foundations of business 201

many sellers, different products

Monopolistic competition

one seller

Monopoly

few sellers, similar products

Oligopoly

Classify which of these factors are included by the United States government when calculating the GDP (gross domestic product). goods and services produced in the U.S. by U.S. companies, products that are part of a final product, goods and services produced outside of the U.S by U.S. companies, goods and services produced inside the U.S by non U.S companies, goods provided to be sold to final users

Part of GDP- goods and services produced inside the U.S by non U.S companies, goods provided to be sold to final users, goods and services produced in the U.S. by U.S. companies Not part of GDP- products that are part of a final product, goods and services produced outside of the U.S by U.S. companies

Which of these are characteristics of a business?

Provides goods to consumers Organizes to make a profit Provides services to consumers

the government owns the banks and hospitals; private companies own the bakeries and shoe stores

Socialism

Which of these are part of the three sets of questions that economists seek to answer?

Who should receive the goods and services produced? What goods and services need to be produced to meet customers' needs?

In the fictional country of Unozarica, all the airlines, buses and trains are owned by businesses not the government, but the government has oversight on them, especially for safety reasons. No one is guaranteed a job, but citizens are guaranteed income in their old age. This is an example of _____.

a mixed market economy

DonutsDelite Bakery sells out of their oatmeal chocolate chunk muffins every day for two weeks. After that, they decide to increase the price of the muffins by 10%. This is an example of _____.

a shortage causing an increase in market price

. An organization that provides services or goods to consumers and needs to make a profit is a __________.

business

Operations

converting the company's resources into quality products

In the marketplace, if consumers are buying fewer new cars, the price will ______.

decrease

Capitalism, communism, and socialism are examples of _____, the way a society allocates and distributes its products.

economic systems

The point at which the supply curve crosses with the demand curve is the _____.

equilibrium price

Edward and Jace own a bakery, "DonutsDelite". Classify the following based on whether they are factors of production at "Donuts Delite" for the bakery's product. Oatmeal, jelly-filled doughnuts, croissants, muffin tins, cocoa powder, chocolate cake doughnuts, oven, rolling pins, oatmeal chocolate chunk muffins, baker's salary

factors of production- baker's salary, oven, rolling pins, muffin tins, oatmeal, cocoa powder not factors of production- jelly-filled doughnuts, croissants, chocolate cake doughnuts, oatmeal chocolate chunk muffins

Marketing

focusing on the needs of and relationships with the customers

If consumers start buying more cars and the production of new cars can't match demand, then the price will ______.

increases

A monopoly that exists because of an exclusive process or product is a _____ monopoly.

legal

In a(n) ________ market, there are many sellers with products that differ slightly but have similar purposes.

monopolistic competition

The companies that provide utilities, like gas and electricity, are considered what type of monopoly?

natural

When a monopoly exists because the business is so large and expensive to replicate, that is a _______ monopoly.

natural

An organization that provides services, such as education or free meals, and doesn't need to make a profit to stay in business is a ___________.

non-profit

Finance

obtaining funding for the company when needed

In a(n) ______ market, the number of sellers is low, controlling much of the market, and they are able to have some control over their price structure.

oligopolistic

Management

organizing the resources of a company to meet its goals

When a standardized product is available from many sources, this is an example of _____.

perfect competition

To create a supply curve, you would plot the ________ of a product that sellers are willing to part with at a specific price, regardless of the _________.

quantity, demand

Accounting

reporting on the materials cost and financial strengths of the business

For a business to be profitable, its ___________ must be more than its ____________. For example, at Kelly's Car Center, they made $10,000 in one month and the expenses for the month were $8,300. This difference was the ___________.

revenue, expenses, profit

private companies own the banks, hospitals, bakeries, shoe stores

Capitalism

the government owns the banks, hospitals, bakeries, and shoe stores

Communism

Which of the items listed are external forces that impact businesses?

External Forces- Consumer Trends Government Economy Corporate citizenship

Which are a part of the functional areas of business?

Functional Area- Accounting Finance Management Marketing Operations