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WorksheetsMr Frayne A Level Theme 1 Mixed
Total questions: 40
Worksheet time: 40mins
Which is the best definition for the dynamic nature of a business?
The idea that business is ever changing because of external factors
The idea that business need to change their product range every month to remain up to date.
The idea people within business change their minds all the time.
The idea business needs to change its location every month to remain competitive.
Figure 1 shows the annual total revenue of £1 200 000 for five businesses.
What is the market share for Business 2?
12.5%
20.8%
25.0%
29.2%
Economies of scale is when production is cheaper because you are making more of a product.
This is likely to help _________ more.
Mass marketed products
Niche marketed products
What is a niche market?
A market in which businesses sell to a large customer group with similar needs.
A market in which businesses sell to a variety of customers.
A market in which businesses sell to a small customer group with specific needs.
A market in which businesses sell one product to many consumers.
Chocolate flavoured ice-cream is.........
A product in a niche market
A product in both markets
A product in a mass market
Very tasty
Example of
Ansoff's Matrix
Boston Matrix
Market Mapping
Market Segmentation
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:
Income and gender
Age and location
Lifestyle and age
Gender and location
Discount supermarkets, such as Aldi and Lidl, are most likely to segment the market according to:
Gender
Location
Age
Income
What is one of the reasons why Marks & Spencer charges more for their food than Aldi?
Convenience
Branding
Quality
Design
Assume the image is showing the market for apples. Which of the headlines could indicate the pictured shift is occurring in the market?
Pesticides on apples linked to mouth cancer.
Storms destroy apple orchards.
An apple a day really does keep the doctor away.
New genetic strain leads to apple trees that produce twice as many apples.
What happens to the supply curve when there is an increase in supply?
It remains unchanged
It shifts to the left
It becomes a demand curve
It shifts to the right
Which of the following is a non-price factor that affects demand?
Price of complements
All of the above
Consumer income
Price of substitutes
What is the equilibrium point in a supply and demand graph?
Where the supply curve meets the demand curve
Where supply exceeds demand
Where demand exceeds supply
Where prices are at their highest
What is the effect of rising costs of staff wages on supply?
It shifts the supply curve to the right
It shifts the supply curve to the left
It has no effect on supply
It increases demand
What is the definition of supply?
The amount of product customers want to buy
The amount of product a business is willing to provide
The price at which goods are sold
The total revenue generated by a business
Suppose there is a large increase in the price of a bottle of iced tea. How is this likely to affect the demand curve for bottles of cola?
There will be an extension of demand along the demand curve for cola.
The demand curve for cola will remain unchanged.
The demand curve for cola will shift to the left.
The demand curve for cola will shift to the right.
Which of the following is an inferior good ?
Prices of blueberries rise dramatically, how will this impact the demand curve for strawberries?
The supply curve will shift to the right
The supply curve will shift to the left
The demand curve will shift to the right
The demand curve will shift to the left
What is Loss Leader pricing?
A product is sold at production cost price
A product is sold at less than cost price
A product is sold to make a small profit
What is price skimming?
An initially high price charged to customer which will reduce over time
An initially low price charged to customer which will increase over time
A steady price charged to customer regardless of product age
Which of the following Pricing Strategies describes when you take the cost of producing a good and add on a percentage of profit to arrive at the selling price?
Cost-plus pricing
Low pricing
Promotional Pricing
Percentage pricing
Which of the following is an example of above-the-line promotion?
Television advertisement
Sponsorship
Free gifts
Merchandising
What role do Wholesalers play in the distribution channel?
They sell products directly to the end consumers.
They create the products to be distributed.
They buy large quantities of products and sell them to retailers or other intermediaries.
They only operate in e-commerce channels.
Explain how the distribution channels for industrial goods differ from those for consumer goods in terms of intermediaries.
Industrial goods usually involve more intermediaries than consumer goods.
Consumer goods typically involve more intermediaries than industrial goods.
Both industrial and consumer goods use the same number of intermediaries.
Neither industrial nor consumer goods use intermediaries.
What are the two dimensions that are used to determine the position of a product or brand in the Boston Matrix?
Sales & profits
Market share & market growth
Share price & market share
Selling price & market demand
A product with a high share of a mature market would be classified as a
Star
Question mark / Problem child
Dog
Cash Cow
The Boston Matrix is used to help a firm manage its
Organisational structure
Product portfolio
Share price
Cash flow
What is an example of a "Question Mark" product?
iPads
iPods
Apple TV+
MacBooks
The concept of spans of control in an organization refers to:
The number of subordinates a manager can efficiently manage.
The hierarchical levels in an organization.
The geographical spread of an organization's operations.
The financial control measures in place.
Which type of span of control gives subordinates the chance for more independence?
Narrow
Wide
What is a key characteristic of a flat organisational structure?
More closely supervised employees
Shorter chain of command
Higher management costs
More layers in the hierarchy
What type of organisational design is this?
Tall Structure
Wide Structure
Matrix Structure
Tall & Wide Structure
What leadership style is closely associated with F.W. Taylor's Scientific Management theory?
Autocratic
Democratic
Laissez-faire
Transformational
Which leadership style is characterized by leaders acting as a parental figure, making decisions in the best interest of employees?
Autocratic
Democratic
Laissez-faire
Paternalistic
