Y10 Key terms quiz

What does the term 'adding value' refer to in a business context?

• The method of advertising a product to increase sales.
• The act of increasing the price of a product without changing its quality.
• How a business sells a product for more than it costs through the processes they apply.
• The process of reducing production costs.

In the context of business, what is a consumer?

• A person or business that produces goods.
• A competitor in the market.
• A person or business that uses the good or service produced.
• A government entity that regulates businesses.

Which of the following best describes branding?

• A method of increasing product prices.
• The act of selling products online.
• The process of creating a unique image for a product in the consumer's mind.
• A strategy for reducing production costs.

How does e-commerce primarily function?

• By relying on direct mail marketing strategies.
• By conducting face-to-face sales in physical stores.
• By utilizing the internet to promote and sell a good or service.
• By using traditional retail methods to sell products.

What do demographics refer to in a business context?

• The physical location of a business.
• The financial performance of a company.
• The marketing strategies employed by a business.
• Factors related to population, often used as a basis for segmentation.

What is a franchise?

• A business model where a company acquires the right to use the name and products of another business.
• A type of business that operates independently without any brand association.
• A government-regulated business that sells products at fixed prices.
• A business that only sells products online.

What is the primary purpose of a focus group in market research?

• To create advertisements for a new product.
• To analyze sales data from previous years.
• To gather in-depth feedback from a group of potential or actual consumers.
• To conduct surveys with a large population.

Which of the following best describes a gap in the market?

• A temporary shortage of a product in the market.
• An opportunity for a business to provide a good or service that is not currently available.
• A situation where there are too many competitors.
• A decline in consumer interest for a product.

What does limited liability protect shareholders from?

• Being personally responsible for the company's debts.
• Losing more than their initial investment in the company.
• Having their shares devalued.
• Facing legal action from competitors.

What is the purpose of a market map?

• To represent different businesses in a market compared to two variables, such as price and quality.
• To track consumer preferences over time.
• To analyze the supply chain of a product.
• To visualize the financial performance of a business.