Contemporary Socio Economic Issues C3

Question 1

Meaning of low income levels

Answer 1

~Due to the largest differences in salaries betw. high earners and low earners

Question 2

Impact of low income levels on a bus.

Answer 2

~Consumers can shift to cheaper brands
~Poverty can lead to crimes such as shoplifting and robberies
~Bus. will have fewer profits and will not have money to expand

Question 3

Meaning of inflation

Answer 3

~General increase in the price of all products in the country
~Leads to a decrease in the purchasing power of money

Question 4

Impact of inflation on bus.

Answer 4

~Increases the costs of raw materials & other inputs

~Decreases consumer spending resulting to decreased sales and profitability

Question 5

Meaning of social, cultural & democratic issues

Answer 5

~Have an impact on the market env. because they shape the way people work/live/produce
~Demographic factors are defined as the characteristics of the population of a country

Question 6

Impact of social, cultural and democratic issues on bus.

Answer 6

~ Diff. groups of people will behave differently as consumers which will affect the bus. marketing strategy & sales
~New fashion and cultural trends create diff. kinds of consumers which may result in the reduction of sales for existing products

Question 7

Meaning of economic crime

Answer 7

~ AKA white collar crime, includes the following activities:-Fraud -Money laundering

Question 8

Impact of economic crime on a bus.

Answer 8

~Loss of income if the money was stolen from a bus.
~Loss of jobs if a bus. closes down
~Businesses lose investors

Question 9

Meaning of ethical misconduct

Answer 9

~Acting in ways that are consistent with a person’s value

~These are socio economic issues that also present threats and challenges to bus.

Question 10

Types of ethical misconduct

Answer 10

~Sexual harassment 
   Involves unwanted conducts of                  
   sexual nature from someone at 
   work that causes discomfort 
~Corruption
   Refers to any act of dishonesty such   
   as bribery
~Mismangement of funds
  Wrongful use of funds that don't 
  belong to an employee

Question 11

Impact of ethical misconduct on a bus.

Answer 11

~Corruption and mismanagement of funds will lead to loss of income
~Corruption undermines bus. and negatively influences investment
~May result to bad publicity and loss of customers

Question 12

Meaning of population growth

Answer 12

~Number of people in a community

~It is a percentage change in the population resulting from births, deaths and migration

Question 13

Impact of population growth on a bus.

Answer 13

~Excessive growth increases unemployment and crime

~Consumers will have less income and bus. will have decrease in sales

Question 14

Meaning of illiteracy

Answer 14

~Someone who cannot read or write

~Many people who are illiterate cannot find work as most jobs require some reading and writing