Business Functions

Which of the following is not a factor of production?

• Land

• Capital

• Transportation

• Labour

Answer explanation

Correct! Transportation is important, but it’s not one of the four main factors of production.

Incorrect: Remember: The four key factors are Land, Labor, Capital, and Entrepreneurship.

True or False? The administration function in a business is responsible for buying goods and raw materials.

• True

• False

Answer explanation

Correct! Right! That’s the purchasing function.

Incorrect: The administration function handles organisation, record keeping, and communication.

The four elements of the marketing mix are: Product, Price, Place, and ______.

Answer explanation

Correct! Promotion is a key part of how businesses inform and persuade customers.

Incorrect: Review the marketing mix – the fourth P is Promotion, which includes advertising and sales strategies.

What is the main purpose of risk management in a business?

• To reduce advertising costs

• To identify and reduce threats

• To control employee behavior

• To increase product prices

Answer explanation

Correct!:

Great job! The main purpose of risk management is to identify and reduce threats that could harm the business, such as theft, cyber-attacks, or natural disasters.

Incorrect:

The correct answer is C. To identify and reduce threats. Risk management helps a business stay protected by planning for possible dangers before they cause problems.

According to the Human Resources function, one of the reasons people work is to meet their basic physical needs, such as ______ and shelter.

Answer explanation

Correct!Correct! Food is a fundamental need that motivates people to work.

Incorrect: Think about what people need to survive, food is a primary example of a basic physical need.

Name one activity performed by the purchasing department.

Answer explanation

Accepted Answers: Sourcing suppliers, buying goods, negotiating prices

Correct! Good job! These are all important purchasing activities.

Incorrect: Review the uploaded Business Functions PowerPoint on TEAMS.

What is the purpose of capital in a business?

• To invest in tools and equipment

• To pay taxes

• To hire managers

• To buy snacks

Answer explanation

Correct! Exactly! Capital is used to get what the business needs to run.

Incorrect: Think of capital as the startup and growth money for tools, stock, etc.

True or False? Public relations can include social media campaigns.

• True

• False

Answer explanation

Feedback: True! Online platforms are a modern and powerful PR tool.

What is the last step in the risk management process?

• Identifying risks

• Assessing risks

• Controlling risks

• Ignoring risks

Answer explanation

Correct! Control is the final stage in managing risks.

Incorrect: Think of it as the step where actions are taken to reduce the risk.

Watch this video on the Risk Management Process:

https://youtu.be/xIHBEMFIMlg

Name the following Business Functions: (Number your answers 1-4)

1. 1. Promotes products and determines pricing.

2. 2. Buys goods needed for production.

3. 3. Manages money and budgeting.

   4. 4. Handles hiring and staff well-being.

Answer explanation

Correct answers: 1. Marketing. 2. Purchasing. 3. Finance. 4. Human Resources