Your life is similar to a small company in that it requires careful planning, precise record keeping, and ________.
2.
Emma bought an MP3 player and a portable DVD player. These products are called goods because ________.
| | they do a good job of satisfying a customer's needs |
| | they are physical or tangible products |
| | they are produced in an economical offshore factory |
| | they can be sold either in a store or online |
| | they are good at increasing a company's profit margin |
3.
Which of the following events would MOST likely change the racial demographic of a population?
4.
Barbara owns a bakery in Boston. When her business reached a certain level of profit, she decided to open three more bakeries in the area. Many businesses, like Barbara's, are able to expand as they earn more profits.
5.
Leroy owns a small hardware store that is known for its high level of customer service. A large chain home improvement store has just opened up in his community. Which of the following would BEST help Leroy deal with his new competitor?
| | Pay his employees "under the table" to avoid costly payroll taxes and keep prices lower. |
| | Close the business, since small stores cannot compete effectively with chain stores. |
| | Advertise aggressively to increase consumer awareness of his reputation for service. |
| | Move his store in order to be farther away from the large store. |
| | Raise their prices, to show that their customer service is worth paying a premium for. |
6.The private enterprise system assumes that competition benefits consumers.
7.
Patricia owns a small electronics store in a rural area. She carries two different brands of weather radios that are equally priced. One model is selling well, but the other does not seem to be attracting customers. What should Patricia do?
| | Stop advertising the radio that is not selling well. |
| | Donate the poorly selling radios to local schools. |
| | Reduce the price of the model that is not selling well. |
| | Try to discourage customers from buying the model that is selling well. |
| | See if a rival electronics store will purchase the poorly selling radios. |
8.
Who is legally responsible for protecting the privacy of consumer information that businesses store online?
| | Social Security Administration |
| | Internet service providers |
9.
An Old Navy store is an example of a ________ business.
10.
Globalization is recognized by all as a force for good in the U.S. economy.
