Podcast
Questions and Answers
Which of the following scenarios best illustrates a cooperative business relationship between a supplier and a retailer?
Which of the following scenarios best illustrates a cooperative business relationship between a supplier and a retailer?
- A retailer regularly switches suppliers to take advantage of short-term price drops offered by different companies.
- A retailer threatens to switch to a competitor unless the supplier provides exclusive discounts and benefits.
- A supplier consistently offers the lowest prices to the retailer, even if it means reducing their own profit margin.
- A supplier and retailer agree on fair prices and timely deliveries, fostering a long-term partnership. (correct)
In the context of business contracts, what is the most accurate definition of 'consideration'?
In the context of business contracts, what is the most accurate definition of 'consideration'?
- A clause that considers the other party's financial situation.
- A period where one party deliberates about entering the contract
- The act of carefully reviewing the contract's terms and conditions.
- Something of value exchanged by each party as part of the agreement. (correct)
Which conflict resolution method involves a neutral third party making a legally binding decision for the disputing parties?
Which conflict resolution method involves a neutral third party making a legally binding decision for the disputing parties?
- Arbitration (correct)
- Conciliation
- Mediation
- Negotiation
What role does Enterprise Ireland play in the context of the stakeholders in business?
What role does Enterprise Ireland play in the context of the stakeholders in business?
Which of the following actions is most likely to be undertaken by IBEC (Irish Business and Employers Confederation)?
Which of the following actions is most likely to be undertaken by IBEC (Irish Business and Employers Confederation)?
What distinguishes competitive relationships from cooperative relationships in business?
What distinguishes competitive relationships from cooperative relationships in business?
How do entrepreneurs primarily contribute to a business ecosystem, as highlighted in the provided material?
How do entrepreneurs primarily contribute to a business ecosystem, as highlighted in the provided material?
If a business and a local community are in conflict over environmental pollution, which resolution method would likely be most effective for achieving a mutually acceptable and sustainable solution?
If a business and a local community are in conflict over environmental pollution, which resolution method would likely be most effective for achieving a mutually acceptable and sustainable solution?
Which of the following scenarios would NOT be considered a valid reason for contract termination due to 'frustration'?
Which of the following scenarios would NOT be considered a valid reason for contract termination due to 'frustration'?
A local bakery enters an agreement to supply cupcakes weekly to a coffee shop. The bakery increases its prices by 50%, because the cost of butter significantly increased. If the coffee shop refuses to pay the increased price and the bakery stops supplying product, what best describes this situation?
A local bakery enters an agreement to supply cupcakes weekly to a coffee shop. The bakery increases its prices by 50%, because the cost of butter significantly increased. If the coffee shop refuses to pay the increased price and the bakery stops supplying product, what best describes this situation?
If a consumer purchases a product online that is falsely advertised, which act is primarily designed to protect the consumer in this situation?
If a consumer purchases a product online that is falsely advertised, which act is primarily designed to protect the consumer in this situation?
Which of the following actions constitutes a remedy of 'rescission' in a breach of contract scenario?
Which of the following actions constitutes a remedy of 'rescission' in a breach of contract scenario?
A furniture store sells a couch described as 'genuine leather,' but it's actually made of synthetic material. Under the Sale of Goods and Supply of Services Act 1980, what consumer right has been violated?
A furniture store sells a couch described as 'genuine leather,' but it's actually made of synthetic material. Under the Sale of Goods and Supply of Services Act 1980, what consumer right has been violated?
In which situation would the Small Claims Court be the MOST appropriate venue for resolving a consumer complaint?
In which situation would the Small Claims Court be the MOST appropriate venue for resolving a consumer complaint?
Which of the following contract elements confirms that all parties entering into a contract are of sound mind and legal age?
Which of the following contract elements confirms that all parties entering into a contract are of sound mind and legal age?
Company A promises in writing to deliver 100 widgets to company B by a specific date. Company A never sends the product. Company B wins a court case and receives an order for them to receive the widgets. What remedy is depicted in this case?
Company A promises in writing to deliver 100 widgets to company B by a specific date. Company A never sends the product. Company B wins a court case and receives an order for them to receive the widgets. What remedy is depicted in this case?
A car sales company uses aggressive sales tactics, pressuring customers with prolonged sales pitches to buy cars they don't want. Which organization would be MOST appropriate to investigate these practices?
A car sales company uses aggressive sales tactics, pressuring customers with prolonged sales pitches to buy cars they don't want. Which organization would be MOST appropriate to investigate these practices?
What is the most appropriate first step a consumer should take when they discover a fault in a product they recently purchased?
What is the most appropriate first step a consumer should take when they discover a fault in a product they recently purchased?
Flashcards
Stakeholder
Stakeholder
Any individual or group affected by a business's actions.
Entrepreneurs
Entrepreneurs
Individuals who identify opportunities, take risks, and start businesses.
Investors role
Investors role
Providing capital (loans/equity) in exchange for a return.
Consumers Role
Consumers Role
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Cooperative Relationship
Cooperative Relationship
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Competitive Relationship
Competitive Relationship
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Negotiation
Negotiation
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Offer in contract law
Offer in contract law
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Intention to Contract
Intention to Contract
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Capacity to Contract
Capacity to Contract
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Consent to Contract
Consent to Contract
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Legality of Form & Purpose
Legality of Form & Purpose
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Termination by Performance
Termination by Performance
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Termination by Agreement
Termination by Agreement
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Termination by Frustration
Termination by Frustration
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Termination by Breach
Termination by Breach
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Damages (Remedy)
Damages (Remedy)
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Specific Performance
Specific Performance
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Study Notes
- A stakeholder is any individual or group affected by a business's actions.
Main Stakeholders & Their Roles
- Entrepreneurs identify business opportunities, take risks, and set up businesses (e.g., Elon Musk of Tesla).
- Investors provide capital (loans/equity) for a return (e.g., bank loans, venture capitalists).
- Employers hire staff, provide wages, and ensure safe working conditions.
- Employees work for wages/salaries and may join trade unions (e.g., SIPTU).
- Consumers buy goods/services, influencing demand and business success.
- Suppliers provide raw materials or products for business operations.
- Government collects taxes, regulates business activity, and offers grants/incentives (e.g., Enterprise Ireland).
- Local communities receive employment from businesses but may experience environmental impacts.
Business Relationships
- Stakeholders interact in cooperative or competitive relationships.
Cooperative Relationships
- Cooperative relationships involve both parties working together for mutual benefit.
- Example: A supplier and retailer agreeing on fair prices and timely deliveries.
Competitive Relationships
- Competitive relationships involve stakeholders working against each other to achieve their own goals.
- Example: Ryanair and Aer Lingus competing for customers through pricing and service quality.
Conflict Resolution Methods
- Negotiation involves discussion and compromise between parties.
- Conciliation involves a neutral third party helping to reach an agreement.
- Arbitration involves a third party making a legally binding decision.
Interest Groups (Pressure Groups)
- Interest groups are organizations that lobby for change in business or government policy.
- IBEC (Irish Business and Employers Confederation) represents employers.
- ICTU (Irish Congress of Trade Unions) represents employees and trade unions.
- Greenpeace advocates for environmental protection.
Contracts in Business
- A contract is a legally binding agreement between two or more parties.
Elements of a Valid Contract (OACICCL)
- Offer: One party makes a clear, unambiguous proposal.
- Acceptance: The other party agrees without changes.
- Consideration: Each party gives something of value.
- Intention to Contract: Both parties intend for the agreement to be legally binding.
- Capacity to Contract: Parties must be legally capable (not under 18, not bankrupt, etc.).
- Consent to Contract: Agreement must be voluntary (no fraud, undue influence, or misrepresentation).
- Legality of Form & Purpose: Contracts must be in the correct format and for a legal purpose.
Termination of a Contract
- Performance: Both parties fulfill their obligations.
- Agreement: Both parties agree to end the contract.
- Frustration: An unforeseen event makes the contract impossible to fulfill (e.g., natural disaster).
- Breach: One party fails to fulfill their obligations.
Remedies for Breach of Contract
- Damages: Financial compensation is awarded.
- Specific Performance: The court orders the contract to be carried out.
- Rescission: The contract is cancelled, and both parties return to their original positions.
Consumer Protection: Sale of Goods and Supply of Services Act 1980
- This act protects consumers by ensuring goods are of merchantable quality, fit for purpose, match their description and sample.
- Services must be provided by a qualified person using proper materials.
- Example: A customer buying a laptop that doesn’t turn on is entitled to a refund, repair, or replacement.
Consumer Protection: Consumer Protection Act 2007
- This act prohibits false or misleading advertising and aggressive selling practices.
- It enforces consumer protection through the Competition and Consumer Protection Commission (CCPC).
Resolving Consumer Complaints
- Negotiation: Contact the business directly.
- Consumer Association of Ireland (CAI): Provides advice and guidance.
- Competition and Consumer Protection Commission (CCPC): Investigates unfair business practices.
- Small Claims Court: Handles claims up to €2,000 for a low fee, without a solicitor.
- Ombudsman: Investigates complaints against government services.
- Example: If an airline refuses a refund for a cancelled flight, the passenger can contact the CCPC or take the case to the Small Claims Court.
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Description
Stakeholders are individuals or groups affected by a business's actions, including entrepreneurs, investors and employees. These stakeholders interact in cooperative or competitive relationships. Businesses must manage these relationships effectively for success.
