strategies for developing corporate culture
