Download Business Fundamentals: Multiple Choice Questions and Answers and more Exams Economics in PDF only on Docsity!
A ______ value of the dollar means the dollar is trading for more foreign currency which leads to less expensive foreign goods. - โ โ high A ____________ requires a board of directors and a corporate structure. - โ โ Corporation A company focusing on the key activities it is best at and outsourcing the rest is described in the lecture as a: - โ โ value chain A(n) _______ is a tax levied on imports. - โ โ tariff According to the Global Entrepreneurship Monitor (GEM) 2016 U.S Report, there is an estimate of how many entrepreneurs in the United States? - โ โ 25 million According to the Global Entrepreneurship Monitor (GEM), what percent of the U.S population is actively involved in trying to start a new business? - โ โ 10% According to the video, "How to Write a Business Plan", which section of the business plan is easiest to write when you save it for last? - โ โ Executive Summary According to the video, "The Ponzi Game", the Ponzi Schemes return __________ beats the market's return. - โ โ always According to the video, "What is Innovation?", Innovation is the ____________________. - โ โ Other dots, the dots that others miss. All of the following are effects of the Dodd-Frank Wall Street Reform and Consumer Protection Act - โ โ Comprehensive regulation of financial markets Consumer protection reforms Tightened regulation of Credit Rating Agencies NOT: Higher taxes on all Fortune 500 corporation All of the following are examples of companies who used deceiving marketing tactics that we learned about - โ โ Dove Vitamin Water POM
______ represents the standards of moral behavior. Behaviors that are accepted by society as right versus wrong. - โ โ ethics _________ is when a firm provides the rights to manufacture its products or use its trademark to an another firm. - โ โ Licensing __________ corporations are organized in one country and operate in another. - โ โ Alien __________ is the part of the contract that defines the amount that will be given for the legal purpose. - โ โ Consideration ___________ is a billionaire who donated $2.5 billion to philanthropy. - โ โ Bill Gates ____________ is a form of partnerships in which some partners may be subjected to limited liability. - โ โ Limited Partnership ____________ is a side effect or consequence of an industrial or commercial activity that affects other parties without it being reflected in the cost of the goods or services involved. - โ โ Externality ____________ is the belief that ethics are culturally determined and that firms should adopt the ethics of the cultures in which they operate. - โ โ Cultural relativism _____________ is the presentation of the company's facts and figures in a way that is clear and apparent to all stakeholders. - โ โ Transparency _______________ are companies that own a variety of unrelated businesses. - โ โ Conglomerates ex. Unilever _______________ is the act of obtaining needed services, ideas, or content by soliciting contributions of a large group of people, and especially from an online community, rather than traditional employees or suppliers. - โ โ Crowdsourcing ____________________ de-emphasizes ethics and considers primarily economic consequences. - โ โ Organization's culture ______________________ corporations such as Patagonia aren't non-profit organizations but they focus on addressing the triple bottom line or 3P - people, planet and profit. - โ โ B, Benefit, and Social Purpose NOT: Fasel All of the following are part of the "How to Write a Business Plan" 5 top tips - โ โ Keep it brief Be creative Get rid of the fluff
Mentally unstable or insane Ben Cohen and Jerry Greenfield decided to enter a partnership because it allowed them to combine ___________ and ____________ , opening up more opportunities than if each operated separate businesses as single proprietors. - โ โ talent and resources Business Law is the ______ and __________ environment that businesses operate within. - โ โ legal, regulatory Companies use contract manufacturing to - โ โ Avoid heavy start-up costs Temporarily meet an unexpected increase in orders Experiment in a new market Examples of key activities include - โ โ Production, problem solving and supply chain management For every 3,000 new product ideas, how many actually become a success in the market? - โ โ 1 Goals are __________ and focus on the ________, while objectives are _________ and focus on the ___________ - โ โ broad, long-term specific, short-term How do general and limited partnerships differ from one another? - โ โ Partners in general partnerships share risk and wealth equally while partners in limited partnerships do not In the BestBuy example, the _____________ empowers his employees by clearly communicating the goals that they are trying to achieve that day. - โ โ manager Innovation is about making a meaningful "contribution" through - โ โ New Value Different Value Combining resources in a more productive way Many successful innovations exploit change. - โ โ True One difference between leaders and managers is that leaders _______, and managers _________. - โ โ coach, direct Real property includes - โ โ Real estate and everything permanently attached to it T/F: A business plan is a "road map" for a venture - โ โ True T/F: A country with absolute advantages at producing wine and calculator should produce both. - โ โ false
T/F: Autocratic leadership is bad for all companies. - โ โ False T/F: By having a separate legal entity, a business is considered as a person. - โ โ True T/F: Even very smart people with lots of business experience can find it helpful to use the Business Model Canvas. - โ โ True T/F: Good entrepreneurs aren't necessarily always the best leaders and may need to step down and hire a great leader if their company grows substantially. - โ โ True T/F: Governments intervene in trade to protect the interests of certain groups and boost the overall wealth of a nation. - โ โ True T/F: In Private Enterprise, the market turns social-interests into private goods. - โ โ False (self- interests into social goods) T/F: It is more expensive to hang on to current customers than it is to acquire new customers. - โ โ False T/F: It is usually cheaper to acquire new customers than to continue selling to existing customers. - โ โ False T/F: Mutual agency means that a partner can make decisions on behalf of other partners. - โ โ True T/F: Nowadays, fair pay is enough to attract talents. - โ โ False T/F: Vertical acquisition involves a company buying another company in its supply chain. - โ โ True T/F: Voluntary export restraints are imposed by importing country. - โ โ false (exporting) The 5th and final step in the 5 step control process is to - โ โ Take corrective actions if needed The following are generalizations of the root of unethical behavior - โ โ Organization's culture Unethical leadership Unrealistic performance goals The P symbol is used for sound recording copyright - โ โ sound recording copyright The primary purpose of this law is to give an honest debtor a "fresh start" in life by relieving the debtor of most debts - โ โ Bankruptcy The U.S is the largest ________ and the second largest ________ nation in the world. - โ โ importing, exporting This government agency dealt with Skechers' false claims on their shoe advertisements - โ โ FTC
Under the Foreign Corrupt Practices Act, it is illegal to - โ โ Pay bribes to foreign government official in order to gain business but NOT illegal to Pay bribes to foreign government officials in order to perform the service that is part of an official's normal responsibilities What can stockholders do? - โ โ Vote for members of the Board of Directors NOT: Vote for top management position, or Make strategic decisions about the business What did Ben & Jerry worry about when Unilever acquired them? - โ โ Differences in values What do micromanagers tend to do? - โ โ Often check on employees throughout the day Second-guess everything Hold team meetings often What is a form of business? - โ โ Corporation, Partnership, Sole Proprietor What is the correct form and sequence of the planning process? - โ โ Strategic Planning, Tactical Planning, Operational Planning, Contingency Planning What is the correct process of the rational decision-making model? - โ โ Define the situation, collect information, develop alternatives, decide the best alternatives, execute as indicated, and evaluate outcomes and follow up What is the role of World Trade Organization? - โ โ Settling disputes with regards to trade between different nations What is TRUE about forms of businesses? - โ โ Sole Proprietorship is the most common and easiest way to start a business, A Limited Liability Company is a combination of corporations and partnerships, Partnerships require at least two owners Which of the following are elements of the fraud triangle - โ โ Rationalization Pressure Opportunity Which of the following can be trademarked? - โ โ Distinctive word Symbol Sound
What is true about PMI? - โ โ PMI involves listing all the pluses in one column, minuses in another column and the implications in a third column for different alternatives What is true about SWOT analysis? - โ โ SWOT allows businesses to evaluate their current situation and possible opportunities and threats What was the amount of fraud that prosecutors estimated Bernie Madoff took from his investors? - โ โ $64.8 billion Which ethical issue is closely tied to the Bangladesh manufacturing facilities for apparel corporations? - โ โ Opportunistic exploitation Which macro factor(s) enable(s) the trend toward greater globalization? - โ โ Technology and lower international trade barriers Which of the building blocks of the Business Model Canvas deals with how the business will make money? - โ โ Revenue Model Which of the following falls under controlling? - โ โ Measuring results Rewarding outstanding performance Monitoring performance NOT: Providing feedbacks on performance Which of the following is a benefit of franchising? - โ โ The franchisee has access to franchisor's expertise The franchisee does not have to invest in marketing and branding NOT: The franchisee has full control over the business Which of the following is a determinant of culture? - โ โ Religion Political Philosophy Education Economic philosophy Which of the following is a disadvantage of patents? - โ โ Limited in time Which of the following is correct about common stockholders? - โ โ They have voting rights and In case of bankruptcy, they have residual claims to assets, NOT: They have first claim on income
