Connect BUSAD 248 – Intro To Business Chapter 1 Quiz

Q1. The customers, employees, stockholders, suppliers, creditors, and others who stand to gain or lose by the policies and activities of a business represent the firm’s:

• market makers.
• economic environment.
• stakeholders.
• social mentors.

Q2. Taxes and government regulations are part of the ________________ environment of business.

• economic and legal
• competitive
• social
• technological

Q3. The global environment:

• is a new frontier.
• is far reaching and affects all the other business environments.
• is shrinking.
• has not affected the United States due to its strong gross domestic product.

Q4. Businesses are supporting single-parent families with:

• Social Security benefits.
• a more lenient welfare system.
• more flexible work benefits such as flextime and family leave.
• limited benefits due to the declining numbers of these families.

Q5. Successful businesses are keenly focused on their

• customers
• managers
• creditors
• bureaucrats

Q6. High tax rates tend to:

• promote economic development.
• make a nation’s currency tradable.
• discourage entrepreneurship.
• reduce the amount of money created by the government.

Q7. Employers provide tools and technology for their employees in order to:

• increase the cost of production and profitability.
• improve their efficiency and productivity.
• reduce corruption in business and eliminate scandals.
• encourage the private ownership of businesses.

Q8. Efforts are under way to serve the needs of a diverse population. Diversity means:

• selling products to immigrants.
• dealing sensitively with workers and cultures around the world.
• providing government programs such as free health care for illegal and legal immigrants.
• meeting employment quotas so that diverse groups are always represented in your workforce.

Q9. One advantage of a database is it

• permits a retail store to directly gather information on the customers who do business with its competitors, so it can target promotional materials to those people.
• creates efficiency in that the store can quickly replenish items that are purchased.
• prevents identity theft.
• prevents stores from exchanging customer information with each other.

Q10. As a factor of production, the term capital includes:

• Stocks and bonds issued by corporations.
• Natural resources such as land and water.
• Tools, machinery, and buildings.
• Services provided by the government that enable businesses to be more productive.

Q11. The new era of business is likely to be dominated by the

• service sector.
• information-based sector.
• manufacturing sector.
• continued decline in productivity.

Q12. People over 65 years old represent

• the unemployed generation.
• the single-parent family generation.
• a potentially lucrative market.
• a group that has never contributed to Social Security.

Q13. A(n) ____________ is a person who assumes the risk of starting a business.

• manager
• employee
• stakeholder
• entrepreneur

Q14. Health care, insurance, recreation, and other intangible products are provided by the

• information-based sector.
• service industry.
• industrial sector.
• manufacturing industry.

Q15. The series of lines on a product packaging that the cashier scans when you check out at a grocery store or discount store is called a

• bar code
• zip code
• scan code
• laser code

Q16. Businesses collect ________ information on where people live, what they buy, and how they spend their time.

• geometric
• econometric
• demographic
• anthropological

Q17. Globalization

• has greatly improved living standards around the world.
• has significantly reduced living standards around the world.
• has opened doors to only a handful of markets.
• has greatly changed companies that hire people to sell products, but not companies that hire people to provide services.

Q18. An increase in global trade will:

• increase prices.
• decrease jobs.
• increase political instability.
• increase global competition.

Q19. An entity that seeks to earn a profit by providing a good or service is known as a(n)

• industry
• corporation
• business
• service

Q20. Often in business the greater the risk, the __________.

• greater the potential reward
• lower the expected revenues
• lower the value provided to society
• greater the number of stakeholders