Business Studies Chapter 1-3

Which of the following are potential factors of production used to produce a textbook? (Check all that apply)

• forests

• writers

• editors (to proof-read)

• students

• printing machines

The basic economic problem is a result of _______: there exist unlimited wants but limited resources to produce goods and services to satisfy those wants.

Due to the problem of scarcity, we have to make choices. Due to choices, there is an ________ involved when making decisions.

 

Netflix belongs to which sector of the economy?

• Primary sector

• Secondary sector

• Tertiary sector

Oil refining belongs to which sector of the economy?

• Primary sector

• Secondary sector

• Tertiary sector

Which one is not a way to measure business size?

• number of employees

• number of entrepreneurs

• market share

• value of output

Facebook bought Instagram for $1 billion in 2012. This is an example of...

• horizontal integration

• backward vertical integration

• forward vertical integration

• conglomerate integration

Horizontal integration is an example of _______ growth.

Internal growth is usually slow.

• True

• False

The lack of a detailed business plan can be a cause of business failure

• Yes

• No