What is business process?

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Business process refers to a standardized set of activities that accomplish a specific task, such as processing a customer’s order (Baltzan & Philips, 2009). It converts a set of inputs into a set of outputs (goods or services). Examples of business process Business process can be easily understood by examples. Each organisation has its own distinctive process. Let us consider the process of depositing money at Barclays and many other banks in the UK. Once the customer is at the branch, she/he has two options to deposit money/cheque. The customer […]

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Segmentation – definition and importance

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Segmentation is a very important topic in marketing. Marketing is a process which usually consists of four  major elements namely situation analysis, marketing strategy, marketing mix decisions, and implementation & control. Segmentation is one of the elements in marketing strategy. Definition of segmentation According to Kotler (1994), segmentation refers to the subdividing of a market into distinct and increasingly homogeneous subgroups of customers, where any subgroup can conceivably be selected as a target market to be met with a distinct market. It is the process of defining and subdividing a […]

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Human resource management – definition and importance

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Human Resource Management (HRM) is about managing human resources in an organisation. Human resources need to be managed appropriately. As a subject of academic studies, HRM emphasises on a number of issues such as organisational design, human resource planning, performance management, employee relations and HR services. Definition of Human Resource Management Human Resource Management refers a ‘strategic approach to managing employment relations which emphasises that leveraging people’s capabilities is critical to achieving sustainable competitive advantage, this being achieved through a distinctive set of integrated employment policies, programmes and practices’ (Bratton […]

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Merger and Acquisition

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Merger and acquisition are usually used by companies in order to bring about quick growth. According to Armstrong (2014) global mergers and acquisitions activity reached $3.5 trillion (£2.25 trillion) in 2014. However, merger and acquisition are high-risk strategies. Definition of merger and acquisition Both merger and acquisition are heavily used in academia and in corporate world. Sometimes, these two terms are used interchangeably. However, there are some differences which exist between the two. A merger is the combination of two previously separate organisations, typically as more or less equal partners (Johnson, Whittington […]

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Foreign Direct Investment

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There is no doubt that countries need investment for economic growth and prosperity. Therefore, we see governments around the world attempting to provide various incentives to foreign investors. This article touches briefly on Foreign Direct Investment (FDI) and identifies some popular destinations for FDI. Definition of FDI According to Hill (2012) foreign direct investment (FDI) takes place when a company invests directly in facilities to manufacture or market a product in an overseas country. According to the U.S. Department of Commerce (cited in Hill, 2012), FDI takes place when a […]

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What is globalisation?

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Last updated June 2016 Globalisation is a widely discussed topic. It has raised interest in academic, political and social circles over the years. Many businesses benefit from globalisation, while public resentment towards globalisation has also been seen in some countries. Globalisation has created numerous opportunities for people and business. However, it has its own challenges as well. Academics have defined globalisation in different ways considering different perspectives. According to Stonehouse et al (2004), globalization refers to increasingly global nature of markets, the tendency for transnational businesses to configure their business […]

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5 factors which affect buyer behaviour

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5 factors which affect buyer behaviour There is no doubt that a number of factors may affect the buying decision of a customer. It is very important for marketing managers to understand how these factors work and impact on the decision-making of a customer. Why does a customer buy some particular products? Why does he/she prefer one product to another? A study of some factors will help the readers find answers to these questions. As mentioned above, there are a number of factors that will impact on a customer’s buying […]

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Consumer buying behaviour process

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What is consumer buying behaviour? According to Kotler et al (2009), consumer behaviour is the study of how individuals or groups buy, use and dispose of goods, services, ideas or experiences to satisfy their needs and wants. Consumer behaviour can be divided into two types: high-involvement behaviour and low-involvement behaviour. High-involvement behaviour is also called complex buying behaviour. Customers sometimes spend a lot of time to make a decision to buy a product/service. They become heavily involved in the purchasing process. This involvement is called high-involvement or complex buying behaviour. […]

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What is consumer behaviour?

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Definition of consumer behaviour Consumer behaviour is defined as ‘the acts of individuals directly involved in obtaining and using economic products and services, including the decision processes that precede and determine theses acts’ (Lancaster and Reynolds, 2004, p.50). According to Kotler et al (2009), consumer behaviour is the study of how individuals or groups buy, use and dispose of goods, services, ideas or experiences to satisfy their needs and wants. Consumer behaviour is about how consumers buy and use products and services in order to satisfy their desires. No doubt […]

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Kotter’s 8-Step Change Model

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Last updated June 2016   What is Kotter’s 8-step change model? John Paul Kotter, a Harvard professor, developed an 8-step change model in 1995. This model has been discussed in two of his books called ‘Leading Change’ and ‘The Heart of Change’ (Chapman, 2014). The eight steps of the model have been summarized below: Create urgency Importance for the implementation of the change needs to be highlighted so that people will be motivated to accept and participate in the implementation of the change. Form a powerful coalition Right people with […]

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