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POBF What's Shakin' Biz Environment 5.03D

Total questions: 12

Worksheet time: 24mins

Name
Class
Date
1.

Every new business owner must pay attention to forces operating outside the company that affect its chances for success. These forces are referred to as

a)

the external environment

b)

competition

c)

cultural intelligence

d)

demographics

2.

At each organization’s core should be a commitment to

a)

beating the competition

b)

expanding globally

c)

meeting customer needs

d)

making a profit

3.

Amie talks to customers and suppliers from all over the world on a daily basis. Her company’s involvement with people in so many different countries is due to the trend of

a)

environmental scanning

b)

inflation

c)

social responsibility

d)

globalization

4.

Since Amie deals with people from many different countries, she attempts to become sensitive to differences in their customs and traditions. Amie is cultivating

a)

lobbying

b)

cultural intelligence

c)

social responsibility

d)

competition

5.

Antitrust laws are created to keep competition fair. Which of the following external factors are these laws a part of:

a)

Ethnic/cultural

b)

Social

c)

Economic

d)

Political

6.

Industry associations differ from regulatory agencies in that they

a)

exist to make a profit

b)

don’t have government authority

c)

are formed for social purposes only

d)

have been created to protect consumers

7.

Jonathan has some extra money to spend this month, so he purchases an e-reader. He doesn’t need this product, but he wants it, making it a

a)

discretionary item

b)

technological product

c)

poor buying decision

d)

consumer staple

8.

Economic factors can affect a business’s operations by

a)

creating new legislation

b)

transforming family roles

c)

increasing or decreasing costs

d)

eliminating the competition

9.

Businesses keep track of external changes as part of a process called

a)

cultural intelligence

b)

globalization

c)

lobbying

d)

environmental scanning

10.

Laura is part of a group that is traveling to the state capitol to convince legislators to pass laws that are favorable for small businesses. This is a practice known as

a)

globalization

b)

lobbying

c)

outsourcing

d)

environmental scanning

11.

Which of the following is a way that businesses can plan proactively for environmental changes:

a)

Buying advertising time on TV

b)

Publishing an annual report

c)

Conducting research on a new market

d)

Reviewing last year’s tax code

12.

Which of the following is a true statement about the external factor of competition:

a)

Globalization has made competition less intense

b)

Competition is more influential than political factors

c)

The goal of competition is to cause other businesses to fail

d)

Businesses cannot control their competition