Business Size and growth
Flashcard
•
Business
•
12th Grade
•
Practice Problem
•
Hard
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37 questions
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1.
FLASHCARD QUESTION
Front
The advantage of a person becoming an entrepreneur is:
Back
there is more independence than when working for an employer
2.
FLASHCARD QUESTION
Front
An important characteristic of a successful entrepreneur is that:
Back
they are risk takers
3.
FLASHCARD QUESTION
Front
Which of the following options is most likely to be a reason why a firm may wish to expand? Options: To keep control of the business, To increase the level of profits the firm will make, To encourage competition, To avoid publicity
Back
To increase the level of profits the firm will make
4.
FLASHCARD QUESTION
Front
Which of the following is an example of horizontal integration between two businesses? An oil company and an insurance company merge, A shoe shop buys out a shoe factory, A steel firm takes over a coal mine that supplies coal, Coca-Cola takes over a small soft drink business
Back
Coca-Cola takes over a small soft drink business
5.
FLASHCARD QUESTION
Front
One of the reasons for vertical integration between two businesses could be to: diversify into a completely different industry, reduce competitors supplying the same product, control the supply of raw material, obtain higher market share
Back
control the supply of raw material
6.
FLASHCARD QUESTION
Front
One of the most common reasons for a new business not surviving is:
Back
poor cash flow as a result of poor financial planning
7.
FLASHCARD QUESTION
Front
If the risks of starting up a business are so high, why do entrepreneurs create new businesses?
Back
The rewards can be very high
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