FBT Midterm (Quiz)

limited company statuse means that a company i only allowed to trade up to a predetermind turnover level in any one year

• True

• False

Sole proprietors do have personal liability to debts: they do have "limited liabillity"

• True

• False

Private sector comprise NGOs, such as limited companies.

• False

• True

Offering financail incentives to public officals to use influence on the organization's behalf is a legitimate method of influncing government policy in the interests of business

• True

• False

Organization have relationships with serval types of stakeholders who themselves who themselves have varying levels of power and interest in relation to bussiness activities. Thestakeholder

• Managers and Executive directors

• Directors

• Non-Executive directors

Analyze the following situations using porter's five force model

a). Switching cost for customers is high, threat of substitute is:

• High

• Low

b). There are no subtitiute for the particular product, supplier bargaining power is

• High

• Low

c). Buyer buy large volume, customer bargaining power is

• High

• Low

d). High capital and know-how are required, threat of new entrant is

• High

• Low

The bank and shareholders are part of which group of stakeholders?

• External

• Internal

• Unrecognized

• Connected