Business Enterprise and Entrepreneurship Quiz

What is the purpose of business activity?

• To entertain customers

• To produce goods and services

• To grow vegetables

• To build houses

What are some common expectations customers have for businesses?

• Fast, efficient and accurate service

• Unfriendly service staff

• Slow and inaccurate service

• Low quality products at a high price

What is added value in business?

• The difference between what a business pays its suppliers and the price it charges for its product or service

• The total revenue of a business

• The number of employees in a business

• The number of customers served by a business

What are the 3 roles of an entrepreneur?

• To organize resources, to make business decisions, to take risks

• To sell products, to advertise, to invest in stocks

• To play music, to paint, to write books

• To cook food, to clean the office, to drive a car

Who founded Innocent Drinks and how did they start the business?

• Noa Mintz; by selling handmade crafts

• Kiran Mazumdar-Shaw; by investing in biotechnology companies

• Alexandra Isenegger; by providing legal services to startups

• Richard Reed, Adam Balon, and Jon Wright; by asking people at a music festival if they should give up their jobs to make drinks out of crushed fruit

What is one of the risks an entrepreneur faces when starting a business?

• The entrepreneur will become a billionaire instantly

• The business will always be successful

• The entrepreneur will never have to work again

• There is no guarantee that the final product or service will be sold

What is the definition of added value in business?

• The number of years a business has been operating

• The difference between what a business pays its suppliers and the price it is able to charge for its product or service

• The total expenses of a business

• The number of competitors in the market

What are some ways a business can add value to its products or services?

• Branding, unique selling points, design, quality, convenience

• Selling at a low price, reducing quality, ignoring customer needs

• Avoiding marketing, using outdated technology, providing poor customer service

• Not investing in research and development, having a limited product range

What is the role of entrepreneurship in an advanced economy like the UK?

• To discourage innovation and creativity

• To limit the variety of products available in the market

• To ignore customer needs and focus on profits only

• To identify and supply what consumers want, leading to business success

What are the 3 purposes of business activity?

• To avoid competition, to overprice products, to provide poor quality

• To entertain customers, to waste resources, to ignore market trends

• To produce goods and services, to meet customer needs, to add value

• To limit customer choices, to discourage innovation, to make losses