Q&A - What is profit-sharing?

Profit sharing refers to any system whereby employees receive a proportion of business profits.

Profit sharing is generally accepted as having many advantages, providing that all employees are able to participate.  Key advantages include:

• Creates a direct link between pay and performance
• Creates a sense of team spirit- helps remove ‘them and us’ barrier between managers and workers if all employees involved
• May improve employee’s loyalty to company
• Employees more likely to accept changes in working practices if can see that profits will increase overall

Revision Presentation - Measuring and Increasing Profit [17 May 2012]
Revision Presentation - Calculating and Measuring Profit [13 May 2012]
Takeovers and Mergers - the failed takeover behind Clinton Cards’ Collapse [9 May 2012]
VW targets growth markets [26 Feb 2012]
Private equity buyouts - Sunday Times supplement [5 Feb 2012]
The 7p Valentines Day Card [1 Feb 2012]
How to turn threats into an opportunity at Ryanair [31 Jan 2012]
The Rise and Fall and Rise of Gerald Ratner [27 Nov 2011]
Cut price cup cake deal goes wrong…... [22 Nov 2011]
Unilever hit by rising costs [6 Nov 2011]
Messy Contributions…. recipe for success? [29 Sep 2011]
Profits dive and put pressure on liquidity - the Distress Monitor [29 Sep 2011]
Revision Presentation - Risks and Rewards to Enterprise [7 Sep 2011]
Revision Presentation - Adding Value [7 Sep 2011]
The puzzle of rising profits [5 Sep 2011]
The UK Economy - Private and Public Sector Pay [14 Mar 2011]
Partners in profit - the JLP way [10 Mar 2011]
Introducing a new kind of business organisation - the benefit corporation [17 Feb 2011]
CSR - What is “Creating Shared Value”? [16 Feb 2011]
Michael Porter - Shared Value and the Limitations of CSR [15 Feb 2011]
CSR - The Classic Milton Friedman Clip [5 Feb 2011]
Q&A - What is “profit quality”? [7 Jan 2011]
Business Pricing Tactics Under Scrutiny [12 Dec 2010]
Dominos Pizza - Growth & Strategy (Part 3) - Smart Marketing [26 Nov 2010]
Dominos Pizza - Growth & Strategy (Part 2) - Innovation, Service and Smart Operations [26 Nov 2010]
Dominos Pizza - Growth & Strategy (Part 1) - Driving Competitive Advantage [26 Nov 2010]
Cash flow Clue-doh! The Mystery is Revealed… [2 Nov 2010]
Profits up at Amazon - but so are costs [22 Oct 2010]
Google, Profits and Diversification [16 Oct 2010]
Lesson Worksheet - Adding Value [10 Aug 2010]
Lesson Worksheet - Gross Profit Basics [5 Aug 2010]
Strategy Case Study - Vauxhall/Opel restructuring [24 May 2010]
Profit seeking paradoxes in an oblique world [15 May 2010]
Taking Demand-based Pricing To Extremes [8 Feb 2010]
What business students can learn from how businesses have handled the recession [1 Feb 2010]
Revision Presentation - Profit and Cash [30 Jan 2010]
Revision Presentation - Improving Profit [30 Jan 2010]
Introducing business and the economic environment with Darling’s debt dilemma [27 Jan 2010]
Product, pricing and profitability in a changing market [20 Jan 2010]
Revision Quiz - Profitability & ROCE [6 Jan 2010]
Revision Presentation - Protecting Staff through Legislation [30 Dec 2009]
Revision Presentation - the Basics of Profit [30 Dec 2009]
Outdoor Ice-skating heads firmly down the product life cycle [3 Dec 2009]
Advertising Coming To A Windows 7 Desktop Near You [18 Nov 2009]
Office of National Statistics publishes annual survey of hours and earnings [12 Nov 2009]
Innocent Drinks - Teaching Accounts Exercise [9 Nov 2009]
Entrepreneur takes advantage of the postal strike [24 Oct 2009]
The Jenson Button Business Lesson [21 Oct 2009]
The gentle touch in city finance [14 Oct 2009]
The Decline of Newspapers Creates a Surge in Local Startups [4 Oct 2009]
V-Water - from start up to exit [4 Oct 2009]
The dramatic slump in advertising revenue continues [18 Sep 2009]
Todd Stitzer’s Strategic Test [14 Sep 2009]
The Changing Face of Human Resources [11 Sep 2009]
Motivation in practice - how not to do it - lessons from Britain’s bosses [1 Sep 2009]
A dramatic fall in business investment [27 Aug 2009]
Fantasy Football hit by the weakness of sterling [17 Jul 2009]
Product life cycle - end of the line for Teletext [17 Jul 2009]
How to improve profitability? - give customers a “staff appraisal” [12 Jul 2009]
Microsoft and Google compete head-to-head [9 Jul 2009]
Coffee Republic struggles with the daily grind [6 Jul 2009]
What makes a profitable menu? [6 Jul 2009]
Spare capacity prompts a fall in business investment [4 Jul 2009]
Q&A - Outline the main costs and benefits of inflation [1 Jul 2009]
Q&A - Explain the causes of inflation [1 Jul 2009]
Q&A - Explain the role of corporate objectives in business strategy [1 Jul 2009]
Nationalisation Again - National Express Taken into Public Ownership [1 Jul 2009]
A Mars A Day The Original Recipe Way [28 Jun 2009]
Budget Hotel Chain Now Feeling the Squeeze [17 Jun 2009]
Work For Free?  Or Pie In The Sky? [16 Jun 2009]
A stunning example of how wage costs can differ for the same job [10 Jun 2009]
How to improve a profit margin through a hidden price increase - the Snickers way [4 Jun 2009]
Britain’s Got Talent - Extending the Brand [1 Jun 2009]
Sources of finance - the bank overdraft rip-off [28 May 2009]
Business strategy video - two interviews with CEO of Virgin Atlantic [26 May 2009]
Q&A - Why are start-ups vulnerable to cash flow problems? [26 May 2009]
Q&A - How can a business handle a loss? [26 May 2009]
Q&A - How is profit used by a business? [26 May 2009]
Why businesses fail - an interview with Pepita Diamand [24 May 2009]
M&S suffers a fall in profits and cuts dividend [23 May 2009]
Video case study - subsidy boosts demand for small cars [23 May 2009]
Q&A - What are the main drawbacks to an entrepreneur of starting a business [22 May 2009]
Q&A - What is meant by Social Enterprise? [22 May 2009]
Motivating employees - the end of the mobile phone sales shark? [17 May 2009]
AQA AS Business Unit 1 - Possible Evaluation Questions [17 May 2009]
Q&A -  What is share capital [2 May 2009]
Q&A - What are the benefits of business planning to a start-up? [1 May 2009]
Q&A - What is performance-related pay? [1 May 2009]
Q&A - How do changes in commodity prices affect businesses? [1 May 2009]
Q&A - What is commission and when should it be used in a pay package? [1 May 2009]
Q&A - What is “piece-rate” pay? [1 May 2009]
Q&A - Explain “time-rate” pay [1 May 2009]
Q&A - What factors should a business consider when deciding what to pay employees? [1 May 2009]
Q&A - What taxes will a start-up pay? [1 May 2009]
Q&A - What is job enlargement? [1 May 2009]
Q&A - What are retained profits? [1 May 2009]
Q&A - What are the implications for UK businesses if the pound strengthens? [1 May 2009]
Q&A - What causes an exchange rate to change? [1 May 2009]
Q&A - How are businesses affected by changes in interest rates? [1 May 2009]
Q&A - What are the main methods of financial reward? [1 May 2009]

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