Management Glossary

  Terms beginning with e
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E-business
Any business operations that is conducted through an electronic medium. This contrasts with e-commerce which is a narrower term.
Contributed by: ManagerWise Staff
See: e-commerce

E-commerce
Sales and other commercial transactions that are conducted online. This is contrasted with e-business, which is a broader term.
Contributed by: ManagerWise Staff
See: e-business

EAP
Employee Assistance Program
Contributed by: Managerwise Staff
See: employee assistance program

early adopters
People who buy a new product or use a new process shortly after it is introduced, before it has gained wide acceptance.
Contributed by: ManagerWise Staff

early-mover advantage
An advantage that a company gains by being among the first to compete in the market for a particular category of product or service. For example, the first entrants into a market may be able to lock in loyal customers. It may then be costly or impossible for later entrants into the market to win over these customers.
Contributed by: ManagerWise Staff
See: first-mover advantage, early-mover advantage

earnings before interest and taxes
Usually abbreviated as EBIT. Also know as operating income and operating profit.
Contributed by: ManagerWise Staff
See: operating income

earnings per share
Total earnings of a company within an accounting period (typically, by quarter, quarters-to-date within a fiscal year or fiscal year) divided by the number of company shares outstanding. Abbreviated as EPS.
Contributed by: ManagerWise Staff

EBIT

Earnings Before Interest and Taxes. Also referred to as operating income or operating profit.

Contributed by: ManagerWise Staff
See: operating income

EBITDA

Earnings before interest, taxes, depreciation and amortization

economic order quantity

The quantity of a supply that a company should buy in order to incur the least cost. There are a number of factors that enter into this equation, including, among others:

  • discounts offered by the vendor for buying in bulk
  • the length of time that it takes for an order to be filled and delivered to the buyer
  • the variability in order fulfillment times
  • the costs that will be incurred in the invent of running out of stock
  • the cost of financing inventories

Abbreviated as EOQ. Also referred to as optimal order quantity or Q*

Contributed by: Managerwise Staff

economies of scale
The reduction in cost-per-unit to produce goods and/or services that comes from producing a higher number of units. Economies of scale are generated by being able to spread fixed costs out over a greater number of units and from the efficiencies learned through increased experience.
Contributed by: ManagerWise Staff
See: fixed costs, learning curve

EDI
Electronic Data Interchange
Contributed by: Managerwise Staff
See: electronic data interchange

effectiveness
The degree to which an objective or set of objectives is achieved when efforts towards its achievement are ended.
Contributed by: Managerwise Staff
See: efficiency

efficiency
The volume of resources (labor, funds, etc.) that are expended to complete a particular task or achieve a particular outcome. The fewer the resources required to achieve the outcome, the greater the efficiency.
Contributed by: Managerwise Staff
See: effectiveness

EIN

Employer Identification Number

Contributed by: Managerwise Staff
See: Employer Identification Number



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