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Business 9609/22 Oct Nov 2022

1. Friendly Fit (FF):
- Customer definition: Individuals or businesses purchasing goods or services from a company.
- Public limited company: A business entity that can sell shares to the public on a stock exchange, enhancing its ability to raise capital.
- Profit margin (2020): Percentage calculated using profit and revenue to assess profitability.
- Using profit margin data: Helps identify efficiency, guide pricing strategies, and monitor financial performance.
- Value addition in the app: Enhancing user experience through new features or improving interface design.
- Sampling process limitations: Potential biases from stratification, low response rates, and the unrepresentative sample size impacting reliability.

2. Cartoon Costumes (CC):
- Inventory definition: Goods or materials held by a business for production or sale.
- Entrepreneur: An individual who identifies business opportunities, assumes risks, and manages resources for profit.
- Working capital change: Reflects CC’s liquidity improvement or decline, calculated by current assets minus current liabilities.
- Revenue vs. capital expenditure: Revenue expenditure covers daily operational costs, while capital expenditure involves long-term asset investments.
- Crowdfunding: Advantages include diverse funding sources and marketing benefits; disadvantages include dependency on public interest and platform fees.
- Hiring decision: Compare Liu’s youthful energy and academic background with Ahura’s extensive experience and administrative skills, prioritizing fit for business needs.

Laura Bellini

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