Business Concepts Quiz

What is a Business Plan?

• A document describing the nature of the business, its goals, and how they will be achieved.

• A short-term plan identifying specific activities for each area of the business.

• An examination of an organization's internal strengths and weaknesses.

• A broad, lasting, and often inspirational view of a company's reason for existing.

What does Competitive Advantage refer to?

• A time plan for reaching objectives.

• The special capabilities of a company that allows it to create a product or service better than competitors.

• A sequence of steps to be followed for performing a specific task.

• Guidelines used in making decisions regarding specific, recurring situations.

What is Strategic Planning?

• Short-term planning that identifies specific activities for each area of the business.

• A written financial plan for business operations developed for a specific period of time.

• Long-term planning that provides broad goals and directions for the entire business.

• An illustration of the structure of an organization.

What is the purpose of a SWOT Analysis?

• To provide a specific measure by which something is judged.

• To examine an organization's internal strengths and weaknesses as well as external opportunities and threats.

• To give authority to individual employees to make decisions.

• To illustrate the structure of an organization.

What is a Mission statement?

• A broad, lasting, and often inspirational view of a company's reason for existing.

• A short, specific statement of the business’s purpose and direction.

• A time plan for reaching objectives.

• A written financial plan for business operations.

What is the principle that states no employee should have more than one supervisor at a time?

• Accountability

• Unity of Command

• Span of Control

• Departmentalization

Which term describes the hierarchy of an organization from the highest level to the lowest level?

• Chain of Command

• Line Organization

• Matrix Organization

• Flattened Organization

What is the term for a business structure where all authority and responsibility can be traced in a direct line from the top executive down to the lowest employee level?

• Line-and-Staff Organization

• Centralized Organization

• Line Organization

• Team Organization

Which type of organization combines workers into temporary work teams to complete specific projects?

• Matrix Organization

• Self-Directed Work Teams

• Departmentalization

• Centralized Organization

What is a business structure called where a few top managers do all the major planning and decision making?

• Decentralized Organization

• Centralized Organization

• Flattened Organization

• Team Organization