PRINCIPLES IN CREATING A BUSINESS

Question 1

Principles in Creating a Business

Answer 1

1. Scalability
2. Big Ideas
3. Systems
4. Sustainability
5. Growth
6. Vision
7. Purpose
8. Autonomy
9. Profitability
10. Standards

Question 2

A business must be scalable for it to be successful. ___________ is the capability of a company to sustain or improve its performance in terms of profitability or efficiency when its sales volume increases

Answer 2

Scalability

Question 3

A business is no more effective than the idea upon which it is built. Business creates its own plan to expand its economic growth.

Answer 3

Big Ideas

Question 4

A business is a system in which all parts contribute to the success or failure of the whole. In this _________, everything must work together from employee to president; from equipment to resources.

Answer 4

Systems

Question 5

A business must be dynamic- able to thrive through all economic conditions, in all markets, providing meaningful highly differentiated results to all of its customers. Such differentiation is the key to survival

Answer 5

Sustainability

Question 6

___________ is essential in business. Without continued __________, operations will stagnate. This can result in lowered standards of quality for products or services, decreased customer service, and poor employee morale.

Answer 6

Growth

Question 7

A business must manifest the higher purpose upon which it was seeded, the __________ it was meant to exemplify, the mission it was intended to fulfil.

Answer 7

Vision

Question 8

A business is the fruit of a Higher Aim in the mind of the person who conceived it.

Answer 8

Purpose

Question 9

A business is not part of the owner’s life, but is, in fact, its own entity

Answer 9

Autonomy

Question 10

A business is an economic entity, driving an economic reality, creating an economic certainty for the communities in which it thrives.

Answer 10

Profitability

Question 11

A business creates a ___________ against which all businesses are measured as either successful, or not. All small businesses should aim to thrive beyond the standards that formerly existed.

Answer 11

Standards

Question 12

Tools, tips and techniques in Evaluating a Business

Answer 12

1. Use technology to speed up workflow
2. Shorter meetings fuel efficiency
3. Smart office space pays
4. Advetisement
5. Small changes, big savings
6. Keep a firm grip on cash flow
7. Stay connected on the move
8. Use time more efficiently
9. Get the best deal on insurance
10. Don’t be lax with the legal

Question 13

Businesses should be looking to innovations in technology to solve day-to-day inconveniences and to increase efficiency.

Answer 13

Use technology to speed up workflow

Question 14

Hold a brief meeting standing up, every morning, where each person explains what they are going to work on that day to ensure everyone is on the right track and not wasting time on non-urgent tasks.

Answer 14

Shorter meetings fuel efficiency

Question 15

Office space can involve a big outlay for SMEs, but it is also an area where some smarter thinking can make a real difference.

Answer 15

Smart office space pays

Question 16

Advertising keeps your business top of mind so consumers think of it when they require or need a service or product.

Answer 16

Advertisement

Question 17

One way of improving efficiency is for business owners to make small changes to the way they handle their company’s expenses.

Answer 17

Small changes, big savings

Question 18

“Cash is King not profit”. Ensure the right management of your inflow and outflow of cash.

Answer 18

Keep a firm grip on cash flow

Question 19

The growing trend towards mobile and flexible working means that employees are permanently connected and on the go.

Answer 19

Stay connected on the move

Question 20

Being more efficient is more about being than doing. It’s probably 90% mindset, (Allan, 2013). In addition, “The shorter the amount of time you allow yourself, the more you will get done”.

Answer 20

Use time more efficiently

Question 21

Businesses need insurance because it helps cover the costs associated with property damage and liability claims.

Answer 21

Get the best deal on insurance

Question 22

In the hectic process of starting up a business, the founders often put off sorting out the legal matters until later, or not at all.

Answer 22

Don’t be lax with the legal

Question 23

Industry rivalry among companies of the same or related industry is an inevitable part of the business world of any business size. Intense competition leads to reduced profit potential for companies in the same industry. Businesses seek constantly competitive advantage

Answer 23

COMPETITION AND COMPETITORS

Question 24

COMPETITIVE ADVANTAGE

Answer 24

• Is what sets your business apart from your competition.
• Highlights the benefits a customer receives when they do business with you.
• It could be your products, service, reputation, or even your location

Question 25

4 CATEGORIES OF COMPETITIVE ADVANTAGE

Answer 25

1. Cost Leadership 2. Differentiation 3. Defensive Strategies 4. Alliances

Question 26

an advantage occurs when business is able to offers same products at a lower price.

Answer 26

Cost Leadership

Question 27

Find attributes that is important and set them apart from their competitors.

Answer 27

Differentiation

Question 28

used a ____________ to distance themselves from competitors

Answer 28

Defensive Strategies

Question 29

advantage of seeking strategic alliance with other within related or within businesses.

Answer 29

Alliances

Question 30

– Individuals or companies who desires to possess or make use of products and services. They play a huge role in the success of your business. _________ likewise can force down prices, demand higher quality or more service, and play competitors off against each other—all at the expense of industry profits.

Answer 30

CUSTOMERS

Question 31

Provide inputs that the firms in an industry need to create the goods and services that they in turn sell to their buyers. _______ can exert bargaining power on participants in an industry by raising prices or reducing the quality of purchased goods and services. A business may need one or more ________. It is important to develop __________ who are reliable in terms of quality of what they supply and their dependability in coming up with the things you order from them.

Answer 31

SUPPLIERS

Question 32

Goods/services that can be used in place for another. These goods may, even if partly, satisfy the same needs of a consumer such that the consumer may use one for instead for another.

Answer 32

SUBSTITUTES

Question 33

TYPES OF INDUSTRIES A business that earns most or all of its revenues from agriculture. An agribusiness tends to be large scale operations and deals with farming, processing and manufacturing, packaging and distributing agricultural products.

Answer 33

Agribusiness

Question 34

LIST OF AGRIBUSINESS IN THE PHILIPPINES

Answer 34

Processed fruits and vegetable Seaweeds Tropical fruit purees and juices Fresh tropical fruits Sugar Bio ethanol and others

Question 35

TYPES OF INDUSTRIES The process of converting raw materials, components, or parts into finished goods that meet a customer’s expectations or specifications. There are many laws and regulations that govern the manufacturing industry. The business will be require to conform to all the licensing bodies may it be the government or the local authority’s requirements.

Answer 35

MANUFACTURING

Question 36

Some of the best small manufacturing businesses that can be carried out at your residence are:

Answer 36

1. Furniture Making 2. Drinking Water Business 3. Soap Manufacturing business 4. Commercial Bread Making

Question 37

TYPES OF INDUSTRIES Retail is the process of selling consumer goods or services to customers through multiple channels of distribution to earn a profit and usually it’s done directly to its final consumer. Retailing includes subordinated services, such as delivery. The term “retailer” is also applied where a service provider services the small orders of a large number of individuals. Recently, online retailing, a type of electronic commerce used for business – to – consumer (B2C) transactions and mail order, are forms of non – shop retailing.

Answer 37

Retail and Services

Question 38

TYPES OF RETAIL PRODUCTS

Answer 38

1. Food Products 2. Hard goods or durable goods 3. Soft goods or consumables 4. Arts

Question 39

TYPES OF RETAIL PRODUCTS typically require cold storage facilities

Answer 39

Food products

Question 40

TYPES OF RETAIL PRODUCTS these are automobiles, appliances, electronics, furniture, sporting goods, lumber, etc., and parts for them. Goods that do not quickly wear out and provide utility over time.

Answer 40

Hard goods or durable goods

Question 41

TYPES OF RETAIL PRODUCTS clothing, other fabrics, footwear, cosmetics, medicines and stationery. Goods that are consumed after one use or have limited period (typically under three years) in which you may use them.

Answer 41

Soft goods or consumables

Question 42

– Contemporary art galleries, Bookstores, Handicrafts, Musical instruments, Gift shops, and supplies for them. On the other hand, The typical service business provides intangible products, such as accounting, banking, consulting, cleaning, landscaping, education, insurance, treatment, and transportation services.

Answer 42

Arts

Question 43

TYPES OF INDUSTRIES is the exchange of capital, goods, and services across international borders or territories, significant share of gross domestic product (GDP).

Answer 43

International Trade

Question 44

CLASSIFICATION OF INDUSTRY

Answer 44

Primary Secondary Tertiary Quaternary Quinary

Question 45

CLASSIFICATION OF INDUSTRY Working with or extraction of raw materials/natural resources

Answer 45

Primary

Question 46

CLASSIFICATION OF INDUSTRY Making or converting raw materials into usable products through processing and manufacturing

Answer 46

Secondary

Question 47

CLASSIFICATION OF INDUSTRY Service industries or providing essential services and support to allow other levels of industry to function.

Answer 47

Tertiary

Question 48

CLASSIFICATION OF INDUSTRY Dramatic growth of this new sector. Working with creation and transfer of information (ICT, media sharing) including research and development. As well as knowledge based services like consultation

Answer 48

Quaternary

Question 49

CLASSIFICATION OF INDUSTRY Control the industrial and government decision-making processes includes industry executives and management and bureaucrats and elected officials in government.

Answer 49

Quinary

Question 50

CLASSIFICATION OF INDUSTRY e.g. minig activities, fishing forestry and agriculture

Answer 50

Primary

Question 51

CLASSIFICATION OF INDUSTRY e.g. car manufacturing, bakeries

Answer 51

Secondary

Question 52

CLASSIFICATION OF INDUSTRY transportation, finance, utilities, retail, housing, banking, and other services

Answer 52

Tertiary

Question 53

CLASSIFICATION OF INDUSTRY ICT industries, R & D industries-eg. Synergy, Lexmark R & D, STRAND

Answer 53

Quatenary

Question 54

CLASSIFICATION OF INDUSTRY Eg. Government Owned Controlled Corporation Executive

Answer 54

Quinary