Business Management Final Exam Study Guide
Theory X
Business Management theory that assumes people are basically lazy and will avoid working if they can.
Theory Y
Business management theory that assumes people find satisfaction in their work
Theory Z
Business management theory that integrates Japanese and American business practices.
Patent
the document the federal government issues to inventors and companies that give them the exclusive right to make, use and sell their inventions for 17 years.
Opportunity Cost
the loss associated with the best opportunity that is passed up.
Social Responsibility
the obligation that individuals or business have to help solve social problems
Equilibrium Price
the price at which supply equals demand
Copyright
the protection provided to a creative work
Scarcity
too few resource available for everyone in the world to consumes as much as he or she would like
Embargo
total ban on the import of a good from a paricular country
Trademark
word, name, symbol, or slogan a business uses to identify its own goods and set them apart from others.
Balance of Trade
the difference between the value of the goods a country exports and the value of the goods it imports.
Ethical Dilemma
are situations in which the ethical course of action is not clear.
Wheeler-Lea Act
bans unfair or deceptive acts or practices, including false advertising.
Breakeven
reveals how many units of a good or service a business needs to sell before it begins earning a profit
Cover Letter
sent with resume as a brief introduction; emphasizes accomplishments most relative to a job
Comparative Advantage
states that producers should produce the goods they are most efficient at producing and purchase from others the goods they are less efficient at producing
Economics
study of how societies decide what to produce, how to produce it, and how to distribute what they produce
Networking
talking to people who may offer you job leads, contacts, or other information
Tariff
tax on imports
Federal Food, Drug, and Cosmetic Act
1938 bans the sale of impure, improperly labeled, falsely guaranteed, and unhealthful foods, drugs, and cosmetics.
Absolute Advantage
the ability to produce more of a good than another producer with the same quantity of inputs.
NAFTA
North America Free Trade Agreement
Personality
the combination of all the unique qualities that make you who you are.
Corporation
a business formed under state or federal statutes that is authorized to act as a legal person
Sole Proprietor
a business owned by a single individual, or proprietors
Stakeholders
a company's employees, customers, suppliers, and the community
Free Trade Area
a region within which trade restrictions are reduced or eliminated.
Total Quality Management
a system of management based on involving all employees in a constant process of improving quality and productivity by improving how they work
Property tax
a tax levied against the property, buildings, or land owned by a business.
Partnership
an association of two or more persons who jointly own a for-profit business
Global Economy
an economy in which companies compete actively with business from all over the world.
American with Disability Act
companies cannot discriminate against persons with disabilities.
Economic indicators
data that show how the economy is performing
Internation Trade
exchange of goods and services by different countries
Exports
goods and services sold abroad
Imports
goods and services that are purchased aboard
Unions
groups of worker who collectively bargain for rights such as higher wages and better working conditions
Glass Ceiling
invisible barrier tha prevents women and minorities from moving up in the business world
Clayton Act of 1914
makes it illegal to charge different prices to different wholesale customers.
Monopoly
occurs when one party maintains total control over a type of industry
Intellectual property
ownerships of ideas, such as inventions books, movies, and computers program
Entrepreneurs
person who launches and runs his or her own business
Recession
phase of the business cycle in which growth falls for two three-mo nth periods in a row.
Quota
restrictions on the quantity of a good that can enter a country