BUSI Chapter 1 Quiz

Which of following was a result of the bold steps taken by the General Agreement on Tariffs and Trade (GATT) to reduce trade restrictions worldwide? a. Goods moved more freely than ever across international boundaries. b. Subsidies to local firms were increased so that they could compete with importers. c. Legislations against international dumping of goods increased. d. Import quotas were imposed to benefit domestic producers.

a. Goods moved more freely than ever across international boundaries.

Which of the following is a key dimension of the business environment? a. The economic environment b. The physiological environment c. The natural environment d. The communal environment

a. The economic environment

In the context of the history of American business, which of the following is a feature of the relationship era? a. Major businesses focus more on refining production processes than on competing with each other. b. Cultivating current customers turn out to be more profitable than constantly seeking new ones. c. Manufacturing firms hire skilled artisans to facilitate mass production of goods. d. Jobs become specialized, increasing productivity and lowering costs and prices.

b. Cultivating current customers turn out to be more profitable than constantly seeking new ones.

In the context of the history of American business, which of the following statements is true of the industrial revolution? a. Individual ownership in various production processes was promoted. b. Factories hired large numbers of semiskilled workers who specialized in a limited number of tasks. c. The government passed laws to regulate business and protect consumers and workers, creating balance in the economy. d. Balance of power shifted away from producers and toward consumers.

b. Factories hired large numbers of semiskilled workers who specialized in a limited number of tasks.

In the context of the history of American business, which of the following statements is true of the production era? a. Laws were passed for the first time by the government to protect consumers and workers. b. Jobs became specialized, increasing productivity and lowering costs and prices. c. Factories hired large numbers of semiskilled workers who specialized in a limited number of tasks. d. Balance of power shifted away from producers and toward consumers, flooding the market with enticing choices.

b. Jobs became specialized, increasing productivity and lowering costs and prices.

In the context of the competitive environment, which of the following statements is true of bleeding-edge firms? a. They launch cheaper versions of already existing successful products. b. They launch products that fail because they are too far ahead of the market. c. They launch successful products that are in high demand among consumers. d. They launch innovative products that have a small existing market.

b. They launch products that fail because they are too far ahead of the market.

In the context of factors of production, which of the following is a natural resource? a. A computer b. Wind c. Information d. An investment

b. Wind

Which of the following marketing concepts emerged during the marketing era? a. A need for nonprofit organizations to work together with businesses to improve the quality of life in a society b. A need to identify whether an overall economy thrives or disintegrates c. A consumer focus that permeates successful companies in every department, at every level d. A focus on increasing profits that result in high standards of living for people across the country

c. A consumer focus that permeates successful companies in every department, at every level

Which of the following scenarios illustrates the utilization of human resources as a factor of production? a. Tia obtains machines required to create iron blocks that her company sells. b. Serena's company extracts and purifies coal deposits to use as a feedstock in the manufacture of chemical fertilizers. c. Carlos hires a content writer to develop content for his online portal that sells fashion accessories. d. Fred capitalizes on the demand in the market for animation and starts his own design company

c. Carlos hires a content writer to develop content for his online portal that sells fashion accessories.

_____ is an international economic and political movement designed to help goods and services flow more conveniently across international boundaries. a. Wholesale trade b. Bulk trade c. Free trade d. Retail trade

c. Free trade

In the context of the technological environment, which of the following statements is true of business technology? a. It includes the creative contributions of everyone who works within an economy. b. It is the rate at which a new product moves from conception to commercialization. c. It includes any tools that companies can use to become more efficient and effective. d. It is the rate at which similar products from competitive brands attract consumers.

c. It includes any tools that companies can use to become more efficient and effective.

Which of the following factors is most likely to be covered by the social environment dimension of a business? a. Internet traffic and e-commerce b. Bank interest rates c. Population size and density d. Federal tax laws

c. Population size and density

In the context of factors of production, which of the following statements is true of entrepreneurial enterprises? a. They focus mostly on transforming customers into loyal advocates of the company's products. b. They encompass the intellectual and creative contributions of everyone who works within an economy. c. They can kick-start an economy, creating a tidal wave of opportunity by harnessing other factors of production. d. They concentrate mostly on merging with nonprofit organizations so that huge investments by the entrepreneurs can be avoided.

c. They can kick-start an economy, creating a tidal wave of opportunity by harnessing other factors of production.

In the context of the competitive environment of a business, the best measure of value is the: a. difference in the market price and the selling price of a product. b. relative difference in the selling price of a product across competitors. c. size of the gap between product benefits and price. d. total number of returning customers per quarter.

c. size of the gap between product benefits and price.

The quality and quantity of goods and services available to a population is referred to as the _____. a. expectancy margin b. per capita income c. standard of living d. gross domestic revenue

c. standard of living

Anya is an administrator at Zenorx Inc., a start-up software company. She is responsible for acquiring capital for the company. In the context of the various factors of production that businesses rely on, which of the following functions is most likely to be a part of Anya's responsibilities? a. Conducting training sessions for new employees b. Looking for opportunities to expand the business and to increase profits c. Conducting interviews to recruit employees to the firm d. Acquiring synthetic resources like computers and telephones

d. Acquiring synthetic resources like computers and telephones

Which of the following statements is true when a person makes a career choice based on what he or she loves doing? a. It guarantees a fat paycheck. b. Less-routine abilities are not valued. c. It hinders a person's chances of acquiring financial gains. d. Chances of personal success are boosted.

d. Chances of personal success are boosted.

Conela is a nonprofit organization that renovates abandoned government schools and facilitates their functioning. It is headed by two social activists and is funded by the government. Which of the following statements is true of Conela? a. It does not contribute to the nation's economy. b. It does not employ people. c. Its primary goal is financial gain. d. It takes in revenue like any other business.

d. It takes in revenue like any other business.

In the context of the history of American business, which of the following statements is true of the entrepreneurship era? a. Entrepreneurs focused on aggressive persuasion to separate consumers from their cash. b. Balance of power shifted away from entrepreneurs and toward consumers, flooding the market with enticing choices. c. Entrepreneurs chose to replace huge factories with skilled artisan workshops. d. Large-scale entrepreneurs emerged in the second half of the 1800s, building business empires.

d. Large-scale entrepreneurs emerged in the second half of the 1800s, building business empires.

In the context of a business environment, which of the following is a key element of the U.S. economic environment? a. Policies that ensure high federal tax rates for businesses b. Protocols that restrict mergers between nonprofits and private businesses c. Regulations that decrease corporate accountability d. Legislation that supports enforceable contracts

d. Legislation that supports enforceable contracts

Which of the following is a similarity between millennials and digital natives? a. Like millennials, digital natives approach adulthood hoping to be discovered. b. Like millennials, digital natives tend to have very long attention spans. c. Like millennials, digital natives feel entitled to a great job when they graduate college. d. Like millennials, digital natives tend to be extremely tolerant and inclusive.

d. Like millennials, digital natives tend to be extremely tolerant and inclusive.

Which of the following statements is true of entrepreneurs? a. They serve the society instead of creating wealth for themselves. b. They are bound to face recurring loses before making a profit. c. They do not risk their time and money when managing a business. d. They produce a ripple effect that enriches everyone around them.

d. They produce a ripple effect that enriches everyone around them.

In the context of factors of production that businesses and nonprofits rely on, _____ cannot be considered a natural resource. a. mineral deposits b. land c. water d. cereal crops

d. cereal crops

During the _____, the government of the United States stepped into the business realm to pass laws to regulate business and protect consumers and workers. a. production era b. marketing era c. relationship era d. entrepreneurship era

d. entrepreneurship era