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business

Total questions: 26

Worksheet time: 31mins

Name
Class
Date
1.

Which of the following is NOT one of the four main economic sector?

Select one:

a)

a. Primary

b)

b. Secondary

c)

c. Sales

d)

d. Tertiary

2.

The construction industry belongs to the ____________ sector:

Select one

a)

a. Tertiary

b)

b. Primary

c)

c. Secondary

d)

d. Quarternary

3.

The tertiary sector of industry is the most important sector in high income countries because

Select one:

a)

a. consumers' incomes are high so they spend more on services

b)

b. they use most of their income to buy manufactured goods

c)

c. workers are employed in manufacturing in these countries

d)

d. agricultural output is more important than services

4.

Which following businesses would you classify as being in the secondary sector of industry?

Select one:

a)

a. A family run farm business

b)

b. A taxi operating business

c)

c. An oil exploration company

d)

d. A shoe manufacturer

5.

The primary sector of the economy includes businesses engaged in which one of the following activities?

Select one:

a)

a.

manufacturing

b)

b. retailing

c)

c. farming

d)

d. tourism

6.

Which one of the following is not a characteristic of a sole-trader business?

Select one:

a)

a. There is a single owner of the business

b)

b. The owner has unlimited liability

c)

c. The owner is able to keep all the profits

d)

d. The business has a separate legal entity

7.

Which of the following is not a characteristic of a limited company?

Select one:

a)

a. It is owned by shareholders

b)

b. Owners have limited liability

c)

c. The company has a separate legal identity

d)

d. The death of an owner usually results in the dissolution of the business

8.

Which one of the following reasons is the most likely motivation for a private limited company converting to a plc?

Select one:

a)

a. to benefit from limited liability

b)

b. to benefit from government financial support

c)

c. to raise capital

d)

d. to increase the divorce from ownership and control

9.

A franchise is defined as a business that:

Select one:

a)

a.

exists to promote the interests of its workers

b)

b. uses the name, logo and trading systems of an existing business

c)

c. owns and controls a number of separate businesses, but does not unite them into an individual company

d)

d. is a joint venture between two or more businesses

10.

Which one of the following are commonly used to measure business size? 

number of employees

capital employed

sales turnover

market capitalisation

a)

a.

All of the above.

b)

b.

2 & 3

c)

c.

1 and 2

d)

d.1, 2 & 3

11.

Governments in most countries are keen to encourage the development of small business units. This may be explained by all of the following except:

Select one:

a)

a.

many jobs are created by small firms

b)

b.

small firms create competition

c)

c.

small firms are often dynamic

d)

d.

small firms are less likely to become insolvent

12.

Aldi, a German supermarket chain, has pursued a policy of growth through opening new stores in towns and cities where it previously had none.

This is an example of:

Select one:

a)

a. internal growth

b)

b. integration

c)

c. external growth

d)

d. vertical expansion

13.

Which one of these examples of external growth is a form of forward vertical integration?

Select one

a)

a. A mining company takes over a manufacturer of earth moving equipment

b)

b. A bank mergers with another bank

c)

c. A clothing manufactures merges with a clothing retail business

d)

d. An airline company takes over an insurance company

14.

Which one of these examples of external growth is a form of horizontal integration?

Select one:

a)

a. A mining company takes over a manufacturer of earth moving equipment

b)

b. A bank mergers with another bank

c)

c. A clothing manufactures merges with a clothing retail business

d)

d. An airline company takes over an insurance company

15.

How can organisational structures that are characterised by democratic and inclusive styles of management be described?

Select one:

a)

a. Bureaucratic

b)

b. Hierarchical

c)

c.Flat

d)

d.Functional

16.

Which of the following is the term used to describe a business where key decisions are made at head office?

Select one:

a)

a.Decentralised business

b)

b.Hierarchical organisational structure

c)

c.Centralised business

d)

d.Flat organisational structure

17.

Which of the following best describes the term decentralisation?

Select one:

a)

a.The business is organised into different functional areas

b)

b.Junior managers are given authority to make important decisions

c)

c.Key decisions are made by a small number of senior staff

d)

d.The business is geographically widespread

18.

Which two of the following are disadvantages of centralisation?

Choose from the list below:

a)

a.Inconsistent decision making across the organisation

b)

b.Increased cost of training

c)

c.Low levels of motivation amongst junior managers

d)

d.The business may not respond quickly to changes in local conditions

19.

Specialisation is a feature of which organisational structure?

Select one:

a)

a. Matrix

b)

b.Multi-divisional

c)

c.

Divisional

d)

d.Functional

20.

The _____ is an unbroken line of authority that extends from the top of the organization to the lowest level and clarifies who reports to whom.

Select one:

a)

a.span of control

b)

b.

organizational structure

c)

c.chain of command

d)

d.

formalization

21.

_____ is the degree to which decision making is concentrated at a single point in the organization.

Select one:

a)

a.Centralization

b)

b.Chain of command

c)

c. Departmentalization

d)

d. formalization

22.

Which of the following is an advantage of a matrix organization?

Select one

a)

a.

a clear line of accountability

b)

b. Allows individuals to use particular skills within a variety of contexts

c)

c. Difficult to co-ordinate

d)

d.a heavy pressure of work.

23.

What is project management?

4 lines
24.

Which of the following is NOT a project management stage

a)

planning

b)

Project execution

c)

Project closure

d)

completion

25.

Which of the following is not the function of HR

a)

Recruitment

b)

Training

c)

Product promotion

d)

Conflict resolution

26.

Why is HRM important for strategic planning

4 lines