15 Business Terms That Every Business Student Should Know
As a student in business school, you want to be informed and on top of all the new language that you’ll hear both at school and in your workplace. Here are fifteen important business terms that you may come across along with their definitions so you can have a better all-around understanding of business topics.
Auditing is the process of examining financial records. An audit looks for inaccuracies such as simple mistakes in math and miscategorizations of income and expenses. An audit also checks to be sure the financial records have followed all accepted accounting standards, regulations, and laws. Auditors suggest better internal processes, governance, and risk management and provide an independent opinion on financial records.
2- Business Administration
Business administration covers many different types of management positions in a variety of industries including hospitality, medical, general office, logistics and operations, and retail. Day-to-day duties of business administrators include establishing and carrying out department goals and procedures, directing the budget, negotiating contracts, appointing managers, and analyzing performance.
3- Business Law
Business law refers to the laws that govern the regulations of businesses and their work. Activities covered under business law include setting up a business properly, creating partnerships, overseeing bankruptcies, advising on commercial transactions, approving contracts, adhering to copyright laws, and managing employee benefits.
4- Computer Technology Administration
Computer technology administration covers a broad range of management over computer systems and devices. It analyzes usage and performance, making adjustments when necessary. Government agencies, businesses, and educational institutions all need oversight of the implementation of computers, networks, peripherals, and mobile devices.
5- Corporate Finance
Corporate finance involves not only the income and expenses of an organization, but also the work surrounding how to use profits to add maximum value for shareholders. Topics covered under corporate finance include calculating stock investments, the cost and appraisal of capital, managing inventories, and analyzing risk. Corporate finance managers coordinate with other business functions such as production, marketing, and administration.
6- Economic Analysis
Economic analysis studies the forces that determine the distribution of scarce resources. It provides insight into how markets operate and attempts to predict future market behavior in response to events, trends, and cycles.
Entrepreneurship is the act of creating a business from the ground up. This can include an at-home consulting business, a fast-food franchise, an online seller, an innovative product designer, a social networker, or any number of other types of business. An entrepreneur is their own boss and makes all the final decisions regarding the direction of their business.
8- Forensic Accounting
Forensic accounting examines financial records in order to find the evidence required for a lawsuit or criminal prosecution. Individuals who are qualified to perform forensic accounting work to resolve financial disputes and uncover fraud and embezzlement.
9- Human Resources
Human resources describes both the employees of a company and the department responsible for managing them. Human resources management oversees recruitment, training, and compensating employees. They are also in charge of employee relations and development.
10- Information Security Management
Information security management describes the activities that relate to the protection of an organization’s (and their customers’ and clients’) information. An information security manager assesses risks, threats, vulnerabilities, and the impact of a security breach. Policies and processes are then put in place to maintain information integrity.
Logistics is the path that a product takes to get to its end customer. It encompasses every stop along the way including design, manufacturing, pricing, distribution, and installation. Someone in logistics looks for and resolves problems and errors that may slow down the time it takes to get a product from start to finish.
12- Meeting and Event Planning
Meeting and event planning refers to the coordination of all aspects of locations, transportation, activities, and payment of a business’s meetings, conventions, trainings, and special events. When making arrangements, planners consider lodging, services, schedules, entertainment, and dining.
13- New Media Marketing
New media marketing focuses on promoting brands and selling products/services through online channels. New media marketers look to engage potential and current customers with the objective of increased awareness and sales.
14- Operations Manager
An operations manager oversees the production of goods and services for a business to ensure it’s done in the most effective and efficient way. Operations managers seek to find ways to optimize output and increase productivity by facilitating programs, controlling inventory, and handling logistics.
15- Retail Sales Management
Retail sales management is responsible for the day-to-day operations of a retail store. The manager directs the interviewing, hiring, and training of salespeople and customer service representatives. They also prepare schedules, assign duties, and handle customer complaints.