Do you feel out of place while your friends converse about the ins and outs of the business world? Business jargon is a collection of words borrowed from diverse fields, old adages, sports, economics, internet lingo and the likes. So, even though you might have a vague recognition of the term used, their context eludes you. Words like entrepreneur (the person who is in charge of the business and, therefore, takes higher financial risk than anybody else.) and appraisal (assessment of the value of the business.) recur often in business conversations.
Here are some words for you that you can pitch in next time a business related conversation is going on.
DUE DILIGENCE:
This refers to a formal investigation of all the nuances of a particular business. This investigation is carried out by potential buyers or future investors of the company. They pull out all sorts of records of the company like income, expenses, client satisfaction, credit line and the likes, to evaluate the net worth.
Prior to the merger, experts were called in to gather due diligence about the company.
RIFLE APPROACH:
This is a business strategy, which encourages the employees to focus on specific targets. This is usually used in the marketing department, when a few prospects have more turnover than the others. So, they place razor focus on a relatively small base which makes the venture more profitable.
The marketing team adopted the rifle approach policy to ensure higher turnover.
BALLPARK FIGURE:
Usually used by accountants and salesmen, this term refers to a numerical estimate. Before the purchase, an estimate is provided of the future value of the product. This estimated approximate figure is known as the ballpark figure. The keyword being ‘approximate’ and ‘estimate’, such numbers are not based on hard facts, rather they happen to be an assumption of the value in the future. The origin of this phrase is from a sports field, specifically baseball.
I would like to get a ballpark estimate, before we talk any further about this deal.
START UP
In simple terms, this means the start of something new, a new business, or venture or a new project. To be more specific, this refers to an emerging and a fast growing business which has an aim to develop innovative products and/or services. Typically such companies are based on small scale business models. Nowadays, there is a surge of start-up companies emerging in the market, with something new to offer.
Nowadays, these startup companies are creating a number of new jobs in the employment market.
MICROMANAGE:
Now, this word is not merely used in the context of business. You might have also come across it elsewhere. However, in all contexts, this word carries a negative connotation. In the business world, this term refers to a method of management, whereby the manager closely supervises and manages every minute aspect of the work assigned to his/her subordinates and co-workers.
The new manager has an annoying habit of micromanaging every aspect of the operations.
BATTING AVERAGE:
This phrase too has been borrowed from the sports lingo pertaining to baseball. This refers to the strategy of measuring the ratio of success. In other words, the percentage or ratio of times that something has seen success in the market.
We will have to relaunch the latest edition of this product in the market with a new strategy to increase the batting average.
BUY-IN
This has two meanings in the context of business. One implies the agreement and acceptance of something new. The second meaning is more specific, as it refers to the purchase of the shares of a company to gain complete control over it.
He will have to buy-in more shares in order to get the reins of the company.
TAILWINDS AND HEADWINDS:
In aviation, tailwinds refer to the wind blowing towards the direction of travel. In the business context, it implies favorable conditions which promote growth and higher profit and revenue. On the other hand, headwinds refer to travel and movement against the wind. In business language, this refers to a hindrance which makes growth harder to attain.
If you wish to be a good businesswoman, then you will have to learn how to manage with the tailwinds and headwinds.
IN BED
This refers to a liaison, whereby, two companies merge and work in perfect harmony without the fear of competition from one another. This is not a formal term yet,, this is very commonly used as business slang.
The two rival companies got in bed with each other to drive their new emerging competition out of business.
Any essential business words you think we’ve missed? Share with us!
