intro to business
________ limit the amount of particular goods that countries allow to be imported during a given year.
Import quotas
a company's _______ defines how it will generate revenue and produce a profit
business model
An organization that seeks to operate efficiently and effectively to achieve its goals without focusing on profit as a motive is a ________.
nonprofit organization
A(n) ______ is a specific, short-range target or aim
objective
________ refers to a resource or capability a company must have before it can start competing in a given market.
Barriers to entry
________ is the term used to describe the difference between revenue and expenses.
Profit
Which one of the following is true regarding the economic environment of business that shapes the behavior of buyers and sellers?
Virtually every decision made is influenced by the economic environment.
the positive, forward-thinking desire to create a profitable sustainable business is called _______
entrepreneurial spirit
Which of the following is an objective of protectionism?
guarding specific industries in a nation
The risk and reward relationship ________.
is fundamental to businesses in every modern economy
Developing strategies establishing goals and objectives for the organization and translating those strategies and goals into action plans is part of the ______ function of management
planning
True/False Management is the process of planning, organizing, leading and controlling to meet organizational goals.
true
which of the following is a quality that a successful entrepreneur is most likely to have
views failure as a chance to grow
A(n) _______is a brief and inspirational expression of what a company aspires to be
vision statement
which of the following is a valid observation of corporations
a corporation is the distince from the people running it
A(n) ________ is a framework of how a business intends to generate revenue.
business model
how are taxes paid in a partnership
by each partner based on their individual profit
In a ________, companies can decide what to produce, how to produce, whom to sell to, and at what price to sell.
free-market system
which of the following is a key advantage of incorporating a business as a sole proprietorship
it is easy to establish and requires less paperwork than other structures
what is the level of authority and liability in a general partnership
joint authroity and joint liability
The ________ economic system allows individuals to own and operate the majority of businesses with limited economic intervention by the government.
mixed
A ________ creates value by performing activities that provide benefit to the customer.
service business
which of the following is a typical role of middle managers in an organization
translating strategic goals and objective into actions
Which of the following actions of the government indicates the privatization of an industry?
Allowing private businesses to operate in an industry that was previously operated by the government.
________ refers to a view of business that considers the many decisions that must be made and the potential problems that must be overcome before the organization can deliver its products or services.
Business mindset
________ refers to some aspect of a product or company that makes it more appealing to target customers.
Competitive advantage
________ is the study of how a society uses scarce resources to produce and distribute goods.
Economics
________ is lead by innovation, initiative, and the willingness to take the risks in creating and operating businesses
Entrepreneurship
________ are a form of financial assistance in which producers receive enough money from the government to allow them to lower their prices.
Export subsidies
________ refers to a company's target customers, the buying influences that shape the behavior of those customers, and competitors that market similar products to those customers.
Market environment
________ is money that an organization brings in through the sale of its goods and services.
Revenue
________ are politically motivated embargoes that revoke a country's normal trade relations status.
Sanctions
a(n) _____ has most of the attributes of a regular corporation but adds the legal requirement that the company must also pursue a stated non-financial goal
benefit corporation
which of the following combines the benefits of independent business ownership with the support of a large organization
buying a franchise
which of the following requires less work and less risk because there is an established customer base
buying an existing business
The money, equipment, and buildings that a business needs in order to produce goods and services are called ________.
capital
an s corporation ______
combines llmited liability of a corpoartion with the federal taxation advantages of a partnership
When the U.S. dollar is strong, U.S. exports will likely ________.
cost more in other countries
What is one of the key roles of management
creating an enviornment where employees can excel in their work
choosing a candidate from several job applicants is an example of the _________ role of managers
decisional
A(n) ________ shows the relationship between the amount of product that buyers will purchase at various prices, all other factors being equal.
demand curve
Businesses can impact society in both positive and negative ways. Occupying land and displacing existing businesses are examples of ________.
disrupting communities
What types of technologies are strong enough to create or destroy companies?
disruptive
three factors contributing to the increased number of small businesses are technologies such as e-commerce, growing diversity in entrepreneurship and ________
downsizing and outsourcing
Microeconomics is the study of ________.
economic behavior among consumers and businesses
The number of units of one currency that must be exchanged for a unit of the second currency is known as the ________ between the currencies.
exchange rate
A(n) ______ is a tool that provides quick-read summaries of vital performance variables
executive dashboard
what type of exposure to liability is there in a sole proprietorship
exposure is unlimited and the owner's personal responsibility
true/false Assets refer to the tangible economic resources owned by a firm.
false
profits of sole proprietorships _____
flow directly to the owners
predicting when events will occur and their impact on the organization should be done through __________
forecasting
a major advantage of partnerships is that they ______
have a straightforward income tax structure
Which of the following refers to people and their individual talents and capabilities?
human resources
which of the following is most likely to encourage entrepreneurship
inability to find attractive employment anywhere else
Managerial roles are grouped into three main categories: interpersonal, decisional, and ________.
informational
In the global marketplace, which of the following is often a type of key asset needed to successfully utilize an advantage?
intellectual
providing leadership to employees is an example of a(n) __________ role of management
interpersonal
the entrepreneurial spirit found within a larger corporation is referred to as _________
intrepreneurship
which of the following is a key advantage that corporations have over sole proprietorships and partnerships
investments in corporations have more liquidity than partnerships ad sole proprietorships
Dumping ________.
involves selling a product at a price lower than the cost of production
a disadvantage of the corporate structure is that it __________
involves strict reporting requirements
a small business is defined as a company that ____
is independently owned and operated and not dominant in its field
a sole proprietorship _____
is owned by only one person
which of the following is an advantage of buying into a franchise system
it comes with an established business system
a potentially significant disadvantage of a partnership is that _____
it has more potential for disagreement and conflict
preparing a business plan serves which of the following functions
it helps persuade lenders and investors to finance the business
which of the following refers to the interrelated tasks that lead an organization in pursuit of its goals
management
A company benefits from economies of scale when it ________.
manufactures and distributes products in higher quantities
in order to be effective, a business goal should be
measurable
A(n) ______ is a brief declaration of what the organization aims to accomplish for customers, investors, and other stakeholders
mission statement
a(n) ________ is an unincorporated company owned by two or more people
partnership
entrepreneurs often have a talent for inspiring others or _______ for what they do
passion
which of the following is a key difference between private corporations and public corporations
private corporations are legally a group of people, whereas public corporations are distinct from any individuals persons
a business plan is a written document that summarizes the ______
proposed business venture, goals, and plans for achieving those goals
which of the following is an example of a strength that companies possess?
respected brand
how can a large firm foster an entrepreneurial spirit within the organization
reward risky behavior that might lead to innovation
Population trends that change the composition of consumer markets and the workforce are a part of a company's ________ environment.
social
Who are the workers who apply entrepreneurial strategies to cause large-scale social change?
social entrepreneurs
which of the following is one of the main reasons that small businesses are using social media for marketing and advertising
social media allows them to stretch their small advertising and promotional budgets
The classic theory of comparative advantage suggests that each country should ________.
specialize in those areas where it can produce more efficiently than other countries
____________ plans outline the firm's long-range (often two to five years) organizational goals and set a course of action the firm will pursue to reach its goals
strategic
what are positive internal factors that contribute to a company's success
strengths
before establishing long-term goals, a company should understand its _______ relative to opportunities and threats
strengths and weaknesses
The ________ depicts the relationship between prices and quantities that sellers will offer for sale, regardless of demand.
supply curve
the overall strategic plan of an organization might be supported by plans from functional areas, such as research and development, manufacturing, and marketing. the plans from these functional areas are called ___________ plans
tactical
Taxes on goods charged by a country where an item is being imported to are known as ________.
tariffs
taxes, surcharges, or duties levied against imported goods are known as ________.
tariffs
The term ________ refers to forces resulting from the practical application of science to innovations, products, and processes.
technological environment
what is the advantage of a master limited partnership
they have the fundraising capabilities of a corporation without the double taxation disadvantage
A country's balance of payment equals the ________.
total flow of money into the country minus the total flow of money out of the country
true/ false A business mindset is a view of business that considers the various decisions a business has to make as well as the challenges that it must overcome in order to be successful.
true
true/ false Capitalism is a term used to describe the free-market system, one in which private parties own and operate the majority of businesses and where competition, supply, and demand determine which goods and services are produced.
true
true/ false The equilibrium point is the point at which quantity of a good or service equals the quantity demanded.
true
true/false government agencies require publicly traded companies to publish extensive and detailed financial reports
true
true/false unlimited liability is a legal condition under which any damages or debts incurred by a business are the owner's personal responsibility
true
which of the following is a key difference between a corporation and a sole proprietorship
unlike a sole proprietorship, a corporation has limited liability
A country has a trade surplus when the ________.
value of its exports exceeds the value of its imports
A country has a trade deficit when the ________.
value of its imports exceeds the value of its exports
"Do what's right, respect others, care for customers, and perform with excellence." This is likely to be an organization's _________ statement
values
a public corporation refers to a corporation ______
whose stock is sold to the general public