Week 1 summary sheet questions

What is the main purpose of a business according to the summary sheet?

• To provide goods and services

• To make a profit

• To create jobs

• To fill a gap in the market

Which of the following is an example of a service?

• A mobile phone

• Banking

• A packet of crisps

• A pair of shoes

Why do people set up businesses? (Choose the option that is NOT a reason mentioned in the summary sheet)

• To be their own boss

• To make more money

• To take advantage of government subsidies

• To satisfy a demand for goods and services

What distinguishes consumer goods and services from producer goods and services?

• Consumer goods and services are cheaper

• Consumer goods and services are created for individual use

• Producer goods and services are created for individual use

• Producer goods and services are always intangible

What is the main purpose of public enterprises?

• To make a profit

• To provide goods and services that the private sector fails to provide adequately

• To compete with the private sector

• To raise money and awareness for social issues

Who are considered stakeholders in a business?

• Only the owners and shareholders

• Only the customers and suppliers

• Only the government and public

• Any individual or group with an interest in the operation of a business

What is expected from businesses by customers?

• Low-quality products at high prices

• Good quality products at a fair price

• High-quality products at low prices

• Exclusive products at premium prices

What do EMPLOYEES depend on businesses for, apart from their salary?

• Job security and opportunities for promotion

• Free transportation to work

• Company shares

• Free meals during work hours

What is the role of MANAGERS in a business?

• They lend money to businesses

• They provide raw materials and commercial services

• They run departments and control resources

• They are responsible for generating wealth for the government

Why do FINANCIERS lend money to businesses?

• Because they are family members of the business owners

• To receive interest on the loan and to see the business do well

• To gain managerial control over the business

• To secure job positions within the company