Deck 1: The Changing Face of Business

Question 1

MATCHING

_____ is the unique combination of organizational abilities,products,and approaches that sets a company apart from competitors in the minds of consumers.

Answer 1

d

Question 2

Define profit.Explain why you agree or disagree with the following statement: "The success of a business is measured only by the profit it earns."

Answer 2

Profit is the financial reward received by successful businesspeople who take the risks involved in blending people,technology, and information to create and market want-satisfying goods and services.In order to be successful in a private enterprise system,a business must earn a satisfactory profitotherwise,the owners and investors will turn to more attractive opportunities.However,businesses today are expected to do more than earn a satisfactory profit-they also have social and ethical responsibilities.In other words,businesses must behave responsibly in their dealings with employees,customers,suppliers,the general public, and even with their competitors.

Question 3

Explain how consumers benefit from business competition.

Answer 3

Competition forces a business that wants to continue to be profitable to constantly find acceptable ways to satisfy customers' needs.Customers benefit from new products,more services, and more economical strategies and operations that are continuously offered by firms as they strive for customer acceptance.These tactics often bring lower prices,better quality, and more convenience to the customers.The ability to buy more raises the st andard of living,increases dem and, and subsequently creates more jobs.

Question 4

MATCHING

The ability to perceive future marketplace needs and what an organization can do to satisfy them is referred to as _____.

Question 5

MATCHING

A company that contracts with another business to perform functions previously handled by internal staff is participating in _____.

Question 6

MATCHING

A partnership formed to create a competitive advantage for the businesses involved is known as a(n)_____.

Question 7

MATCHING

_____ refers to the standards of conduct and moral values involving decisions made in the work environment.

Question 8

MATCHING

_____ involves blending different genders,ethnic backgrounds,cultures,religions,ages,and physical and mental abilities in order to enhance a firm's chances of success.

Question 9

Explain the difference between transaction management and relationship management.

Question 10

List the four factors of production and the corresponding factor payments.

Question 11

MATCHING

A(n)_____ is a name,terms,sign,symbol,design,or combination that identifies the products of one firm.

Question 12

List and describe the four basic rights in the private enterprise system.

Question 13

What is the basic difference between the production era and the relationship era?

Question 14

MATCHING

_____ are businesslike establishments that have primary objectives other than returning profits to their owners.

Question 15

MATCHING

A person who seeks a profitable opportunity and then devises a plan to achieve that profit is called a(n)_____.

Question 16

List the six eras of business history.Name and describe the era used by businesses today.

Question 17

MATCHING

_____ refers to technology,tools,information,and physical facilities.

Question 18

MATCHING

_____ is a collection of activities that build and maintain ongoing,mutually beneficial ties between a business and its customers and other parties.

Question 19

In the context of business,define technology.

Question 20

MATCHING

To operate effectively,certain inputs called _____ systems are required for all economic systems.

Question 21

Describe the difference between outsourcing,offshoring,and nearshoring.

Question 22

All of the following statements are correct EXCEPT:

A) Successful businesses seek to meet their social and ethical responsibilities.
B) Business is the economic pulse of a nation.
C) Business includes nonprofit organizations that provide services to the public.
D) Business provides goods and services necessary to an economic system.

Question 23

What are the advantages of a diverse workforce?

Question 24

What makes a company admired?

Question 25

Explain how e-business has created a new type of strategic alliance among companies.

Question 26

Which of the following are organized for profit and provide goods and services?

A) public schools
B) churches
C) government
D) businesses

Question 27

Describe how the aging population in the United States and abroad directly affects changes in the workforce.

Question 28

Define the term vision.Why is vision an important skill today?

Question 29

In the Canadian economy,________ are considered the reward for the risk of entering business.

A) revenues
B) profits
C) sales
D) generated income amounts

Question 30

Explain how business ethics differs from social responsibility.

Question 31

A public-sector not-for-profit organization would include which of the following?

A) library
B) museum
C) charitable group
D) labour union

Question 32

________ is essential because it serves as a primary incentive for people to start companies,expand them,and provide consistently high-quality competitive goods and services.

A) Vision
B) Profit
C) Market research
D) Philanthropy

Question 33

All of the following are businesses EXCEPT ________.

A) U.S.Postal Service
B) UPS
C) FedEx
D) AOL Time Warner

Question 34

Explain the new employer-employee relationship in business.

Question 35

All of the following are typically part of the not-for-profit sector EXCEPT ________.

A) hotels
B) political parties
C) religious organizations
D) labour unions

Question 36

Timber Trails,a northwest lumber company,utilizes ________ as its primary production factor.

A) natural resources
B) capital
C) entrepreneurship
D) human resources

Question 37

Donovan Corporation's sources of capital can include all of the following EXCEPT ________.

A) investments from stockholders
B) reinvested profits
C) cash dividends declared by Donovan's board of directors and paid to the stockholders
D) investments from venture capitalists

Question 38

The factors of production in an economic system are ________.

A) land,rent,capital,and human resources
B) capital,perseverance,natural resources,and human resources
C) rent,wages,interest,and profit
D) natural resources,human resources,capital,and entrepreneurship

Question 39

In accounting terms,profits are ________.

A) the difference between revenues and expenses
B) the difference between commissions earned and receipts
C) the difference between sales and expenses
D) the sum of sales and expenses

Question 40

What are some examples of external and internal forces that would require a manager to lead organizational change?

Question 41

Technology,tools,information,and physical facilities for the operation of a business are examples of ________.

A) profits
B) wages
C) capital
D) interest

Question 42

Tarek,a former middle manager from Alexander Manufacturing,owns and operates a Subway franchise.Tarek is demonstrating ________.

A) social responsibility
B) socialism
C) entrepreneurship
D) pure competition

Question 43

The Industrial Revolution in England transformed America's economy by introducing ________.

A) the concept of each worker producing one complete product
B) labour unions
C) the factory system
D) the continuously moving assembly line

Question 44

Which of the following is a benefit of entrepreneurship?

A) flexibility
B) guaranteed profit
C) low risk
D) reduced competition

Question 45

The American Industrial Revolution did not make real progress until ________.

A) a railroad system was built providing fast,economical transportation
B) a good relationship was formed with England
C) the introduction of the automobile occurred
D) a reliable system of telephone communication was established

Question 46

All of the following are rights granted to citizens and to the government in a private enterprise system EXCEPT the right to ________.

A) fair competition
B) permit price discrimination
C) select from among a variety of goods and services
D) own property

Question 47

In colonial society,real economic and political power was centered in ________.

A) cities
B) rural areas
C) areas west of the Mississippi River
D) metropolitan areas

Question 48

Namesh recently sold his Ford Taurus to a personal friend.Namesh's sale of his automobile illustrates the right to ________.

A) freedom of choice
B) private property
C) profit
D) set ground rules for competitive activity

Question 49

Citizens in a private enterprise system have the right to choose their employment,purchases,and investments,illustrating their right to ________.

A) profit
B) credit
C) freedom of choice
D) private property

Question 50

By offering a lifetime warranty on its products,Warner Electronics has set itself apart from its competition.This difference is known as Warner Electronics' ___________.

A) private enterprise system
B) competitive differentiation
C) capitalism
D) natural resources

Question 51

Businesses that operate in an environment where success or failure is determined by how well they match and counter the offerings of competitors are operating under ________.

A) the private enterprise system
B) a social democracy
C) a monopoly
D) socialism

Question 52

Which of the following is considered to be the most fundamental right of the private enterprise system?

A) the right to private property
B) the right to guaranteed profits
C) freedom of choice
D) the right to fair competition

Question 53

Inventors such as Robert McCormick and Eli Whitney were part of the ___________.

A) marketing era
B) colonial era
C) age of industrial entrepreneurs
D) relationship era

Question 54

In his book The Wealth of Nations,the Scottish economist Adam Smith was the first person to describe ________.

A) socialism
B) communism
C) capitalism
D) entrepreneurship

Question 55

All of the following are basic rights within a private enterprise system EXCEPT ________.

A) private property
B) guaranteed profits
C) freedom of choice of investment
D) freedom of choice of employment

Question 56

A company that values employees as sources of ideas and innovation is utilizing its _________________.

A) entrepreneurship
B) natural resources
C) capital
D) human resources

Question 57

The right to profit means the ________.

A) risk taker is guaranteed the right to all profits (after taxes)that are earned by the business
B) right to go into or out of business at any point and for any reason
C) government will guarantee a profit
D) right to all benefits resulting from the ownership of property

Question 58

When Greenlawn Inc.finds itself losing contracts because Lo-Price Lawn Co.charges less money,Greenlawn responds by lowering its bids.This reaction demonstrates ________.

A) the right to private property
B) the invisible hand of competition
C) collusion
D) social responsibility

Question 59

Capitalism is founded on ________.

A) the social changes that followed the Industrial Revolution
B) the idea that 80 percent of the nation's wealth should be owned by no more than 20 percent of the people
C) the idea that the government must own all factors of production
D) the belief that competition among business firms best serves the needs of society

Question 60

The human resources of a firm refer to ________.

A) top management
B) everyone over 18 years of age
C) full-time employees
D) everyone who works for the business

Question 61

Diverse employee teams tend to perform ________ and develop ________ than do homogenous employee groups.

A) less effectively;better solutions
B) more effectively;better solutions
C) less effectively;worse solutions
D) more effectively;worse solutions

Question 62

The number of people age 65 and over will ________ by 2030.

A) decrease by approximately 10 percent
B) increase by approximately 10 percent
C) increase by approximately 50 percent
D) double

Question 63

Technology has resulted in all of the following EXCEPT ________.

A) product obsolescence
B) the creation of new industries
C) the opening of new business opportunities
D) less business efficiency

Question 64

Apple iPods sold on Amazon's website signify the formation of a ________ to increase profits.

A) transaction alliance
B) brand partnership
C) strategic alliance
D) marketing agreement

Question 65

Outsourcing ________.

A) reduces the diversity of the workforce
B) can make a firm more competitive
C) increases staffing requirements
D) increases costs

Question 66

When a business employs an outside company to handle all customer correspondence and phone calls,the business is ________ its customer service department.

A) multitasking
B) shrinking
C) outsourcing
D) branding

Question 67

The concept of branding first emerged during the ________.

A) production era
B) relationship era
C) age of the industrial entrepreneur
D) marketing era

Question 68

Nurturing customer loyalty by gathering knowledge of customer needs and preferences is an approach known as ________.

A) relationship management
B) transaction management
C) a strategic alliance
D) marketing management

Question 69

Concentrating on building and promoting products in hopes that enough customers will buy them in order to cover costs and earn acceptable profits is called ________.

A) relationship management
B) transaction management
C) a strategic alliance
D) marketing management

Question 70

Blogs and social networking use __________ to manage relationships.

A) technology
B) marketing research
C) strategic alliances
D) business etiquette

Question 71

The new employer-employee partnership has led to all of the following EXCEPT ________.

A) increased job security
B) sharing of financial information with employees
C) increased emphasis on listening to and respecting employees
D) helping employees improve skills and knowledge

Question 72

The work-comes-first lifestyle is exemplified by:

A) Generation X
B) Generation Y
C) Baby Boomers
D) The EU

Question 73

When a Canadian company contracts work to Mexico,it is ________.

A) offshoring
B) nearsourcing
C) nearshoring
D) exporting

Question 74

For today's managers,which of the following is LEAST important?

A) the ability to work by strict rules
B) vision
C) critical thinking skills
D) creativity

Question 75

Henry Ford is noted in business history for introducing the moving assembly line,which greatly reduced the cost of producing a car.Assembly lines first became common during the ________.

A) relationship era
B) marketing era
C) Industrial Revolution
D) production era

Question 76

Which of the following BEST distinguishes the philosophy of the marketing era from the philosophy of the production era?

A) The production era was more consumer-oriented.
B) The marketing era advocated price discrimination.
C) The production era occurred after World War II.
D) The marketing era was more consumer-oriented.

Question 77

________ is the ability to perceive marketplace needs and what an organization must do to satisfy these needs.

A) critical thinking
B) social responsibility
C) vision
D) creativity

Question 78

The business philosophy that advocates determining what consumers want and need,and then designing products to satisfy those needs,is known as ________.

A) consumer orientation
B) self-sufficiency concept
C) work ethic
D) production concept

Question 79

When Google opened offices in Tokyo,London,and Sydney,they were utilizing ________ by relocating business activities to lower-cost locations overseas.

A) nearshoring
B) outsourcing
C) offshoring
D) employee sourcing

Question 80

Which of the following statements is NOT correct?

A) The Canadian population is getting older.
B) The size of the labour pool is decreasing.
C) The Canadian population is becoming more diverse.
D) Workers change jobs less frequently today.