2.2 LAP Posttest

Inflation is a factor involved in which category of an environmental scan? A) Economy B) Technology C) Competition D) Demographics

A) Economy

Which of the following is a tool that can be used to carry out scanning activities: A) Market research studies B) Personnel records C) Budgeting software D) Manufacturing equipment

A) Market research studies

A business should conduct environmental scans on a continuous basis so it can

respond to opportunities and threats quickly.

A business cannot control its

external environment.

Which of the following is a true statement about a business's environment: A) It is always changing. B) It may not affect the business, depending on the industry. C) It can be avoided. D) It consists of the economy and technology.

A) It is always changing

Which of the following examples illustrates how environmental factors are interrelated: A) The economy affects what competitors are doing. B) New legislation will be written in the future. C) Low investor confidence heavily impacts financial planners. D) The economy affects banking institutions.

A) The economy affects what competitors are doing.

Environmental scanning is sometimes called environmental _____________

Analysis

Businesses must gather information about the competition during an environmental scan. Which of the following is an example of brand competition: A) Grocery stores v. fitness centers B) Coke v. Pepsi C) Microsoft v. Walmart D)Beauty salons v. veterinarians

B) Coke v. Pepsi

Which of the following is an example of how a business or industry has a unique relationship with its environment: A) An economy in prosperity will eventually experience recession. B) Demand for skilled nursing care rises as the population ages. C) New technology causes new laws to be enacted. D) Social and cultural attitudes change over time

B) Demand for skilled nursing care rises as the population ages.

Which of the following examples illustrates how environmental factors are dynamic: A) Demographics influence social and cultural attitudes. B) High interest rates will eventually get lower. C) The government provides subsidies to agricultural businesses. D) The economy impacts government policies.

B) High interest rates will eventually get lower.

Which of the following would be done first in an environmental scan: A) Carry out scanning activities B) Identify participants and responsibilities C) Identify and analyze important trends and issues D) Select trends and issues to act on

B) Identify participants and responsibilities

Which of the following is the most rapidly changing category of information included in an environmental scan: A) Government B) Technology C) Competition D) Demographics

B) Technology

Which of the following is a factor that relates to the government category of an environmental scan: A) Stage of the business cycle B) Religious affiliation C) Import/Export regulations D) Advances in technology

C) Import/Export regulations

Which of the following is a true statement about the term "environment": A) It refers only to the earth and its resources. B) It has no affect on your performance. C) It consists of your surroundings D)It applies to individuals, not businesses.

C) It consists of your surroundings.

Which of the following is an example of a demographic trend: A) Shifting political climates B) Rising interest rates C) The aging of the population D) A concern for fitness and health

C) The aging of the population

Which of the following is a true statement about carrying out scanning activities: A) Information obtained from television is unreliable. B) All information should be obtained in a formal manner. C) You must focus only on relevant information. D) You should avoid using surveys

C) You must focus only on relevant information.

Which of the following groups is most likely to share the same demographics: A) International travelers B) Online shoppers C) Airline passengers D) Working mothers

D) Working mothers

A main reason that environmental scanning is important is so that businesses can be aware of

Potential Threats

One way to determine the importance of an issue or trend is to consider its impact on

demand for your business's products.

Changing attitudes about family roles is an example of a shift in

society and culture.