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Business Studies Year 10 Assessment PREP

Total questions: 35

Worksheet time: 3hrs 55mins

Name
Class
Date
1.

When a business launches an updated product with new features, it is best described as adding value through:

a)

Convenience

b)

Branding

c)

Quality

d)

Design

2.

Which of the following statements best describes the term, unique selling point? When a business:

a)

Establishes a clear target market for its products

b)

Develops an aspect of a product that makes it different to its rivals

c)

Carries out market research effectively

d)

Produces a range of goods and services

3.

The main purpose of which of the following businesses is to provide a service to customers?

a)

An independent bakery

b)

A dog grooming parlour

c)

A farm

d)

A specialist skateboard producer

4.

Which of the following statements best describes the term, entrepreneur?

a)

Someone who buys a product from a business

b)

Someone who uses goods and services produced by a business

c)

Someone who works for a business

d)

Someone who is willing to take the risk involved in starting a business

5.

In order to add value, local grocery stores often sell cheese that has already been grated for the customer. This adds value through:

a)

Convenience

b)

Branding

c)

Quality

d)

Customer service

6.

One role of an entrepreneur is to organise resources. Which of the following statements best describes this role?

a)

The ability to take calculated risks

b)

The skill to think creatively

c)

Employing workers and buying equipment in order to produce goods

d)

The prospect of keeping all profits that are generated

7.

Which of the following statements best describes the term, added value?

a)

When a product stands out from those of its competitors

b)

Making a product widely recognisable

c)

The difference between the cost of a product and its selling price

d)

Making a product convenient to use

8.

Which of the following skills best describes an entrepreneur that has successfully created and launched a unique business idea onto the market?

a)

Team player

b)

Communicative

c)

Organised

d)

Innovative

9.

In order to make its products stand out from those of its competitors, a small chocolate manufacturer produces organic, gluten free, chocolate bars. This is classed as adding value through:

a)

Customer service

b)

A unique selling point

c)

Branding

d)

Convenience

10.

Which of the following best describes how value can be added to a product through branding?

a)

When a product is made to high standards demanded by customers

b)

When a product saves the customer time

c)

When a business is recognisable by its name and message

d)

When a business launches an updated product with new features

11.

Which two of the following are potential risks of being an entrepreneur?

Select two answers:

a)

Ability to pursue an interest

b)

Flexible working hours

c)

Possible financial loss

d)

Lack of financial security

e)

Independence

12.

Which two of the following businesses produce goods for customers to buy?

Select two answers:

a)

A local veterinary practice

b)

A small producer of specialist mountain bikes

c)

A local hairdressing salon

d)

An independent travel agent

e)

A local ice cream manufacturer

13.

A budding entrepreneur who is looking to set up a new enterprise is concerned that the business might not provide enough of a stable income to maintain his current standard of living. Which of the following best describes this risk?

a)

Inability to break even

b)

Lack of security

c)

Business failure

d)

Lack of independence

14.

Increased concern from consumers over the environment has led to new business start-ups developing products from recycled materials. These business ideas have come about due to:

a)

Services that have become obsolete

b)

Products that have become obsolete

c)

Changes in consumer demand

d)

Changes in the interest rate

15.

What is the first stage of the product life cycle?

a)

Maturity

b)

Decline

c)

Launch

d)

Introduction

16.

An entrepreneur has developed a unique product to launch into the market. Which of the following best describes how this new business idea came about?

a)

An original idea

b)

Adapting an existing product

c)

Adapting an existing service

d)

Adapting an existing idea

17.

Which of the following best describes the term, obsolete? When consumers:

a)

Demand more of a particular product or service

b)

Want, and can afford, to buy more products and services

c)

Can no longer afford to buy a particular product or service

d)

No longer want to buy a particular product or service

18.

Lack of overall planning and poor decision-making can lead to business failure. This is known as:

a)

Poor management

b)

Poor quality

c)

Poor understanding of the economy

d)

Poor sales levels

19.

An entrepreneur has produced a shaving oil for customers with sensitive skin to eliminate any pain when shaving. This is an example of a business idea that:

a)

Was developed and delivered to the market quickly

b)

Solved a customer problem

c)

Offered a cheaper way of doing something

d)

Is aimed at a fast growing market

20.

When a product or service is obsolete sales will begin to drop, this is known as the _____________ stage of the product life cycle:

a)

Introduction

b)

Maturity

c)

Growth

d)

Decline

21.

Which two of the following increases the risk of business failure?

Select two answers:

a)

Draws up a detailed business plan

b)

Produces goods that do not meet customer needs

c)

Makes a product that stands out from its competitors

d)

Fails to carry out comprehensive market research

e)

Offers exceptional customer service

22.

Which of the following statements are reasons why it is important for a business to identify and understand customer needs? The business is:

a)

More likely to generate sales and less likely to survive

b)

More likely to generate sales and more likely to survive

c)

Less likely to generate sales and less likely to survive

d)

Less likely to generate sales and more likely to survive

23.

Which of the following is a benefit to a business of segmenting a market?

a)

Increased risk of making inaccurate business decisions

b)

Market segments are always very easy to reach

c)

High sales levels are guaranteed

d)

The business is more likely to generate sales from its products

24.

Which of the following is a type of segmentation based on how much a customer earns?

a)

Lifestyle

b)

Age

c)

Location

d)

Income

25.

The method used to identify where a product is positioned in the market in terms of certain criteria, such as high priced/low priced, is best known as:

a)

Market segmentation

b)

Market share

c)

Market mapping

d)

Marketing mix

26.

A business manufactures and sells vegetarian ready meals. Which type of market segmentation would the business most likely use?

a)

Location

b)

Lifestyle

c)

Gender

d)

Age

27.

The target market of a Caribbean cruise ship holiday is couples aged 65 years and over with a keen interest in travel. This is an example of segmentation according to:

a)

Income and gender

b)

Age and location

c)

Lifestyle and age

d)

Gender and location

28.

Segmenting the market can help a business because:

a)

Prices are more likely to be set that customers are prepared to pay

b)

Products developed will always successfully sell on the market

c)

The distribution channel chosen will always ensure high sales

d)

Promotion methods chosen will be guaranteed to reach the customer

29.

Discount supermarkets, such as Aldi and Lidl, are most likely to segment the market according to:

a)

Gender

b)

Age

c)

income

d)

Lifestyle

30.

CBeebies, a BBC television network aimed at children under 6 years old, is aimed at a segment based upon:

a)

Gender

b)

Location

c)

Age

d)

Income

31.

Lifestyle changes in today’s society has meant that many people no longer have the time to cook and prepare meals from scratch. As a result, the ready meal market has grown significantly over recent years. Which customer need is the ready meal market primarily meeting?

a)

Price

b)

Quality

c)

Choice

d)

Convenience

32.

Which of the following is a benefit to a start-up business of identifying and understanding customer needs?

a)

Increased possibility of survival

b)

Lower chance of breaking even

c)

Customer demand for its products will be minimal

d)

Increased risk of making costly mistakes

33.

An independent coffee shop offers customers a wide selection of coffee types. Which of the following customer needs is being met:

a)

Convenience

b)

Choice

c)

Quality

d)

Price

34.

What is the third stage of the product life cycle?

a)

Maturity

b)

Majority

c)

Launch

d)

Introduction

35.

A business wants to extend the life of their product, what is this called

a)

Brand extension

b)

Branding

c)

Product Extension

d)

Product maturity