Exam 1: Taking Risks and Making Profits Within the Dynamic Business Environment

Efforts are underway to serve the needs of a diverse population. Diversity means:

__________ is the amount a business earns after deducting what it spends for salaries and other expenses.

Contemporary governments promote business development by:

To implement a policy of empowerment, the organization will restructure so that:

Brett runs a lawn care service. Although he and his employees could service eight households in one day, he averages six yards per crewmember, per day. Brett recently restructured his work crew and provided each cutter with an incentive to acquire two new customers each month through customer referrals. As a recent business graduate, you tell him he's probably on the right track.

Health care availability, a clean environment, and good schools all contribute to a high quality of life.

Jill is looking into the possibility of opening up a daycare center in her community, because she is aware of many single-parent families that need a place for their children to stay while the parents work. She is concerned about the long-term prospects for such a business. Jill believes the future of her daycare will depend on whether birth rates and the number of single-parent families remain high. These concerns illustrate how businesses can be affected by:

Greg is working as a marketing trainee for an online music and video retailer. His boss called a meeting for next week with one thing on the agenda: "Bring with you your ideas about how we can gain a competitive advantage." Greg plans to provide the following response:

Successful businesses are keenly focused on their:

Jenna Leigh is an information savvy, 20-something person who is trying to select between two marketing job offers. She can either join a company that makes small hammers and screwdrivers for the DIY hardware store business, or she can join a company developing the LTE phone service. She is quite impressed that the hardware business is growing quite nicely in China, Mexico, and India where people are starting to expand their living spaces. She is also aware of:

Lamar is a salesperson for Bi-State Direct. He really appreciates the amount of freedom and authority Bi-State gives its sales people in order to better meet the needs of customers. Lamar's experience suggests that Bi-State practices:

In recent years, almost all new job creation in the U.S. has occurred in the __________ sector:

Revenue is the amount a business earns above and beyond what it spends for expenses and costs.

One advantage of a database is:

China and India have become major U.S. competitors.

Corruption and illegal activities are expected in a capitalist system and can be beneficial.

If they wish to create more wealth, poor nations should focus on policies that increase entrepreneurship and the effective use of knowledge.

Describe several ways that governments can foster entrepreneurship and encourage the creation of wealth.

__________ is the chance a business owner will lose the time and money invested in a business that proves to be unprofitable.

Revenue is the total amount of money a business takes in during a given period by selling goods and services.