BA 1301 exam 1
What is the first thing you enter into each section of the Business Model Canvas?
A guess
What is a startup?
A portfolio of activities that become a company
________ is often called the father of capitalism.
Adam Smith
A start-up restaurant would need this key resource to deliver its value proposition.
An oven
A business knows if their product delivers benefit to customers by _________________.
Asking them
By patenting his bottle design and putting his name on the product, HJ Heinz developed a ________________.
Brand
The Plymouth Colony is the foundation of the American System of _____________?
Capitalism and philanthropy
Which communist country was the first to make strong economic gains by adopting capitalist approaches to business?
China
generally, when a retailer announces a discount sale on all its products, what happens?
Consumers will demand more products
What is an example of a revenue stream for Amazon?
Credit payments through the website
Which statement is true about dumping?
Dumping permits quick entry into a market.
Which statement is true about businesses and profits?
Earning profits contributes to society by creating resources that support social institutions and government.
Which of the following is one of the Five Principles of The Lean Startup?
Entrepreneurs are everywhere
who subscribes to the ideals of a communist economy as proposed by Karl Marx
Felix believes that in a society, people should contribute according to their ability and receiving benefits according to what they need
The following is an example of a customer segment of an airline:
First class passengers
Why are customer relationships important?
Foster repeat sales
What cultural problem did William Bradford, leader of the Plymouth Colony, believe was caused by communal ownership of property?
Free-riding
What is a business model?
How a company creates, delivers and captures value
When considering key activities on the Business Model Canvas, what is one important factor?
How do the key activities improve the value proposition?
On the Business Model Canvas, what are channels?
How value is delivered to customers
Adam Smith's Wealth of Nations is based on the idea that ______________.
Individuals and nations act in their own self-interest.
If data shows customers are not buying a company's product, it should ____________.
Iterate and pivot
which country is an example of an economic system based on capitalism?
Japan
Abraham Lincoln enacted policies to protect ____________ as a reward for votes after he was elected president.
Manufacturing
Which is a cause of the Great Depression?
Massive crop failures
How do businesses know if they have a product customers will buy?
Measure customer behaviors
Franklin Roosevelt created the ____ that was later declared unconstitutional because it created a national industry.
National Recovery Administration
Franklin Roosevelt's economic recovery plan to end the Great Depression was called the __________.
New Deal
How did HJ Heinz offer value to his customers?
Offered tiered products and different price levels
What is true of an open economy, like that of the United States?
Open economies are major players in international trade.
Which of the following are Key Partners in the Business Model Canvas?
People or companies with whom you do business
The theory or practice of shielding a country's domestic industries from foreign competition by taxing imports is ___________.
Protectionism
According to The Lean Startup, what is value?
Providing benefit to the customers
A value-driven company prioritizes ______________.
Quality
Because of the way he sold his products, HJ Heinz emphasized _________ in his supply chain.
Quality
When people lose confidence in banks and demand their deposits be returned, it is called a ___________ on a bank.
Run
For what reasons did Adam Smith's Wealth of Nations oppose slavery?
Slavery prevented innovation and made landowners lazy.
What is an example of a minimum viable product?
Software with few features
In Edwards Deming's book Out of the Crisis, what method does he suggest using to measure quality?
Statistical process control
Talia is the owner of a small business. She has an HR person, an operations manager, a marketing manager, and a sales manager on staff. Who is responsible for the financial decisions that arise in the course of business?
Talia, the owner
What method is used to determine if your business model is on the right track?
The scientific method
Which statement regarding multinational corporations (MNCs) is true?
They are the highest level of international business involvement.
What is true regarding trading companies?
They handle all activities required to move products from one country to another.
On what grounds are multinational corporations (MNCs) often criticized by anti-globalization activists?
They misuse and misallocate scarce resources
Which components of the Business Model Canvas should be addressed first?
Value proposition and customer segments
Which of the following are elements of the Business Model Canvas?
Value propositions and customer segments
What is the premise of Maslow's Theory of Needs?
When the lowest needs on the pyramid are met, people become more motivated by meeting the needs of higher levels.
what competitive environment exists when there is only one business providing a product in a given market?
a monopoly
Which of the following can be best defined as a corporation that operates in several countries without significant ties to any of them?
a multinational corporation
which of the following is an example of an intangible product?
a music concert
Tariff
a tax imposed by a government on goods and services imported from other countries that serves to increase the price and make imports less desirable, or at least less competitive, verses domestic goods and services
Bolivia, South America is the only country in the world that is able to grow a rare plant that is used to produce a healing ointment for arthritis patients. Because Bolivia is the only country with access to this plant, it has a(n)
absolute advantage.
Until 1970, the United States experienced a trade surplus. What factor contributed to this surplus?
an abundance of natural resources
________ is an example of a product of monopolistic competition.
aspirin
which of the following is a tangible product?
automobile
HJ Heinz pioneered _____ in America.
branding
Quentin owns a company that makes metal and wooden signs. in order to acquire the different kinds of wood and steel he needs to make his product, Quentin needs
capital
Political concerns may lead a group of nations to form a(n) ________, a group of firms or nations that agrees to act as a monopoly and not compete with each other.
cartel
which statement is true regarding a socialist system of economy?
central planning determines what basic goods and services are produced.
Which of the following is an intangible resource?
company reputation
Among the major activities of business, which of the following is an element of management?
conduct product research
_____ measures changes in the price of goods and services purchased for consumption by typical urban households
consumer price index
________ measures changes in the prices of goods and services purchased for consumption by typical urban households.
consumer price index
The cost structure portion of the business model analyzes _____.
cost of key resources and activities
Which of the following is a characteristic of communist economies in reality?
critical shortages of consumer goods
increased unemployment can reduce consumer demand for goods and services, leading to
deflation
The quantity of goods and services that consumers are willing to buy at different prices at a specific time is referred to as
demand
The purchase of overseas production and marketing facilities is an example of
direct investment.
What is associated with a decline in spending?
economic contraction
the study of how resources are distributed for the production of goods and services within a social system is referred to as:
economics
Which market is most likely to be a monopoly?
electricity supply
what is a characteristic of the marketing economy phase of the American economy?
expensive goods such as cars and appliances could be purchased on a time-payment plan
A specific amount of money levied on each unit of a product brought into a country is referred to as a(n) ________ tariff.
fixed
What are the two primary factors economists consider when evaluating the American economy?
growth in GDP and jobs
In Norway, most citizens are able to afford basic necessities and some degree of comfort. This means Norway has a(n)
high standard of living
revenue stream
how you make money how do customers pay and when?
A firm's ________ resources are also known as labor.
human
All of the following are examples of mixed economies EXCEPT
in socialist France, the French government owns the postal service industry.
Ramona is living on a fixed income since her retirement. She is worried that the economy is expanding too rapidly, which could result in
inflation
which statement is true about GDP as a measure of a country's economic health?
it measures only those goods and services within a country
what does the American government do to counteract economic contractions
it reduces interest rates
Trey has a responsibility for the functions of organizing staffing, planning, and controlling activities in large companies. these functions are most closely associated with ___
managers
Ronan works for a custom furniture manufacturer. His job is to oversee the process of taking raw materials—lumber, fabric, and metal components—and ensure that they are transformed to the customer's exact specifications. Ronan's job falls under the business activity known as
operations
when a business fails or does not make a profit ____ have the most to lose in terms of finances.
owners
what is true regarding an oligopoly?
prices charged by different firms stay fairly close because a price cut or increase by one company will trigger a similar response from another company
List the needs of Maslows pyramid from bottom to top
psychological, safety, love, esteem, and self actualization.
A country that imposes an embargo in response to some political event is attempting to
restrict trade with other nations.
what social safety net program was created during the great depression?
social security
Chi Ling lives in a country where income and social services are distributed equally among its citizens. however, the citizens must pay high taxes and the country often experiences high levels of unemployment. chi ling lives in a ____ nation.
socialist
Master Motors is working to find a way to produce the SUVs and trucks its customers want while meeting environmental requirements. This is an effort to please multiple
stakeholders
An entrepreneur has been primarily associated with the willingness to
take risks
What is the purpose of the build-measure-learn feedback loop?
take what you learn and use it to improve
amit hired an attorney to help him draft a purchase and sale agreement for his new home. the home is an example of a product is a
tangible item
what is true regarding the responsibilities of the people involved in a business?
the primary responsibility of providing financial resources for the operation of the business lies w the business owners
Protectionism
the theory or practice of shielding a country's domestic industries from foreign competition by taxing imports
The usefulness of the International Monetary Fund (IMF) for developed countries is limited because
these countries use private markets as a major source of capital.
what would hinder business activity as it relates to an open economy
too much regulation of business activities
Several employees in a well-known corporation, Truck Corporation, were arrested for intentionally selling defective truck parts to their customers. Scandals like this
undermine public confidence in corporations
If a country balances the money it spends for social, defense, and other programs with the amount of money it takes in from taxes, this country
will not have a budget deficit