Question 1

A tactic is a plan for outperforming the competition.

Accepted Answer

A) True 
 B)False  False

Question 2

When you start your business, your ________ will guide the business operations and decisions.

Accepted Answer

A)  Core beliefs 
B)  Track record 
C)  Competitive offers 
D)  Guiding light 
E)  Core theories 
A)  Core beliefs 
B)  Track record 
C)  Competitive offers 
D)  Guiding light 
E)  Core theories A

Question 3

Business definition + Competitive advantage is ________.

Accepted Answer

A)  Competitive strategy 
B)  Competitive plan 
C)  Competitive approach 
D)  Competitive tactics 
E)  Business mission 
A)  Competitive strategy 
B)  Competitive plan 
C)  Competitive approach 
D)  Competitive tactics 
E)  Business mission A

Question 4

What type of business buys in bulk from a manufacturer and sells smaller quantities to a retailer?

Accepted Answer

A)  Wholesaler 
B)  Attorney 
C)  Consumer driven 
D)  Service firm 
E)  All of the above 
A)  Wholesaler 
B)  Attorney 
C)  Consumer driven 
D)  Service firm 
E)  All of the above

Question 5

The offer can be defined as what the business will sell to customers.

Accepted Answer

A) True 
 B)False

Question 6

To help determine whether your business will be profitable, calculate your ________.

Accepted Answer

A)  Economics of one unit 
B)  Finances of one unit 
C)  Cost of goods sold 
D)  Rate of goods sold 
E)  The difference between the costs and profits for one unit 
A)  Economics of one unit 
B)  Finances of one unit 
C)  Cost of goods sold 
D)  Rate of goods sold 
E)  The difference between the costs and profits for one unit

Question 7

You only need to be concerned with having a competitive advantage over direct competitors.

Accepted Answer

A) True 
 B)False

Question 8

Total gross profit = ________.

Accepted Answer

A)  Total cost of goods sold - Total revenue 
B)  Total profit - Total revenue 
C)  Total revenue - Total cost of goods sold 
D)  Total revenue - Total profit 
E)  None of the above 
A)  Total cost of goods sold - Total revenue 
B)  Total profit - Total revenue 
C)  Total revenue - Total cost of goods sold 
D)  Total revenue - Total profit 
E)  None of the above

Question 9

A manufacturing type of business sells an intangible product to businesses or consumers.

Accepted Answer

A) True 
 B)False

Question 10

What type of business deals in tangible products?

Accepted Answer

A)  Service 
B)  Manufacturing 
C)  Agricultural production 
D)  All of the above 
E)  None of the above 
A)  Service 
B)  Manufacturing 
C)  Agricultural production 
D)  All of the above 
E)  None of the above

Question 11

The cost of producing one additional unit of a product is called ________.

Accepted Answer

A)  Cost of goods sold 
B)  Cost of materials 
C)  Cost of services sold 
D)  Cost of utilities 
E)  Cost of lease 
A)  Cost of goods sold 
B)  Cost of materials 
C)  Cost of services sold 
D)  Cost of utilities 
E)  Cost of lease

Question 12

Core values include the fundamental ethical and moral philosophy and beliefs that form the foundation of the organization and provide broad guidance for all decision making.

Accepted Answer

A) True 
 B)False

Question 13

A retail business buys from ________ and sells to ________.

Accepted Answer

A)  Wholesalers, consumers 
B)  Wholesalers, manufacturers 
C)  Manufacturers, consumers 
D)  Traders, consumers 
E)  Vendors, consumers 
A)  Wholesalers, consumers 
B)  Wholesalers, manufacturers 
C)  Manufacturers, consumers 
D)  Traders, consumers 
E)  Vendors, consumers

Question 14

Giovanni's entrepreneurial venture produces a tangible product. This is an example of a ________ venture.

Accepted Answer

A)  Service 
B)  Wholesale 
C)  Manufacturing 
D)  None of the above 
E)  All of the above 
A)  Service 
B)  Wholesale 
C)  Manufacturing 
D)  None of the above 
E)  All of the above

Question 15

If the Foreign Exchange rate between the Japanese yen and the euro is 190:1, how many yen will equal 10 euros?

Accepted Answer

A)  1900 
B)  1800 
C)  2000 
D)  300 
E)  500 
A)  1900 
B)  1800 
C)  2000 
D)  300 
E)  500

Question 16

For your business to be successful you will need a strategy for beating the competition, that is, a ________.

Accepted Answer

A)  Competitive advantage 
B)  Market analysis 
C)  Target market 
D)  Customer analysis 
E)  Competitive benefit 
A)  Competitive advantage 
B)  Market analysis 
C)  Target market 
D)  Customer analysis 
E)  Competitive benefit

Question 17

The foreign exchange rate is ________.

Accepted Answer

A)  The relative value between one currency and another 
B)  The relative value between the dollar and foreign currencies 
C)  The rate at which countries do business 
D)  The value of products within a country 
E)  The rate of trade 
A)  The relative value between one currency and another 
B)  The relative value between the dollar and foreign currencies 
C)  The rate at which countries do business 
D)  The value of products within a country 
E)  The rate of trade

Question 18

The vision for your business is narrower and less comprehensive than its mission.

Accepted Answer

A) True 
 B)False

Question 19

For a business to be successful, a competitive advantage must be ________.

Accepted Answer

A)  Sustainable 
B)  Profitable 
C)  Legal 
D)  Expensive 
E)  Clever 
A)  Sustainable 
B)  Profitable 
C)  Legal 
D)  Expensive 
E)  Clever

Question 20

________ is/are the core values of an organization in action.

Accepted Answer

A)  Culture 
B)  Mission 
C)  Vision 
D)  Goals 
E)  None of the above 
A)  Culture 
B)  Mission 
C)  Vision 
D)  Goals 
E)  None of the above

Exam 5: Creating Business From Opportunity

A tactic is a plan for outperforming the competition.

When you start your business, your ________ will guide the business operations and decisions.

Business definition + Competitive advantage is ________.

What type of business buys in bulk from a manufacturer and sells smaller quantities to a retailer?

The offer can be defined as what the business will sell to customers.

To help determine whether your business will be profitable, calculate your ________.

You only need to be concerned with having a competitive advantage over direct competitors.

Total gross profit = ________.

A manufacturing type of business sells an intangible product to businesses or consumers.

What type of business deals in tangible products?

The cost of producing one additional unit of a product is called ________.

Core values include the fundamental ethical and moral philosophy and beliefs that form the foundation of the organization and provide broad guidance for all decision making.

A retail business buys from ________ and sells to ________.

Giovanni's entrepreneurial venture produces a tangible product. This is an example of a ________ venture.

If the Foreign Exchange rate between the Japanese yen and the euro is 190:1, how many yen will equal 10 euros?

For your business to be successful you will need a strategy for beating the competition, that is, a ________.

The foreign exchange rate is ________.

The vision for your business is narrower and less comprehensive than its mission.

For a business to be successful, a competitive advantage must be ________.

________ is/are the core values of an organization in action.

Entrepreneurs Recognize Opportunities

Franchising

Finding Opportunity in an Existing Business

The Business Plan: Road Map to Success

Exploring Your Market

Developing the Right Marketing Mix and Plan

Pricing and Credit Strategies

Integrated Marketing Communications

Marketing Globally

Smart Selling and Effective Customer Service

Understanding and Managing Start-Up, Fixed, and Variable Costs

Using Financial Statements to Guide a Business

Cash Flow and Taxes

Financing Strategy: Debt, Equity, or Both

Addressing Legal Issues and Managing Risk

Operating for Success

Location, Facilities, and Layout

Human Resources and Management

Leadership and Ethical Practices

Franchising, Licensing, and Harvesting: Cashing in Your Brand

Filters

A retail business buys from and sells to .