Chapter 6 and 7 Quiz (Business Management)

Product made by firms in other countries.

• innovation

• gross domestic product (GDP)

• foreign goods

• output

Activity that involves making a product or providing a service

• efficiency

• global competition

• innovation

• production

Efficiency can be achieved in all of the following ways except

• Specialization of effort

• Setting a lower price than competitors

• Using better technology and innovation

• Reorganizing work activities

Business that use mostly labor to offer mostly intangible products to satisfy consumer needs.

• domestic goods

• service business

• franchise

• industry

A company that is committed to total quality management

• Hires managers with college degrees

• Asks employees to emphasize efficiency rather than effectiveness

• Uses teamwork and improved work procedures

• All of the answers are correct

To reduce the amount and variety of goods and services produced and the number of employees needed to produce them.

• efficiency

• output

• downsize

• innovation

Something entirely new

• innovation

• entrepreneur

• production

• foreign goods

Parent company of a franchise agreement that provides the product or service

• entrepreneur

• industry

• production

• franchisor

Businesses that produce goods used by other businesses or organizations to make things.

• service businesses

• outpit

• downsize

• Industrial businesses

The difference between earned income and cost is:

• finance

• start-up costs

• profit

• revenue