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WorksheetsINTRODUCTION TO BUSINESS - FINAL EXAM REVIEW
Total questions: 50
Worksheet time: 25mins
Which is an example of a need?
a jacket in cold weather
pizza for dinner every week
a new basketball for practice
a pair of the latest sneakers
Which is an example of a want?
something to eat for dinner
a set of colored pencils
clean water for bathing
a heat source in the winter
Which statement BEST reflects the multifaceted purpose of business in society?
Businesses primarily exist to generate profits for their owners, regardless of the value provided to customers.
The primary goal of businesses is to fulfill basic needs like food, water, and shelter for consumers.
Businesses aim to provide value to customers for needs and wants while also generating profit for owners.
The primary goal of businesses is to create innovative products without considering consumer preferences.
How does understanding consumer behavior contribute to the success of a business?
by prioritizing profitability of products and services over customer satisfaction
by disregarding market trends and the preferences of consumers
by focusing on creating new goods without considering customer relevancy
by offering products and services that fulfill both wants and needs
Luna is tossing around the idea of opening a new business. Before she can do that, though, what must she consider?
resources for what goods and services should be produced
who gets to purchase and have the products after they are made
the levels of consumer income and development of the economy
how often services will be purchased and used each day
Gursharan is opening a bakery and has decided to sell pastries. Since he has decided what goods to produce, what should he consider next?
how much money the pastries will generate
the ingredients he needs for his pastries
the target consumers for buying the pastries
where the pastries should be sold
How should a new business decide who gets access to newly produced goods and services?
by deciding on the money, time, and materials that will be used for production
by looking at the workers, machines, and raw materials to be as efficient as possible
by considering both the economic system and who would benefit from the purchases
by looking at the four economic systems and how they shape businesses in society
Jadah lives in a village where people hunt for their food rather than purchase it from businesses. What type of economic system does Jadah’s village have?
command
market
mixed
traditional
If all the farms in a country are owned and governed by the government, what type of economy does the country have?
command
mixed
traditional
market
Alfredo is considering opening a coffee shop in a city where the prices and products are primarily determined by supply and demand with limited government involvement. In which type of economy is Alfredo planning to start his business?
traditional
market
command
mixed
Bethany lives in a country where she has moderate economic freedom because both free markets and the government work together to make economic decisions. What type of economy does Bethany’s country use?
market
traditional
mixed
command
Arjun is starting a business in a country where he will be able to privately own his business and trade with whom he wants with limited government control. What economic system is MOST likely in place in the country where Arjun is starting his business?
emerging
traditional
command
capitalist
How does a free enterprise system compare to a private enterprise system?
Resources and property are owned by private individuals or companies in both a free enterprise system and a private enterprise system.
Businesses are controlled by the government in a free enterprise system, but by private individuals in a private enterprise system.
In a free enterprise system, businesses aren’t allowed to make a profit, but in a private enterprise system, they’re encouraged to.
Individuals cannot own or control their property and resources in either a free enterprise system or a private enterprise system.
Supply is to _____ as demand is to _____.
inventory; trend
availability; desire
consumption; production
preference; stock
Ruth makes and sells notepads. If the price of her notepads increases, what does the law of supply MOST likely mean that Ruth will do?
decrease the profit made from notepads
lower the price of notepads being sold
manufacture increased quantities of notepads
reach notepad production equilibrium
If Abdul notices that the price of apples is decreasing, what would the law of demand MOST likely mean that Abdul does?
buy fewer apples
sell apples to others
stop buying apples
buy more apples
At her local farmer’s market, Itzel sells the same amount of flower bouquets that consumers are willing to purchase. What has Itzel achieved?
economic equilibrium
inflation
scarcity
economic instability
What can a consumer expect for a product that is extremely rare and hard to come by?
increased production
an increased price
a decreased price
decreased production
Mauricio wants to eat unlimited amounts of pizza, but there are only two slices left. What economic concept is Mauricio experiencing?
equilibrium
enterprise
scarcity
capitalism
Lillyana lives in a country where more and more factories are being built, but the citizens don’t have enough money to buy all the goods being produced from those factories. Which word BEST describes the economy that Lillyana lives in?
capitalist
traditional
mixed
emerging
How has the rise of emerging economies like India and China affected global markets?
increased global trade
decreased innovation
economic stagnation
higher global unemployment
Which is a negative effect of emerging economies like India and Brazil?
innovation and competition
job loss in developed economies
increased trade between countries
more investment opportunities
Which phrase BEST describes GDP?
increase in price
ability to afford goods
total monetary value
people without jobs
If a person talks about how something used to cost a lot less than it costs now, what is this person referring to?
GDP
supply
productivity
inflation
How are GDP and unemployment related?
As GDP increases, unemployment decreases because businesses are creating more job opportunities.
GDP and unemployment each measure different aspects of the economy and do not affect each other.
As GDP increases, unemployment also increases because businesses cannot afford to hire more workers.
High levels of unemployment always result in an increase in GDP as more people contribute to the economy.
How does productivity impact an economy?
When productivity increases, the standard of living of a population also increases.
Increased productivity enables an economy to better fulfill the wants and needs of its population.
Productivity measures the total value of goods and services produced within a country’s borders.
Decreased productivity leads to higher unemployment levels, which then leads to increased GDP.
How does standard of living impact individuals within a society?
Standard of living has no correlation with individuals’ access to necessities like food, housing, education, and healthcare.
A higher standard of living typically results in individuals being worse off and having fewer opportunities for leisure activities.
Individuals with a higher standard of living generally have better access to necessities and can afford more enjoyable experiences.
Standard of living only measures individuals’ wealth and does not encompass access to any higher or lower quality of life.
Which scenario BEST represents the expansion stage?
Julian notices that his business isn’t making as much money as it once was.
Estrella’s business is losing customers and isn’t selling as many subscriptions anymore.
Ruby decides to downsize the number of employees that she has working for her company.
Connor’s business is selling more products than ever and he is hiring more workers.
What marks the peak of the business cycle?
maximum economic growth
start of economic recovery
lowest point of economic activity
rapid decline in stock prices
Which is MOST likely a sign of the contraction stage?
a business is selling more products this quarter than previously
many people are having trouble getting hired for new jobs
a person gets a new job after having experienced unemployment
people are eating out more than they are cooking meals at home
Chevelle knows that the economy is in a downturn but decides to invest more in companies that she thinks will thrive soon. What part of the business cycle is the economy MOST likely in given Chevelle’s actions?
contraction
expansion
trough
peak
If Kurmanjot’s business is in the contraction phase, what would an economist MOST likely suggest Kurmanjot do?
hire more employees
sell company investments
spend more on products
cut extra expenses
Which BEST shows a key trait for a company’s ability to maintain growth during tough times?
Erin thinks of new products to introduce in the business.
Dezmond remains rigid in business plans, regardless of data.
Gurjaap cuts all new investments for his business.
Ash disregards market trends when making business decisions.
When restaurants began offering outdoor seating during the COVID-19 pandemic, what stages of the business cycle were they moving from and into?
from contraction to peak
from trough to expansion
from expansion to trough
from peak to contraction
What phase of the business cycle was the US economy in before the COVID-19 pandemic?
peak
contraction
expansion
trough
When an economy begins recovering, what part of the business cycle are they in and why?
expansion because of rising unemployment, declining consumer spending, and negative GDP growth
peak because of declining stock
Consumers determine value of the product on the basis of _______.
the opportunity cost to buy the product
perceived satisfaction
discounts available
what other people buy
To market a product successfully, a company has to ___________
Spend a lot of money on advertising
Understand what people want to buy
Hire sales representatives
Make sure they have a large inventory of their product
What can be swayed by external commercial and social cues as well as by internal physical cues?
Customer purchasing power
Customer motivation
Customer loyalty
Customer trends
A clothing retailer is experiencing slower-than-expected sales growth and wants to evaluate external factors. Which approach BEST demonstrates how the retailer can use external influences to inform their strategy?
focus on customer feedback surveys to improve service
analyze potential cost savings within company operations
develop new marketing campaigns based on current offerings
examine recent fashion trends and competitor offerings
A retail company has observed a sudden drop in online sales over the past quarter. Which approach BEST demonstrates how the company can clearly define its problem to initiate data-driven decision making?
examine shipping costs to identify areas for potential savings and efficiency improvements
investigate why online sales have decreased and explore strategies to boost engagement and conversion rates
review customer service feedback to understand preferences and potential service improvements
evaluate social media engagement metrics to enhance brand visibility and successfully run marketing
Which scenario BEST illustrates predictive analytics enhancing a company’s ability to anticipate and meet customer needs?
A clothing retailer tracks seasonal fashion trends to stock new arrivals.
An online bookstore recommends books based on previous purchases.
A gym offers general fitness tips through email newsletters to members.
A fast-food chain uses sales data from various places to adjust its menu.
Which example BEST shows big data enhancing personalized recommendations?
A bookstore displays a fixed set of best-sellers on its website.
A streaming service offers a list of top movies in the country.
An e-commerce platform suggests products tailored to each user.
An online news site shows the same headlines to all browsers.
If an online retailer wants to increase customer engagement and sales, which personalized marketing strategy would be MOST effective in achieving this goal?
using customer data to create highly targeted product recommendations
offering the same promotions and discounts to all customers
implementing a generic website layout for all digital visitors
ignoring customer data and relying only on traditional marketing methods
TinkerTown, a children’s educational toy and game company, wants to understand its customers better. Which data would be MOST valuable in identifying the age groups most interested in TinkerTown’s products?
location data
device information
demographic information
email interactions
Which phrase BEST exemplifies the core principle of an omnichannel approach?
offering different products and pricing structures across various sales channels
providing a consistent customer experience across all shopping channels
Prioritizing in-store sales over online sales to better monitor consumer spending
focusing exclusively on online sales and thus closing all physical store locations
Which scenario BEST shows Ethan using a rational motive for a consumer purchase?
buying a new smartphone with productivity features
purchasing an expensive, limited edition vinyl record
buying a lottery ticket with the hope of a big win
purchasing a designer clothing item to impress friends
When it comes to purchasing motives, head is to _____ as heart is to _____.
aspirations; luxuries
preferences; basics
necessities; desires
essentials; imperatives
If a retailer offers limited-time sales events on a variety of products, which factor are they PRIMARILY targeting?
product quality
marketing and promotion
social influences
reviews and recommendations
