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WorksheetsMr Swann's Business Quiz
Total questions: 60
Worksheet time: 30mins
Name
Class
Date
1.
The purpose of business activity is:
a)
A to increase sales
b)
B to produce products to satisfy customer needs
c)
C to reward shareholders
d)
D to provide employment
2.
Which of the following is not a consumer need?
a)
Water
b)
Housing
c)
Clothing
d)
Holidays
3.
One of the benefits of specialisation is:
a)
increased sales
b)
increased output
c)
increased variety of tasks for workers
d)
increased costs of production
4.
Added value is:
a)
the difference between revenue and total costs
b)
the difference between output and sales
c)
the difference between costs of raw materials and selling price
d)
the difference between making a profit or making a loss.
5.
Which of the following is NOT an example of primary sector business activity?
a)
Forestry
b)
Fishing
c)
Oil refining
d)
Mining for gold
6.
Tertiary sector business activity is:
a)
providing services to consumers only
b)
turning raw materials into finished goods
c)
the extraction of natural resources
d)
providing services to consumers and businesses
7.
Developing economies will usually have:
a)
a small primary sector
b)
a large tertiary sector
c)
a large primary sector
d)
no secondary sector
8.
Which of the following is NOT a private sector form of organisation?
a)
Sole trader
b)
Public limited company
c)
Franchise
d)
Public corporation
9.
The best description of an entrepreneur is someone who:
a)
starts a business and always earns a lot of money
b)
has an idea for a business and does not take risks
c)
starts a business and is prepared to take financial risks
d)
takes financial risks and always earns high profits
10.
A business plan might be used to:
a)
mislead people into investing in a business
b)
show how much profit a business might make
c)
provide competitors with information about a business
d)
identify why a business is making losses
11.
Governments can support business start-ups by:
a)
increasing taxes
b)
increasing regulations
c)
increasing grants
d)
increasing interest rates
12.
Which of the following is NOT a method for measuring business size?
a)
Value of output
b)
Number of employees
c)
Capital employed
d)
Profit
13.
Which statement best describes conglomerate integration?
a)
A frozen food manufacturer buying a poultry farm
b)
An ice-cream producer opening its own ice-cream shop
c)
The merger of two taxi firms
d)
The owners of an airline buying a music company
14.
Which statement is an example of forward vertical integration?
a)
A frozen food manufacturer buying a poultry farm
b)
An ice-cream producer opening its own ice-cream shop
c)
The merger of two taxi firms
d)
The owners of an airline buying a music company
15.
Which statement is an example of horizontal integration?
a)
A frozen food manufacturer buying a poultry farm
b)
An ice-cream producer opening their own ice-cream shop
c)
The merger of two taxi firms
d)
The owners of an airline buying a music company
16.
Which of the following might be a reason for a business remaining small?
a)
The market is large and still growing
b)
The owner of the business is very ambitious
c)
Competition is low
d)
The owner wants to keep control of the business
17.
Which of the following is most likely to lead to business failure?
a)
There is a high demand from consumers for the product
b)
The entrepreneur is very motivated
c)
The economy goes into recession
d)
The owner has good management skills
18.
Which of the following statements describes an unincorporated business?
a)
A public sector organisation
b)
A public limited company
c)
A franchise set up as a private limited company
d)
A partnership
19.
Which of the following is NOT an objective of a sole trader?
a)
Profit
b)
Survival
c)
Limited liability
d)
Market share
20.
Which of the following is NOT an external business stakeholder?
a)
Government
b)
Employees
c)
Suppliers
d)
Customers
21.
Which of the following is not a need as identified by Maslow?
a)
Hygiene
b)
Esteem
c)
Self-actualisation
d)
Social
22.
According to Taylor, which of the following is most likely to motivate a worker?
a)
Promotion
b)
Fringe benefits
c)
Bonus
d)
Team-working
23.
Which of the following is a motivator according to Herzberg?
a)
Safe working environment
b)
Responsibility
c)
Good wage
d)
Company policy
24.
Which of the following is NOT a benefit of having a well-motivated workforce?
a)
Improved productivity
b)
Low rate of absenteeism
c)
Low labour turnover
d)
Increased absenteeism
25.
Which of the following is a financial method of motivation?
a)
Job rotation
b)
Delegation
c)
Fringe benefit
d)
Quality circles
26.
Which of the following describes the number of levels in an organisational structure?
a)
Span of control
b)
Chain of command
c)
Hierarchy
d)
Delegation
27.
When authority is passed down the chain of command this is known as:
a)
Delegation
b)
Span of control
c)
Hierarchy
d)
Centralisation
28.
Which of the following is NOT a role of management?
a)
Planning
b)
Controlling
c)
Organising
d)
Creativity
29.
Which of the following is a feature of an autocratic leadership style?
a)
Communication is two-way
b)
Workers are involved in decision-making
c)
Communication is one-way
d)
There is little input from the leader
30.
Negotiations between a trade union and employer are known as:
a)
collective decision-making
b)
collective responsibility
c)
collective agreement
d)
collective bargaining
31.
An advantage of external recruitment is:
a)
it is less costly than internal recruitment
b)
the best person is recruited
c)
there will be a wider choice of applicants
d)
it motivates existing workers
32.
The candidates selected for interview from all of the applicants are known as a:
a)
person specification
b)
panel
c)
short-list
d)
job description
33.
Which of the following is a disadvantage of off-the-job training?
a)
It is less expensive than other types of training
b)
It improves workers’ skills
c)
It is more expensive than other types of training
d)
It is only used to train managers
34.
The best description of ‘redundancy’ is:
a)
a worker is dismissed for disciplinary reasons
b)
a worker is not motivated at work
c)
a worker must learn new skills
d)
a worker’s job is no longer required
35.
Which of the following is NOT a legal control over the employment of workers?
a)
Contract of employment
b)
Discrimination
c)
Maximum legal wage
d)
Health and safety
36.
Effective communication requires:
a)
speaking clearly
b)
written record
c)
feedback
d)
technology
37.
Which of the following is a method of visual communication?
a)
Memorandum
b)
Charts
c)
Text messaging
d)
Email
38.
An advantage of email is:
a)
you do not have a record of the message
b)
it is slower than most other methods of communication
c)
you can send the same message to many people at the same time
d)
it is difficult to receive feedback
39.
Oral communication is less effective if:
a)
the receiver sends feedback
b)
the message is short and simple
c)
the message contains complex information
d)
the sender speaks the same language as the receiver
40.
Which of the following is NOT a barrier to effective communication?
a)
Noise
b)
Long channel of communication
c)
The receiver is demotivated
d)
There is trust and respect between sender and receiver
41.
Which of the following might cause a change in customer spending patterns?
a)
An increase in the production of goods and services
b)
The introduction of a new product to the market
c)
An increase in consumer income
d)
A change of government
42.
Some markets have become more competitive because:
a)
some businesses have left the market
b)
the market is dominated by a few large firms
c)
consumers have more money to spend
d)
a reduction in the barriers to trade
43.
Which of the following is the best example of an industrial good?
a)
A new computer-controlled machine
b)
A television
c)
A bottle of fizzy drink
d)
A newspaper
44.
A benefit of niche marketing is:
a)
there are many consumers
b)
consumers have low incomes
c)
profits per unit sold are often very high
d)
the product can be sold to different types of consumer
45.
Which of the following is NOT a method for segmenting a market?
a)
Dividing the market according to gender
b)
Dividing the market according to lifestyle
c)
Dividing the market according to price
d)
Dividing the market according to consumer income
46.
Primary research is:
a)
less expensive than secondary research
b)
the best method of researching the market
c)
less time-consuming to collect than secondary research
d)
usually more accurate than secondary research
47.
Which of the following is NOT a source of secondary data?
a)
Internet
b)
Company records
c)
Focus panel
d)
Government statistics
48.
Market research data might NOT be accurate because:
a)
questionnaires are used
b)
interviewees always answer truthfully
c)
interviewers are not properly trained
d)
too many people are asked to take part in the survey
49.
Which of the following best describes systematic random sampling?
a)
The target market is divided into groups and a selected sample is chosen at
random from each group
random from each group
b)
Every member of the target market has an equal chance of being selected
c)
The target market is divided into groups and a fixed number is selected from
each group
each group
d)
Every ninth member of the target market is selected
50.
Which of the following statements best describes the marketing mix?
a)
It combines all the elements that are important in marketing
b)
It will guarantee the success of a product
c)
It is for decisions that a business must take to market a product effectively
d)
It is not important for the marketing of industrial goods
51.
A product which has a price elasticity of demand of –1.4 is said to be:
a)
too expensive
b)
price elastic
c)
price inelastic
d)
a necessity
52.
Wholesalers and retailers are examples of:
a)
middlemen
b)
consumers
c)
producers
d)
agents
53.
Which of the following is the correct order for a product’s life cycle?
a)
Decline, growth, maturity, introduction
b)
Introduction, maturity, growth, decline
c)
Growth, maturity, introduction, decline
d)
Introduction, growth, maturity, decline
54.
The main purpose of an extension strategy is:
a)
to keep a product in its growth stage for as long as possible
b)
to prevent a product from entering the maturity stage for as long as possible
c)
to extend the maturity stage of a product
d)
to slow down the decline of a product
55.
Which of the following is NOT an aim of promotion?
a)
To attract the attention of consumers
b)
To create a brand image
c)
To improve the quality of a product
d)
To encourage retailers to stock the product
56.
A good example of promotion is:
a)
sponsorship
b)
skimming prices
c)
direct sales
d)
value added
57.
A benefit to producers of e-commerce is:
a)
more firms are able to enter the industry
b)
people prefer to buy products using the internet
c)
competition will decrease prices
d)
they can market their product to more consumers
58.
A business’s promotional activities are most influenced by:
a)
the quality of its products
b)
the size of the marketing budget
c)
the number of consumers in the market
d)
market segmentation
59.
Which of the following is an example of legal controls on marketing strategy?
a)
Businesses must be market orientated
b)
Advertising must not be used to persuade consumers to buy products they don’t need
c)
The government encourages competition in markets
d)
Businesses must not agree with each other to set the same price for a product
60.
Which of the following is sometimes a problem of entering foreign markets?
a)
The firm has carried out market research
b)
There is competition in the market
c)
Consumers speak the same language
d)
There is strong brand loyalty to existing products
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