Ch. 1 - Business 101

The​ _____ business environment includes other businesses within the country in which the business operates.

Domestic

During the recession of 2008 through​ 2010, Ford saw sales of its vehicles drop and was forced to reduce production. This decision reflected changes in the​ company's _____ environment.

Economic

Competition from companies such as​ BMW, Hyundai, and Honda is a part of Ford Motor​ Company's _____ business environment.

Global

Over​ time, prices will tend to be set at the​ _____ price, the price at which the demand and supply curves intersect.

Market

The National Highway Traffic Safety Commission and the Occupational Safety and Health Administration are part of​ Ford's _____ environment.

Politicial-Legal

When the price of a product is set below the market​ price, a​ _____ will occur.

Shortage

The​ _____ environment includes the​ customs, mores,​ values, and demographic characteristics of the society in which an organization functions.

Sociocultural

The law of supply states that​ _____.

sellers will offer more of a product for sale as the price increases and less of a product if its price decreases

Speedy Motors is introducing a new hybrid vehicle into the market and wishes to gain a large market share. To gain new customers​ quickly, the company plans to underprice its competitors. This is an example of the law of​ _____.

Demand

The term​ ______ refers to the willingness of buyers to purchase a good or service.

Demand