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1.1 What is a business?

1.2 Types of business entities

1.3 Business objectives

1.4 Stakeholders

1.5 Growth and evolution

1.6 Multinational companies

2.1 Introduction to HR management

2.2 Organizational structure

2.3 Leadership and management

2.4 Motivation and demotivation

2.5 Organizational (corporate) culture (HL only)

2.6 Communication

2.7 Industrial/employee relations (HL only)

3.1 Introduction to finance

3.2 Sources of finance

3.3 Costs and revenues

3.4 Final accounts

3.5 Profitability and liquidity ratio analysis

3.6 Efficiency ratio analysis (HL only)

3.7 Cash flow

3.8 Investment appraisal

3.9 Budgets (HL only)

4.1 Introduction to marketing

4.2 Marketing planning

4.3 Sales forecasting (HL only)

4.4 Market research

4.5 The seven Ps of the marketing mix

4.6 International marketing (HL only)

5.1 Introduction to operations management

5.2 Operations methods

5.3 Lean production and quality management (HL only)

5.4 Location

5.5 Break-even analysis

5.6 Production planning (HL only)

5.7 Crisis management and contingency planning (HL only)

5.8 Research and development (HL only)

5.9 Management information systems (HL only)

SWOT analysis

Ansoff matrix

STEEPLE analysis

Boston Consulting Group (BCG) matrix

Business plan

Decision trees

Descriptive statistics

Circular business models

Force field analysis (HL only)

Gantt chart (HL only)

Hofstede's cultural dimensions (HL only)

Porter's generic strategies (HL only)

Contribution (HL only)

Critical path analysis (HL only)

Simple linear regression (HL only)

IB Business Management 3.5.2 Strategies to Improve Profitability Ratios Key Definitions

Definition

Return on Capital Employed

ROCE is a key profitability ratio that measures how efficiently a company generates profit from its capital employed.

$$\text{ROCE} = \frac{\text{Profit before interest and tax}}{\text{Capital employed}} \times 100$$

A higher ROCE indicates efficient use of capital in generating profits.