Business & Economics
Companies, markets, trade and the language of business.
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71 words
Definitions in: English- 1stakeholdernounformal
A person or group with an interest or concern in a business or project
We need to consult all key stakeholders before making any changes to the supply chain.
- 2subsidiarynounformal
A company controlled by a larger parent company
The tech giant acquired a small AI firm and turned it into a wholly owned subsidiary.
- 3conglomeratenounformal
A large corporation made up of several different businesses
Samsung is a massive conglomerate with interests ranging from electronics to shipbuilding.
- 4mergernounformal
The combining of two companies into one entity
The merger between the two airlines created the third-largest carrier in the world.
- 5acquisitionnounformal
The purchase of one company by another
The acquisition of the startup cost them nearly two billion dollars.
- 6shareholdernounformal
A person who owns shares in a company
Shareholders voted overwhelmingly in favour of the new CEO at the annual general meeting.
- 7board of directorsnoun phraseformal
The governing body elected to oversee a company's activities
The board of directors approved a restructuring plan that would eliminate 3,000 positions.
- 8leveragenounformal
The power or advantage gained from a position, or the use of borrowed capital
Having exclusive distribution rights gives us considerable leverage in negotiations.
- 9diversifyverbneutral
To expand a business into different areas or products to reduce risk
The oil company is looking to diversify into renewable energy sources.
- 10outsourceverbneutral
To contract work to an external company rather than doing it in-house
They decided to outsource their customer service operations to a call centre in Manila.
- 11streamlineverbneutral
To make a process or organization more efficient by simplifying it
We've streamlined the approval process so that new projects can get started within a week.
- 12downsizeverbneutral
To reduce the number of employees or scale of operations
The company was forced to downsize after losing its biggest contract.
- 13restructureverbformal
To reorganize the structure of a company or system
The new CEO's first priority was to restructure the company's debt before it became unmanageable.
- 14tariffnounformal
A tax imposed on imported or exported goods
The new tariffs on steel imports have significantly increased manufacturing costs.
- 15supply chainnoun phraseneutral
The entire process of producing and delivering a product, from raw materials to the consumer
The pandemic exposed just how fragile global supply chains really are.
- 16procurementnounformal
The process of obtaining goods or services, typically for a business
The procurement department negotiated a 15% discount on raw materials.
- 17monetaryadjectiveformal
Relating to money or currency, especially the policies of a central bank
The central bank tightened monetary policy by raising interest rates to combat inflation.
- 18equitynounformal
The value of ownership in a company, or shares representing that ownership
The founders retained 60% equity in the company after the first round of funding.
- 19volatilitynounformal
The tendency for rapid and unpredictable change, especially in markets
Market volatility has increased sharply in response to geopolitical tensions.
- 20austeritynounformal
Strict government economic policies aimed at reducing public spending
Years of austerity left public services severely underfunded.
- 21stagnationnounformal
A period of little or no economic growth or activity
The country has experienced economic stagnation for nearly a decade.
- 22turnovernounneutral
The total revenue of a business, or the rate at which employees leave and are replaced
The company reported an annual turnover of £50 million, up 12% from the previous year.
- 23venture capitalnoun phraseformal
Funding provided to early-stage companies with high growth potential
The startup secured $10 million in venture capital to scale its operations.
- 24dividendnounformal
A payment made by a corporation to its shareholders from profits
The company declared a dividend of 45 pence per share.
- 25monopolynounneutral
Exclusive control of a commodity or service in a market
Critics argue that the tech giant has effectively established a monopoly in online advertising.
- 26lucrativeadjectiveneutral
Producing a great deal of profit
The pharmaceutical industry remains one of the most lucrative sectors in the world.
- 27viableadjectiveneutral
Capable of working successfully; feasible in a business context
We need to determine whether the project is commercially viable before committing more resources.
- 28allocateverbformal
To distribute resources or funds for a particular purpose
The board decided to allocate an additional $2 million to research and development.
- 29capitalize onphrasal verbneutral
To take advantage of a situation or opportunity for profit or benefit
The company was quick to capitalize on the growing demand for plant-based foods.
- 30undercutverbneutral
To offer goods or services at a lower price than a competitor
Foreign manufacturers are undercutting domestic producers by as much as 30%.
- 31markupnounneutral
The amount added to the cost price to determine the selling price
Retailers typically apply a markup of around 50% on wholesale prices.
- 32franchisenounneutral
A licence to operate a business using another company's brand and model
She bought a fast-food franchise and opened three locations within two years.
- 33commoditynounformal
A raw material or primary product that can be bought and sold
Oil remains the most traded commodity in the world.
- 34bailoutnounneutral
Financial assistance given to a failing business or economy to save it from collapse
The government's bailout of the banking sector was deeply controversial.
- 35benchmarknounformal
A standard or reference point against which things can be compared or assessed
The S&P 500 is widely used as a benchmark for overall market performance.
- 36forecastnounneutral
A prediction about future business or economic conditions
The latest economic forecast suggests GDP growth will slow to 1.2% next year.
- 37forecastverbneutral
To predict or estimate future business or economic conditions
Analysts are forecasting a sharp decline in consumer spending over the next quarter.
- 38deficitnounformal
The amount by which spending exceeds income or revenue
The country's trade deficit widened to a record $80 billion last year.
- 39surplusnounformal
An amount of something left over when requirements have been met; income exceeding expenditure
Germany has consistently run a trade surplus thanks to its strong export sector.
- 40portfolionounformal
A range of investments or products held by a person or company
The company has expanded its product portfolio to include sustainable packaging solutions.
- 41break evenverb phraseneutral
To reach a point where revenue equals costs, with neither profit nor loss
The startup expects to break even within its third year of operation.
- 42revenuenounformal
The total income generated by a business before expenses are deducted
The company's revenue grew by 18% year on year, driven by strong demand in Asia.
- 43marginnounneutral
The difference between cost and selling price, expressed as a percentage of revenue
Our margins have been squeezed by rising raw material costs.
- 44insolvencynounformal
The state of being unable to pay one's debts
The company was teetering on the brink of insolvency before the emergency funding came through.
- 45hedgeverbformal
To protect against financial loss by making counterbalancing investments
Many airlines hedge against fuel price fluctuations by buying futures contracts.
- 46due diligencenoun phraseformal
A thorough investigation of a business before signing a contract or making an investment
The acquisition fell through after due diligence revealed significant liabilities.
- 47scalableadjectiveneutral
Capable of being expanded or increased in size or scope efficiently
Investors want to see that your business model is scalable before they'll commit funding.
- 48disruptverbneutral
To radically change an industry or market through innovation
Streaming services have completely disrupted the traditional television industry.
- 49ROInounneutral
Return on investment – a measure of the profitability of an investment
The marketing team needs to demonstrate a clear ROI on their digital campaigns.
- 50liableadjectiveformal
Legally responsible, especially in the context of business obligations
The directors could be held personally liable if the company is found to have traded while insolvent.
- 51liabilitiesnounformal
Financial obligations or debts owed by a company
The company's liabilities now exceed its assets, which is a serious red flag for investors.
- 52inflateverbneutral
To increase prices, costs, or values artificially or excessively
Critics accused the company of inflating its revenue figures to attract investors.
- 53deregulationnounformal
The removal of government regulations from an industry
Deregulation of the airline industry led to lower fares but also increased consolidation.
- 54incentivizeverbformal
To motivate or encourage action through rewards or benefits
The government plans to incentivize green investment through tax breaks.
- 55consortiumnounformal
A group of companies or organizations that join together for a common purpose
A consortium of banks agreed to provide the $5 billion in financing needed for the project.
- 56yieldnounformal
The income return on an investment, typically expressed as a percentage
Bond yields have been falling steadily as investors seek safe-haven assets.
- 57auditnounformal
An official examination of a company's financial accounts
The annual audit revealed several discrepancies in the company's expense reports.
- 58compliancenounformal
The act of conforming to laws, regulations, or standards in business
The company faces heavy fines for non-compliance with data protection regulations.
- 59entrepreneurnounneutral
A person who starts and runs businesses, taking on financial risk
She's a serial entrepreneur who has founded four companies in the last decade.
- 60start-upnounneutral
A newly established business, especially one seeking to grow rapidly
The start-up raised $30 million in its Series A funding round.
- 61leverageverbneutral
To use something to maximum advantage
We need to leverage our existing customer base to drive sales of the new product line.
- 62liquidateverbformal
To wind up a business by selling off its assets
The court ordered the insolvent firm to liquidate all remaining assets.
- 63fiscaladjectiveformal
Relating to government revenue, especially taxes, or to financial matters
The government introduced a series of fiscal measures to stimulate economic recovery.
- 64overheadsnounneutral
The ongoing costs of running a business that are not directly tied to production
Moving to a smaller office was part of a broader effort to reduce overheads.
- 65depreciationnounformal
The reduction in value of an asset over time, or a decline in a currency's worth
The depreciation of the machinery is factored into our annual accounts.
- 66bottom linenoun phraseneutral
The final total of an account or the fundamental and most important factor
Cost-cutting measures improved the bottom line by £4 million in the second half of the year.
- 67sanctionsnounformal
A penalty or restrictive measure imposed by a government on another country or entity
International sanctions have severely limited the country's ability to trade on global markets.
- 68floatverbformal
To offer shares of a company for sale on the stock market for the first time
The company plans to float on the London Stock Exchange later this year.
- 69overheadnounneutralAmerican English
American English word (used as an uncountable noun) for the indirect running costs of a business, such as rent and utilities; British English typically uses the plural 'overheads'.
We moved to a smaller office to cut our overhead during the downturn.
We moved to a smaller office to reduce our fixed running costs during the downturn.
- 70capitalise onverbneutralBritish English
British English spelling of the phrasal verb meaning to exploit an opportunity or advantage for one's benefit; American English spells it 'capitalize on'.
The firm was quick to capitalise on its rival's supply-chain problems.
The firm quickly took advantage of its rival's supply-chain problems.
- 71incentiviseverbneutralBritish English
British English spelling of the verb meaning to provide motivation or financial encouragement for a desired action; American English spells it 'incentivize'.
The board introduced bonuses to incentivise managers to hit their targets.
The board introduced bonuses to motivate managers to hit their targets.
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Talk business like a professional with vocabulary drawn from the boardroom, the market, and the wider economy. This pack covers company structure, negotiation and trade, plus the economic ideas behind growth, competition, and profit. Aimed at upper-intermediate and advanced learners, it sharpens the precise, formal language that meetings, reports, and confident workplace conversation demand.
Other levels of Business & Economics
More English vocabulary at C1
Travel & Transport
69 wordsEmotions & Feelings
71 wordsHealth & Medicine
67 wordsWork & Career
70 wordsEducation & Learning
64 wordsTechnology & Internet
70 wordsMedia & Entertainment
70 wordsRelationships & Social Life
87 wordsEnvironment & Nature
80 wordsMoney & Finance
54 wordsPolitics & Society
71 wordsScience & Research
64 wordsArts & Culture
67 wordsLaw & Justice
71 wordsAbstract Concepts
66 wordsIdioms & Expressions
85 wordsFormal & Written Language
65 words