Individualism is a philosophy or quality characterized by the tendency of a manager or employee to make decisions and perform tasks in their own way or style. Encouraging individualism can lead to enhanced creativity and motivation but also requires a balance to ensure corporate goals and policies are upheld.
Inductive reasoning is a process where specific observations or experiences are used to make generalized conclusions. Commonly used in fields such as science, marketing, and business strategy, inductive reasoning involves deriving patterns or theories from specific instances.
Industrial advertising focuses on promoting products and services used by commercial business customers in the production or distribution of other goods and services. This niche sector is vital for businesses that deal in raw materials, components, or equipment.
Industrial classification segments companies that engage in the production and distribution of goods and services, excluding utilities, transportation, and financial services.
Refers to a user of industrial products, though the correct term should be 'industrial customer'. The term 'industrial consumer' is utilized informally within the industry to differentiate this user type from other product users.
An Industrial Development Board (IDB) is a governmental or quasi-governmental entity established to promote and support economic development within a specific jurisdiction. Its primary role is to attract, retain, and expand businesses and industries to enhance the local economy, create jobs, and improve the quality of life for residents.
A debt instrument issued by a municipality to finance assets, which are then leased to private industrial businesses to promote local economic development.
Industrial Development Bonds (IDBs) are debt obligations issued by state or local governments for funding the capital investments in the trade or business operations of nonexempt persons.
An industrial distributor is a wholesaler who sells products to industrial customers rather than to retailers, providing a vital link in the supply chain.
An industrial engineer studies industrial productivity and implements recommended changes to optimize integrated systems comprising workers, materials, and equipment. This involves applying mathematical, physical, and social sciences combined with engineering principles and methods to improve system efficiency and productivity.
Industrial fatigue refers to employee burnout characterized by physical or emotional exhaustion, resulting in lowered job productivity and performance. Factors like understaffing, unpleasant surroundings, and high pressure can contribute to this condition.
Products or services purchased for use in the production of other goods or services, in the operation of a business, or for resale to other consumers. Industrial products include heavy machinery, raw materials, tools, and computer equipment.
An industrial park is a designated area zoned specifically for manufacturing and related activities, often complete with necessary infrastructure to support industrial operations.
Monthly statistic released by the Federal Reserve Board (FRB) on the total output of all U.S. factories and mines. These numbers are a key economic indicator.
Industrial property refers to real estate used for industrial purposes. Common types include factory-office multiuse property, factory-warehouse multiuse property, heavy manufacturing buildings, industrial parks, light manufacturing buildings, and research and development parks.
Industrial Psychology, also known as Personnel Psychology, is a specialized field of psychology focusing on the understanding and application of psychological principles and methods to various aspects of work environments.
Industrial relations encompass the dealings and interactions of a company with its employees, labor unions, and governmental institutions, with a focus on promoting partnership, cooperation, and negotiated conflict resolution.
An industrial revenue bond (IRB) is a type of municipal bond issued to finance industrial development projects for private corporations. They are typically used for the construction or acquisition of facilities and equipment, encouraging economic growth and job creation.
The Industrial Revolution marks a significant period of transformation characterized by the introduction of mass production, improved transportation, technological advancements, and the industrial factory system. In the United States, this era is generally considered to have begun around the time of the Civil War (1861-1865).
An industrial union is an organization that unites all workers, regardless of their specific trades or occupations, within a particular industry under one umbrella. This type of union aims to include a broad spectrum of workers, from laborers to specialists, to collectively negotiate labor conditions and advocate for workers' rights.
An industrialist is an individual involved in the business of industry. The term evolved from the early industrial period, where large trusts and monopolies were formed by a group of business people referred to as industrialists.
An industry is a group of companies that are related based on their primary business activities. In modern economies, there are dozens of industry classifications, which are typically grouped into larger categories called sectors.
Industry standard refers to the orderly and systematic formulation, adoption, or application of standards used in the industrial sector of the economy. It is a generally accepted requirement to be met for the attainment of a recurrent industrial objective.
Industry structure analysis involves evaluating the opportunities and threats presented to a firm by the prevailing environment. It helps appraise the attractiveness of the industry to investors or new entrants and devise competitive strategies. Porter’s Five Forces framework is the standard tool for this analysis.
Inefficiencies in the market occur when investors fail to recognize the true value or risks associated with a particular stock or bond. These inefficiencies contradict the Efficient Market Hypothesis (EMH), which posits that current prices reflect all available information about securities. However, discrepancies between theory and practice provide opportunities for arbitrageurs to profit from market inefficiencies
Inelastic supply and demand refer to situations where the quantity supplied or demanded of a good or service changes very little in response to changes in its price. This concept is crucial in economics as it affects pricing, revenue, and market equilibrium.
Inelasticity refers to the characteristic of a good or service for which the quantity demanded or supplied is relatively unaffected by changes in price.
An ineligible group consists of companies that cannot qualify for specific filing exemptions due to the presence of a non-qualifying member, such as a public limited company or a bank.
The Infant Industry Argument is an economic rationale for implementing trade protection measures to allow emerging domestic industries to establish and grow without the pressures of international competition.
Inferential statistics is the process of drawing information from sampled observations of a population and making conclusions about the population.
An inferior good is a type of product for which demand decreases as the income of the consumers rises, leading to a greater consumption of more expensive alternatives.
Inferred Authority is a type of authority assumed by an individual when a higher authority leaves their post, often exercised due to inferred abilities or circumstances requiring immediate leadership.
A general increase in prices in an economy, leading to a consequent fall in the purchasing value of money.
A comprehensive look at inflation accounting, its definition, examples, related terms, FAQs, online resources, and suggested books for further studies.
An attachment to a property insurance policy that automatically adjusts its coverage according to the construction cost index in a community.
An investment designed to protect against the loss of purchasing power resulting from inflation, allowing investors to maintain the value of their money over time.
The inflation rate represents the rate of change in prices over a given period. Two primary U.S. indicators of the inflation rate are the Consumer Price Index (CPI) and the Producer Price Index (PPI), which track changes in prices paid by consumers and producers, respectively.
Inflation targeting is a monetary policy strategy where a central bank sets an explicit target rate for inflation and uses tools such as interest rate adjustments to achieve this target. This policy was first adopted by New Zealand in 1990 and has since been implemented by over 50 countries, including the UK and a more flexible approach by the USA.
Inflation-Indexed Securities are bonds or notes that guarantee a return exceeding inflation if held to maturity. These instruments include Treasury Inflation-Protected Securities (TIPS) and mutual funds owning such securities.
An inflationary gap occurs when aggregate demand exceeds aggregate supply, causing price increases in a fully employed economy or production increases if the economy is not at full employment. This phenomenon is often attributed to government deficits and excess spending.
An inflationary spiral is an episode of inflation in which price increases occur at an increasing rate, and currency rapidly loses value.
An informal leader is someone whose power and authority over a group stem from the group's acceptance rather than from any official position, status, or rank within the formal organizational hierarchy.
Aspects of an organization that are undefined in the formal structure, including human relationships, actual power versus formal power, communication, and social networks.
Information inductance refers to the extent to which a person's behavior is affected by the information they are required to communicate. This concept highlights the potential biases in the presentation and interpretation of key financial data.
Information intermediaries are individuals and groups tasked with obtaining, analyzing, and interpreting information to inform others, often helping clients make significant financial decisions.
The increasing amount of financial information that companies are required to provide, some of which is beyond the user's ability to assimilate, analyze, and interpret.
An information return is a document that businesses, organizations, and entities must submit to the IRS to report certain types of payments made during the year. While it does not compute the actual tax liability of a taxpayer or accompany the payment of taxes, it provides key details that are relevant for tax calculations. Common examples include Forms 1099, W-2, and others.
The term 'Information Superhighway' refers to the electronic transfer of information, including access to databases, banking, television and movie programs, libraries, and more, which became prevalent in the 1990s.
Information systems encompass any written, electronic, or graphical methods of communicating information. The basis of an information system is the sharing and processing of information and ideas. Computers and telecommunication technologies have become essential information system components.
Information Technology involves the use of computers and other electronic means to process, distribute, and transfer information. Various networks, including Wi-Fi, satellite links, and mobile networks, facilitate tasks such as email communication, remote database access, and electronic funds transfer, playing a significant role in the globalization of markets.
Infrared (IR) is a type of electromagnetic radiation with a wavelength longer than visible light but shorter than radio waves. It is commonly used for data transmission in devices like TV remote controls, wireless mice, and keyboards.
Infrastructure, also known as social overhead capital, refers to the essential goods and services that require significant investments and are critical for the effective functioning of an economy. This includes elements like roads, railways, sewerage, and electricity supply.
Infringement refers to the violation or overstepping of another individual's or entity's protected rights, including but not limited to intellectual property rights such as copyrights, patents, and trademarks.
An ingot is a bar or block of metal, typically iron, that has been cast into a specific shape for convenient handling and processing.
Ingress and egress refer to the rights and means of entering and leaving a property. These terms are crucial in real estate, law, and property management, as they dictate the accessibility and usability of properties.
A provision in property insurance policies that extends coverage to conditions inherently associated with explosions.
Inherent goodwill refers to the non-quantifiable value a business possesses, often through reputation, customer loyalty, and other intangible factors, that is organically developed over time.
Inherent vice refers to a defect or innate characteristic of an item that results in its damage or destruction without external intervention, often excluded from cargo insurance policies.
Inheritance refers to the process of acquiring property, assets, or obligations from an individual who passed away, often via a will or through legal operation.
Inheritance refers to real or personal property that is received by heirs. It generally includes property passed by will, and while the estate itself may be subject to federal estate tax, the recipient typically does not owe federal income tax on the inheritance.
Inheritance Tax (IHT) is a tax on the estate, such as money, property, and possessions, of someone who has died. IHT is often seen as significant, as it can substantially reduce the value that beneficiaries receive from an estate.
Inheritance Tax (IHT) is a tax introduced in the Budget of 1986, charged on the estate of a deceased individual domiciled in the UK or on UK property owned by a non-domiciled individual. It applies retrospectively on certain lifetime gifts and includes exemptions and potential allowances.
The term 'initial' primarily refers to something that is at the beginning or the first occurrence. It also denotes the first letter of a name or word. In various contexts, such as communication and documentation, it holds specific importance.
An Initial Public Offering (IPO) is a corporation's first sale of stock to the public. This event marks a pivotal moment for a company, transforming it from a private entity to a publicly traded company.
The Initial Public Offering (IPO) is the first sale of shares by a private company to the public. IPOs are critical as they help companies raise capital and expand their operations, but setting the issue price correctly can be a challenging task.
The process through which a private company offers its shares to the public for the first time, transforming into a publicly traded company.
The initial yield represents the gross initial annual income generated by an asset divided by the initial cost of that asset. It is commonly used in real estate and investment analysis to measure the initial return on investment.
To prepare for use, particularly in the context of computers or printers, which often involves a sequence of error checking and other self-diagnostics.
Initiative refers to the action of creating or starting new projects or ideas. A manager with initiative has the aptitude to introduce new concepts or techniques, often taking action independently without waiting for instructions. Individuals displaying initiative are self-starters and self-motivated. In the business world, initiative is closely linked to entrepreneurial activities.
An injunction is a judicial remedy awarded to restrain a particular activity; originally used by courts of equity to prevent conduct contrary to equity and good conscience. It is a preventive measure aimed at averting future harm rather than addressing past injuries.
An inkjet printer is a type of printer that forms characters and images by firing tiny droplets of ink onto paper. It is often used as a cost-effective alternative to the more expensive laser printer for various printing applications.
In transportation, an inland carrier is a company responsible for moving goods from a port of entry to an inland point within the continent. These carriers play a crucial role in the supply chain by ensuring that goods reach their final destinations efficiently.
Inland Marine Insurance provides coverage for loss or damage to property transported over land, excluding oceanic shipments. It primarily covers high-value items, equipment, and other movable property during transit.
Inland marine insurance is a specialized type of property insurance that covers loss of or damage to goods, property, and equipment during transit over land or while being stored away from the main location. This insurance can also cover specialized types of movable property, including equipment and specialized tools.
Generally the older and more urbanized area of a large city surrounding the central business district. The term often refers to densely populated blighted areas characterized by low-income residents and a high proportion of minority racial and ethnic groups.
An innocent purchaser is an individual or entity that buys an asset without knowledge of any defect in the title or property.
Innovation refers to the use of a new product, service, or method in business practice immediately subsequent to its discovery. It plays a critical role in the growth and success of businesses by fostering competitive advantage, enhancing productivity, and driving industry evolution.
Data fed into a computer for processing. Computers receive input through an input device, like a keyboard, or from a storage device, such as a disk drive.
Input tax is the Value Added Tax (VAT) paid by a taxable person when purchasing goods or services from a VAT-registered trader. It is used to offset the output tax to determine the final VAT payable to tax authorities.
An input-output table is a document that details how the output of one industry is utilized by other industries within an economy. This table serves as a model for analyzing local economic operations and predicting aggregate economic activity based on future economic assumptions. Input-output tables offer a static snapshot of the economy at a given point in time.
The insertion point is the location, typically represented by a blinking vertical line (cursor), where input from the keyboard or mouse will be placed in a text editor or word processing program.
An inside director is an employee of a company who sits on the board of directors and participates in the governance and management decisions of the organization.
Inside information refers to corporate affairs that have not been made public yet. This kind of information can significantly affect a company’s stock price.
An inside lot, located within a subdivision, is characterized by being surrounded by other lots on each side. This is in contrast to a corner lot, which has road frontage on at least two sides.
An insider is a person whose opportunity to profit from their position of power in a business is limited by law to safeguard the public good. Both federal securities acts and state blue-sky laws regulate stock transactions of individuals with access to inside information about a corporation.
Insider trading refers to the practice of trading a company's securities by individuals who have access to confidential or non-public information about the company. This practice is illegal under various laws and regulations worldwide.
Insider trading refers to the practice of trading a public company's stocks or other securities based on material, non-public information about the company. This can provide insiders with an unfair advantage and is illegal.
Inability to pay one's debts when they fall due, which may lead to bankruptcy for individuals or liquidation for companies.
A legal mechanism through which the estate of a deceased debtor is administratively handled in cases of insolvency, often drawing from principles of bankruptcy law.
A provision in a reinsurance contract that holds the reinsurer liable for its share of claims even if the primary insurer is insolvent.
An insolvency practitioner is a qualified professional tasked with handling financial instability and administration processes such as liquidation, administration, or voluntary arrangements.
The Insolvency Service is an executive agency under the Department for Business, Innovation and Skills tasked with investigating and managing bankruptcies and liquidations.
Inspection refers to the physical scrutinizing review of goods, property, or documents. It is commonly required in various domains such as real estate, customs, and quality control to ensure compliance, assess conditions, and verify legal documents.
In the USA, the Inspector General (IG) is the head of one of the 73 federal offices responsible for performing audit and investigative activities on federal agencies, making periodic reports to Congress.
A civil servant responsible to HM Revenue and Customs for issuing tax returns and assessments, conducting appeals, and agreeing on tax liabilities with taxpayers.
A measure of the deviation between actual profits of a company and trend profit. The higher the index, the greater the instability of a company's profitability.
The process of loading and configuring a piece of software on a computer.
In finance and various fields, an installment refers to anything given or received as part of a series of steps, commonly used in the context of debt repayment over successive periods.
A contract in which the obligation of one or more parties, such as an obligation to pay money, deliver goods, or render services, is divided into a series of successive performances.
An Installment Land Sales Contract, also known as a land contract, is a type of seller financing where the buyer agrees to pay the purchase price in installments over time while taking possession of the property.
