Assessments

A typical demand curve shows that

People tend to buy more of a good when its price decreases.

What is the difference between a stakeholder and a shareholder?

Stakeholders have a vested interest in the business' success, whereas shareholders have ownership in in the business.

Poshmark is more than a shopping app; it connects people and brings them together. Poshmark is a passionate group of people that aren't just meeting in the app, they are having

Posh Fests.

Creating the right business environment is the foundation for social benefits of all kinds. Businesses operate in a dynamic environment that consists of economic, technological, competitive, social, and global factors. Businesses normally can't control their environment or the changes that occur, but they need to monitor it carefully and do what they can to adapt to the changes.

1 Economic & legal - Jeffries Roofing: In its proposals, Jeffries Roofing describes the materials to be used and the price. When a customer signs a bid, it becomes an enforceable contract.2 Technological - Borders books and music: As customers began downloading digital books and music from the Internet, Borders struggled for years and eventually declared bankruptcy.3 Competitive - Blackberry: When the Blackberry phone system quit working, 70 million customers were affected. Many of those customers turned to other cell phone providers that offered the reliable service business customers demand, often at a lower price.4 Social - Snap for Seniors: Entrepreneur Eve Stern started a business to serve the growing number of older Americans. Snap for Seniors lists housing providers for seniors and, based on individual needs, matches them with elderly clients.5 Global - Walmart: In China, Walmart has nearly doubled its presence, and U.S. Walmart locations now offer a range of products that are made in China.

Why should a business be concerned with stakeholders?

A business should be concerned with stakeholders because stakeholders represent a broad group of people who stand to gain or lose by the actions of the business.

__________ exists when the entire supply of a good is controlled by a single seller.

A monopoly

Which individual would tend to favor a socialist economy?

Amber prefers to live in a country that promotes social equality.

___________ is the study of population with regards to its size, density, age, race, gender, income, and so on.

Demography

How are governments considered stakeholders?

Governments are considered stakeholders because they play a role in the outcome of the business through taxes, increased property values, and regulations designed to protect consumers.

Allowing customers to search other Redbox kiosks for a particular movie is made possible by new

technology.

__________ looks at the behavior of individual people and organizations in specific markets.

Microeconomics

Which statement about government deficit spending is most accurate?

One reason the government has a hard time reducing deficits is that there is a great deal of need for new social programs each year.

According to a recent study, what impact did restaurants using the GrubHub platform see on their revenue growth compared to those that did not?

Revenue growth was six times greater than that of restaurants not using GrubHub.

According to the box "Bad Medicine for Consumers?" the hypothetical pharmaceutical firm you work for recently increased the price of a chemotherapy drug from $300 to $3,000! What concern associated with capitalism best illustrates this ethical dilemma?

Some businesspeople may let greed guide their behavior.

In what ways has the technological environment helped to grow GrubHub's business?

The technological environment has allowed GrubHub to build a business overseas, to service approximately 1100 cities across the country, and to reach beyond city borders into smaller towns and suburbs.

Are shareholders stakeholders?

Yes

A business should try to ___________________ the factors in the environment.

adapt to

The Federal Reserve Bank operates

as a semiprivate organization not under the direct control of the government.

The social and economic goals of __________ include private ownership of land and business.

capitalism

GrubHub has more than 50,000 restaurants in its network, which is a significant advantage in which business environment?

competitive

One way to lessen the U.S. government budget deficit is to

cut spending.

The four basic types of unemployment are frictional, structural, seasonal, and

cyclical.

A __________ is a severe recession that is usually accompanied by deflation.

depression

iContact is committed to dealing sensitively to workers and customers from a wide variety of backgrounds and cultures. This is known as managing

diversity.

Economics is the study of how a society

employs resources to produce goods and services and distribute them among competing groups and individuals.

If you choose to start your own business and work for yourself, then you would be a(n)

entrepreneur.

People like Ryan and Aaron who risk time and money to start and manage a business are called

entrepreneurs

Although iContact now enjoys revenue over $10 million and expects that figure to double in the next year, it is not yet profitable. In order for iContact to make a profit, its revenues must exceed its

expenses

In recent years, most countries with communist economic and political systems have

experienced economic depression.

The freedom of people to decide where they want to work and live, and what they want to buy or sell, are basic capitalist rights under

freedom of choice.

The circular economy encourages reusing and recycling old products rather than simply discarding them. This allows Poshmark to provide fashion at a reasonable price and with a small environmental footprint. Which business environment does the circular environment fall under?

global environment

Three important economic indicators of the United States are the unemployment rate, the price indices, and the

gross domestic product (GDP).

The technology environment would include studies of

information technology.

Adam Smith believed that countries would prosper if businesspeople were free to start and run their own businesses. Businesspeople would make a profit by providing the goods, services, and ideas that others in the economy wanted, and they would hire others to help increase those profits, leading to social and economic benefits for many. This idea was called the

invisible hand.

If Redbox is successful at attracting customers to a location, then McDonald's could possibly realize

more revenue.

Which GrubHub company policy is unique among food-delivery services, allowing it to sustain a competitive advantage over its competitors?

no menu markup

Poshmark is a social commerce platform whose whole experience is centered around

people.

If a shortage exists for a good in a free-market economy, the

price of the good will rise.

A key to economic growth and development is to

provide people with better education.

Ryan and Aaron's business was able to thrive in America because of political freedom, natural environment, education, health care, leisure time, safety, and other benefits. In other words, they were able to thrive because of America's high

quality of life.

The chance of losing time, money, reputation, and so on, is known as

risk.

Which business environment was affected when GrubHub expanded its target market to include families and working mothers in the suburbs?

social

Demographic characteristics such as age, race, gender, and income are part of a business's

social environment.

One reason the CPI is monitored very closely by government, businesses, and workers is that

some wages, interest rates, tax rates, and government benefits are tied to changes in the value of the CPI.

Aaron mentioned that iContact considers the needs of the community and the environment. Members of the community and environmentalists are considered some of iContact's

stakeholders.

In general, it is wise for a business to

strive to create positive relationships with all stakeholders.

The ability to start and grow iContact was primarily based on the existence of the Internet. The Internet is considered a key part of the

technological advancement.

Based on the examples provided in the video, which business environment contributed the most to the success of Poshmark?

technological environment

what is a basic right under capitalism?

the right to compete

Changing __________ of Millennials and Gen Z consumers fit perfectly with Poshmark's business model.

values