Packaging

All the design and cost elements involved in the physical protection and presentation of a product.

Partnership

A type of business organisation that has between 2 and 20 owners. They share all the profits and losses.

Patent

The right to be the sole user or producer if the invention of a new process or product.

Peer Group

The circle of friends and workmates whose views on workplace behaviour and attitudes may be highly influential.

Penetration Pricing

The setting of a price low enough to gain sufficient market share to achieve customer brand recognition within that market.

Performance Appraisal

This is the process of judging the effectiveness of an employees contribution over a period of time (usually a year).

Personal Specification

A statement listing the characteristics required to do a job successfully.

PEST Analysis

A mean of analysing the external factors that affect a business.  PEST is an acronym for Political, Economic, Social and Technological.

Piece Rate

The payment of wages solely on the basis of the number of items each worker produces.

Pre-Tax profit

Profit made before Corporation Tax is taken out.

Pressure groups

A group of people who join together to try and change a policy of a business or Government e.g. Greenpeace, Friends of the Earth.

Primary Industry

Businesses that obtain raw materials using natural resources such as oil, coal, and using the earth (land, sea) to grow things such as fish, crops

Primary Research

Is the gathering of first hand data that is tailor made to a firms own products, customers or markets.

Private Benefits

The money a business gets from carrying out its activity. This will also include the profits.

Private Costs

The money a business has to pay out to make a product.  This will include fixed and variable costs.

Private Limited Companies (Ltd)

A business with 2 or more owners. The shares of the firm cannot be sold on the Stock Exchange

Privatisation

Where the government sells off a business that it owns to private shareholders.  As such the business moves from the public sector to the private sector.

Product Life Cycle

A term used to describe the stages a product goes through, from its introduction to its final decline. It also shows the expected sales during the product's life.

Product Orientated

Where the product is designed and produced because a firm knows how to rather than because consumers wants it.

Production

The actual manufacturing of a good.

Profit

What is left from revenue after costs have been deducted.

Profit and Loss Account

A financial statement that summarises the expenses, losses and overheads of a firm.  It is used to calculate the net profit.

Promotion

This term has two very different meanings

• Being appointed to a more senior position within a company
  
• The promotion of a product as part of a marketing campaign.

Psychological Pricing

This means setting a price based on the expectations of the consumers within the chosen target market.

Psychometric Test

By candidates undertaking this task some organisations believe that they can find out a person personality and whether they will fit in with the people that structures that already operate within that organisation.

Public Limited Companies (Plc)

A business with 2 or more owners (usually 1000s) whose shares are bought and sold on the Stock Exchange.

Public Relations (P.R.)

Giving out information to the media about the business with the aim of improving it's image.

Public Sector

The part of the economy controlled by the Government.