1.5 Understanding External Influences on a Business

Which of the following is not an internal stakeholder?

• Consumer

• Owners

• Managers

• Employees

Which of the following best describes the term stakeholder? An individual or organisation that:

• Owns part of a business

• Provides a business with materials

• Is affected by, or has an interest in, the activities of a business

• Provides finance for a business

Which of the following describes one way employees could have an impact on business activity?

• By demanding a longer payment period for supplies

• By negotiating better working conditions

• By no longer purchasing the goods or services of a business

• By increasing the amount of tax payable on profits

A pressure group is best described as a group of people that seek to influence:

• Business behaviour

• Government policy

• Legislation

• All of the above

When information is shared electronically between computers it is best known as:

• E-commerce

• E-tailer

• M-commerce

• Digital Communication

In addition to its fixed premises, a designer clothes shop has launched a website in an attempt to:

• Increase costs

• Decrease costs

• Increase sales

• Decrease sales

Which of the following is a disadvantage to a business of using digital communication?

• Can be expensive to operate and is widely used

• Storage costs are saved as data can be stored electronically

• Teleconferencing is possible which can produce costs savings

• No guarantee that messages will be received or accessed

Which two of the following are examples of electronic payment systems?

• Instagram

• eBay

• Paypal

• Twitter

• Contactless debit cards

Which two of the following are disadvantages to consumers of buying clothing through e-commerce?

• Risk of personal details being fraudulently used

• Increased costs and time of returning unwanted items

• Higher prices charged due to less competition online

• Business will need to follow legislation linked to trading online

• Difficult to establish brand loyalty

Which of the following statements relating to employment law is true? Employees:

• Do not have to be provided with equal pay for work of equal value

• Are not entitled to health and safety training

• Do not have to be provided with a safe working environment

• Must be paid a minimum amount as set out by the government