Business studies

Question 1

A good or service which is essential for living

Answer 1

Need

Question 2

Machinery is an example of this production

Answer 2

Capital

Question 3

This is an example of a natural resource

Answer 3

Wood

Question 4

Entrepreneurs have this

Answer 4

Ideas

Question 5

This term is used to describe when there are not goods and services to meet consumers want

Answer 5

Scarcity

Question 6

This term is used to describe when there are not goods and services to meet consumers want

Answer 6

Scarcity

Question 7

This type of consumer good can be used over and over again

Answer 7

Durable

Question 8

This type of consumer good can be used over and over again

Answer 8

Durable

Question 9

Business activity in this sector takes natural resources and converts them into finished goods

Answer 9

Secondary

Question 10

This describes economics which are both private and public sectors

Answer 10

Mixed

Question 11

Characteristic of successful entrepreneurs

Answer 11

Innovative

Question 12

Governments might provide these to support business startups

Answer 12

Grants

Question 13

One method of measuring the size of a business

Answer 13

Economic of scale

Question 14

A new business should have one of these

Answer 14

Plan

Question 15

A business should have one of these

Answer 15

Plan

Question 16

Poor cash flow management might be a reason why this happens to some business

Answer 16

Fail

Question 17

Opportunity cost

Answer 17

A benefit lost while choosing a choice

Question 18

Identify two advantages to a business of specialization

Answer 18

-It helps. Workers concentrate on one specific task.
-The business grows faster

Question 19

Added value

Answer 19

Selling a product more than it costs

Question 20

Difference between private and public sector

Answer 20

-Public sector is an economy controlled by the government, whereas private sector is an economy controlled by an individual
Public sector provides service to the public
Private sector funded through private investments and sales

Question 21

Example of capital goods

Answer 21

Missionary,tools, buildings, vehicles

Question 22

The four factors of production

Answer 22

Land, labor, capital,enterprise

Question 23

Consumer goods

Answer 23

Products which are sold to customers(physical good, tangible goods)

Question 24

Difference between durable and non-durable

Answer 24

-Good that can be used over and over again
-Good that can only be used once

Question 25

Customer service

Answer 25

Product which are also sold to the public, but they cannot be seen or touched in tangible example order, assistant, returns and refunds(intangible)

Question 26

Capital goods

Answer 26

Products, which are sold to other businesses to help in their production process

Question 27

Branding

Answer 27

Is creating a unique idea of production

Question 28

Example of primary sector

Answer 28

Mining, farming, fishing

Question 29

example of Secondary sector(turning raw material into finished goods)

Answer 29

Manufacturing,construction

Question 30

Example of Territary sector(providing service to a final customer)

Answer 30

Shops, restaurants, banks

Question 31

Difference between primary sector, and secondary sector business activities

Answer 31

Primary sector: harvest, natural resources Contributes to economies Secondary sector : produces raw materials into finished goods. Add more value to the ram materials

Question 32

Examples of measuring business size

Answer 32

Capital employed Value Of output Number of employees

Question 33

Why do owners want to expand their business?

Answer 33

Increase in profit Increasing market share Economic of scale Greater power to control the market

Question 34

Different ways businesses can grow

Answer 34

Internal External

Question 35

Internal growth

Answer 35

Buying more machines Developing new product Finding new markets for its products

Question 36

External growth(when a business merge with or takes over another business)

Answer 36

Horizontal integration Forward Vertical integration Backward vertical integration Conglomerate integration

Question 37

Conglomerate

Answer 37

The bringing together of two businesses who in are completely different industries

Question 38

Horizontal integration

Answer 38

Brings together two businesses in the same industry

Question 39

Forward Vertical integration

Answer 39

Brings together two businesses in the same industry, but one is the customer of the other Ex: shoe manufacturer, and shoe retailer

Question 40

Backward vertical integration

Answer 40

Brings together two businesses in the same industry, but one is supplier to the other Example:Chocolate manufacture, and a cocoa producer

Question 41

Factors affecting business growth

Answer 41

Owners choice Market size Access and availability Market domination

Question 42

Characteristics of a successful entrepreneur

Answer 42

Innovative Self-motivated Self confidence Multi skilled Strong leadership Risk taker Good at networking

Question 43

Cause of business failure and why new business fail

Answer 43

Poor planning Poor management Poor choice of location Poor marketing Competition

Question 44

Define entrepreneur

Answer 44

An individual who takes the financial risk of starting and managing a new business

Question 45

Industrialization

Answer 45

The growing importance of secondary sector business activity