Entrepreneurship

One of the major advantages of corporation

• Limited authority

• Limited revenue

• Limited liability

Answer explanation

The correct answer is 'Limited liability' because it protects shareholders from being personally responsible for the corporation's debts, making it a significant advantage of forming a corporation.

What are the costs of quality?

• Internal costs
  External costs
  Prevention costs
  Appraisal costs

• Prevention costs
  Appraisal costs
  Product costs
  Internal costs

• Prevention costs
  Appraisal costs
  Product costs
  External costs

Answer explanation

The costs of quality include Internal costs (related to defects found before delivery), External costs (defects found after delivery), Prevention costs (to prevent defects), and Appraisal costs (to evaluate quality).

Concepts of TQM

• Taguchi concepts
  Benchmarking

• Six Sigma
  Product quality

• Just-in-time (JIT)
  Employee control

Answer explanation

Taguchi concepts and benchmarking are key TQM concepts that focus on improving quality and performance. Taguchi emphasizes robust design, while benchmarking involves comparing processes to industry bests for continuous improvement.

One of the major benefits of sole proprietorship

• There are special taxes.

• Being your own boss.

• Taking salary from employer.

Answer explanation

One of the major benefits of a sole proprietorship is that you have the freedom to make your own decisions and be your own boss, which allows for greater control over your business compared to other business structures.

External growth strategies

• Licensing
  Mergers
  New product development

• Licensing
  Mergers
  Acquisitions

• Licensing
  Acquisitions
  New product development

Answer explanation

External growth strategies include licensing, mergers, and acquisitions. These methods allow companies to expand their market presence and capabilities, making the correct answer Licensing, Mergers, Acquisitions.

In economics, factors of production are...

• Capital
  Land
  Labour

• Capital
  Land

• Entrepreneur
  Land
  Capital
  Labour

Answer explanation

In economics, the factors of production include four key elements: Land, Labour, Capital, and Entrepreneurship. The correct choice lists all four, highlighting the essential role of the Entrepreneur in combining the other factors.

One of the disadvantages of sole proprietorship

• Limited freedom

• Limited working time

• Limited growth

Answer explanation

One of the main disadvantages of a sole proprietorship is limited growth. This structure often restricts access to capital and resources, making it challenging to expand the business compared to other ownership forms.

Why operations management is costly in an organization?

• Revenue

• Sales

• Quality

Answer explanation

Operations management is costly primarily due to the need for high quality. Ensuring quality in processes, products, and services often requires significant investment in training, materials, and technology, which drives up costs.

What is a venture team?

• A group of people who form a team to gain access to foreign market.

• A group of people who wants to operate franchisor's business.

• A group of people is given responsibility for the development of a new product from concept to commercialisation.

Answer explanation

A venture team is specifically tasked with developing a new product from its initial concept to commercialization, making the correct choice the one that highlights this responsibility.

The most complex form of business

• Sole proprietorship

• Partnership

• Corporation

Answer explanation

A corporation is the most complex form of business due to its legal structure, ability to raise capital through stock, and limited liability for owners. This complexity distinguishes it from sole proprietorships and partnerships.