For exam and test prep, contact excellentessaywriters@gmail.com
Type:
Test Bank
Resource:
Business Essentials
Edition: Author(s):
13th Edition Ronald J. Ebert Ricky W. Griffin
For exam and test prep, contact excellentessaywriters@gmail.com
Business Essentials, 13e (Ebert/Griffin) Chapter The U.S.1Business Environment 1) Which of the following best describes profit? A) Total money taken in by a corporation B) Increases in income from year to year C) Increases in a corporation's stock price D) Revenue generated by goods and services E) Difference between revenues and expenses Answer: E Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 2) Which of the following is defined as the environment where a firm conducts its operations and derives its revenues known as? A) Global business environment B) Economic environment C) Domestic business environment D) Technological environment E) Political-legal environment Answer: C Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 3) Factors such as international trade agreements, economic conditions, and political unrest will have the greatest impact on which type of business environment? A) Global business environment B) Economic environment C) Domestic business environment D) Technological environment E) Political-legal environment Answer: A Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations.
For exam and test prep, contact excellentessaywriters@gmail.com 1 .
4) Changes in which type of business environment can reduce or replace the need for traditional working methods, physical equipment, and other platforms needed to conduct business? A) Global business environment B) Economic environment C) Domestic business environment D) Technological environment E) Political-legal environment Answer: D Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 5) As a teenager, Melinda started cutting grass for her neighbor. She did a good job, and more and more neighbors began to hire her. After saving money and investing in additional equipment, Melinda began to earn an even greater profit. Which of the following did Melinda create when she began cutting her neighbor's yard and earning income? A) Nonprofit B) Corporate culture C) Market economy D) Monopolistic competition E) Business Answer: E Difficulty: Easy AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 6) In which way does consumer choice and demand affect the way a business operates? A) Businesses must take into account what consumers want or need. B) Businesses must produce most of the goods and services we consume. C) Businesses must find opportunity and develop a plan to capitalize on it. D) Business must prepare to compete in the global marketplace. E) Business must use technology to track changing demographics in the community. Answer: A Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations.
2 .
7) Which of the following consists of everything outside an organization's boundaries that might affect how the business operates? A) Opportunities and enterprise B) Corporate culture C) External environment D) Domestic business environment E) Political-legal environment Answer: C Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 8) Aimee wants to open her retail shop in her local community so that she can establish strong relationships with suppliers and customers, and distinguish herself and her shop from the competition. In which environment does Aimee wish to do business? A) Global B) Political-legal C) Domestic D) Economic E) Technological Answer: C Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 9) The Basic Broom Company orders much of its raw material from overseas markets, even though the product is made locally. Which of the following business environments might prevent The Basic Broom Company from being able to get its supply of raw material when they need it? A) Changes in the global business environment B) Changes in the technological environment C) Changes in the economic environment D) Changes in the factors of production E) Changes in the labor force Answer: A Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations.
3 .
10) Which of the following includes all the ways a firm creates value for their customers? A) Technological environment B) Profitability C) Economic environment D) Creation of a market economy E) Law of supply and demand Answer: A Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 11) Sally's Supply shop has recently had to change her process for shipping supplies because of changes in government regulations. She now also has to change how she reports profit and loss, and when those reports are processed. Which of the following is forcing these changes for Sally's Supply shop A) The laws of supply and demand B) Political-legal environment C) The establishment of perfect competition D) Changes in the market economy E) Economic environment Answer: B Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations. 12) A new restaurant recently opened in the local community. It serves a variety of ethnic foods, and plays background music in keeping with the customers and values of the local demographics make up of the community. Which external environment of business is this restaurant considering when they support the customs, values, and demographics of the local community? A) Monopoly B) Sociocultural C) Freedom of choice D) Perfect competition E) Global Answer: B Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 1.1: Define the nature of U.S. business, describe the external environments of business, and discuss how these environments affect the success or failure of organizations.
4 .
77) In addition to preventing future of contamination, which of the following is a key issue that characterizes land pollution? A) Restoring the quality of land that is already damaged B) Managing acid rain and its effects C) Disposing of recycled products D) Maintaining the fracking process E) Developing agreements with trade partners in other nations Answer: A Difficulty: Difficult AACSB: Ethical understanding and reasoning Question Category: Critical Thinking LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 78) Which of the following is the reconversion of waste materials into useful products? A) Green marketing B) Proactive stance to social responsibility C) Social consciousness D) Fracking E) Recycling Answer: E Difficulty: Difficult AACSB: Ethical understanding and reasoning Question Category: Critical Thinking LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 79) Which element of green marketing support the process of using renewable resources and managing limited resources responsibly and efficiently? A) Sustainability B) Packaging reduction C) Carbon offset D) Product modification E) Production processes Answer: A Difficulty: Difficult AACSB: Ethical understanding and reasoning Question Category: Critical Thinking LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors.
24 .
80) Pour House Coffee uses cups and napkins make from recycled materials. Which element of green marketing does Pour House Coffee support by using these products? A) Carbon offset B) Sustainability C) Product modification D) Packing reduction E) Production process Answer: E Difficulty: Difficult AACSB: Ethical understanding and reasoning Question Category: Critical Thinking LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 81) Environmental issues are now a significant challenge for socially reasonable organizations. Answer: TRUE Difficulty: Easy AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 82) A company that does not act responsibly toward its customers may lose their trust and ultimately their business. Answer: TRUE Difficulty: Easy AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 83) The Consumer Bill of Rights is backed by numerous federal and state laws. Answer: TRUE Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 84) What is collusion? Answer: Collusion occurs when two or more parties agree to collaborate on such wrongful acts as price fixing; price fixing occurs when firms illegally control supplies and prices of products. Difficulty: Moderate AACSB: Reflective thinking Question Category: Concept LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors.
25 .
85) Define consumerism. Answer: Consumerism is social activism dedicated to protecting the rights of consumers in their dealings with businesses. Difficulty: Moderate AACSB: Reflective thinking Question Category: Concept LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 86) Identify who is responsible for regulating advertising and what the key issues are. Answer: To encourage responsibility, the Federal Trade Commission (FTC) regulates advertising and pricing practices. Some critics also point to misleading labelling and advertising in the agricultural sector. Another issue concerns advertising that some consumers consider morally objectionable–for products such as underwear, condoms, alcohol, tobacco products, and firearms. Laws regulate some of this advertising (for instance, tobacco cannot be promoted in television commercials but can be featured in print ads in magazines), and many advertisers use common sense and discretion in their promotions. Difficulty: Difficult AACSB: Reflective thinking Question Category: Application LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 87) What is insider trading? Why would an investor engage in it? Answer: Insider trading is using confidential information to gain from the purchase or sale of stocks. Confidential information is information that is not available to the general public but that is available to a few people because of their position within a company. For example, investors with inside information may sell a stock at a high price just before a piece of negative information becomes public and the price plummets, thus preventing a big loss. Similarly, an investor with inside information may buy stock at a low price just before a piece of favorable information becomes public and the price of the stock increases. Difficulty: Difficult AACSB: Reflective thinking Question Category: Application LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors.
26 .
88) Discuss the six elements of the Consumer Bill of Rights. Answer: Consumers have a right to safe products. They have a right to be informed about all relevant aspects of a product. Consumers has a right to be heard, and have a right to choose what they buy. Consumers have a right to be educated about purchases, and consumers have a right to courteous service. Difficulty: Difficult AACSB: Reflective thinking Question Category: Application LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 89) Why should organizations carefully consider social responsibility and ethics in their international advertising efforts? Answer: Advertising standards in different countries vary in many different ways. Some of the differences are attributable to sociocultural norms. For instance, ads and billboards in some parts of Europe occasionally feature nudity and may be much more provocative than might be accepted in the United States, while ads in the Middle East and parts of Asia are likely to be very conservative. Legal restrictions also vary across different countries. For example, U.S. regulations prohibit tobacco companies from advertising on television and most magazines. But in other countries tobacco companies may still be allowed to advertise in print media and on television. Difficulty: Difficult AACSB: Reflective thinking Question Category: Application LO: 2.3: Show how the concept of social responsibility applies both to environmental issues and to a firm's relationships with customers, employees, and investors. 90) If a firm hides responsibility for wrongdoing, what type of stance are they taking toward social responsibility? A) Responsible B) Obstructionist C) Accommodative D) Proactive E) Moderate Answer: B Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business.
27 .
91) What concept is supported by those who believe that corporations should help improve the lives of citizens? A) Social auditing B) Government initiative C) Collusion D) Social responsibility E) Social accommodation Answer: D Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 92) What stance do firms who do as little as possible to solve social or environmental problems take? A) Social accommodation B) Obstructionist C) Defensive D) Accommodative E) Proactive Answer: B Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 93) If a manager believes their job is to generate profits and is willing to do everything legally required, but no more, what social responsibility stance is being taken? A) Proactive B) Accommodative C) Defensive D) Obstructionist E) Social accommodation Answer: C Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business.
28 .
94) Firms that meet, and occasionally exceed legal and ethical requirements take what type of social responsibility stance? A) Proactive B) Social accommodation C) Defensive D) Accommodative E) Obstructionist Answer: D Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 95) Those firms who look for opportunities to contribute positively to society because of a sincere desire to improve social welfare take what type of social responsibility stance? A) Obstructionist B) Accommodative C) Social accommodations D) Defensive E) Proactive Answer: E Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Concept LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 96) What is the most common and direct way to provide direct financial support when taking a proactive stance to social responsibility? A) Set up a foundation B) Reduce prices C) Make a donation with each purchase D) Use the Internet to solicit donations E) Follow all laws set forth by the government Answer: A Difficulty: Moderate AACSB: Reflective thinking Question Category: Application LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business.
29 .
97) In business, ethical decisions are generally based on what? A) Social responsibility B) Individual ethics C) Laws D) Societal norms E) Stakeholder returns Answer: B Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 98) The proactive approach to social responsibility argues that profits should not be spent on social programs. Answer: FALSE Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 99) The strongest stance toward social responsibility a company can take is a proactive one. Answer: TRUE Difficulty: Moderate AACSB: Reflective thinking Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 100) There is general consensus within the United States that social responsibility must take precedence over profits. Answer: FALSE Difficulty: Moderate AACSB: Reflective thinking Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 101) Small businesses must answer many of the same social responsibility questions as big businesses. Answer: TRUE Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business.
30 .
102) Organizations that take a proactive approach to social responsibility actively look for opportunities to contribute to the well-being of the social environment. Answer: TRUE Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 103) An organization that tries to cover up wrong doings is taking a defensive stance toward social responsibility. Answer: FALSE Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 104) How do issues of social responsibility and ethics affect small business? Answer: Small businesses must address, more or less, the same issues as big businesses—the differences are primarily differences of scale. Difficulty: Moderate AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business. 105) Identify two arguments against social responsibility as a business goal. Answer: Some skeptics of business-sponsored social projects fear that if businesses become too active, they will gain too much control over the ways in which those projects are addressed by society as a whole. Other critics claim that business organizations lack the expertise needed to address social issues. Difficulty: Difficult AACSB: Ethical understanding and reasoning Question Category: Analytical LO: 2.4: Identify four general approaches to social responsibility and note the role of social responsibility in small business.
31 .
Business Essentials, 13e (Ebert/Griffin) Chapter 7 Operations Management and Quality 1) Which term refers to all the activities involved in making products for customers? A) Operations B) Processes C) Planning D) Scheduling E) Performance Answer: A Difficulty: Easy AACSB: Application of knowledge Question Category: Concept LO: 7.1: Explain the meaning of operations and discuss the growth in the services and goods sectors of the U.S. economy. 2) Which of the following are the activities that produce intangible and tangible products, such as entertainment, transportation, and education? A) Scheduling B) Service operations C) Tangibility D) Goods operations E) Performance operations Answer: B Difficulty: Easy AACSB: Application of knowledge Question Category: Concept LO: 7.1: Explain the meaning of operations and discuss the growth in the services and goods sectors of the U.S. economy. 3) Which of the following is critical to the success or failure of service operations? A) Provider-customer contact B) Internet exposure C) Supply chain D) Tangible services products E) Supplier-manufacture contact Answer: A Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 7.1: Explain the meaning of operations and discuss the growth in the services and goods sectors of the U.S. economy.
1 .
4) Services are more tangible, more customized, and more storable than most products. Answer: FALSE Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 7.1: Explain the meaning of operations and discuss the growth in the services and goods sectors of the U.S. economy. 5) The United States is the world's second largest exporter of manufactured good, trailing only China. Answer: TRUE Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 7.1: Explain the meaning of operations and discuss the growth in the services and goods sectors of the U.S. economy. 6) Discuss the important of the service industry in terms of employment and gross domestic product. Answer: Both goods and service industries are important, but employment has risen significantly in the service sector and has leveled off at just 11 to 12 percent in goods-producing industries for years 2004 through 2019. Much of this growth comes from e-commerce, business services, health care, amusement and recreation, and education. By 2019, the service sector's growth generated about 68 percent of private-sector national income. The service sector's greater percentage of GDP has hovered above 65 percent in recent years. At the same time, the smaller 11 percent of the workforce in goods-producing jobs produced 32 percent of national income. Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 7.1: Explain the meaning of operations and discuss the growth in the services and goods sectors of the U.S. economy. 7) When a company produces products when consumers want them, it creates which type of utility? A) Ownership B) Time C) Form D) Place E) Value Answer: B Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production.
2 .
8) In a business, whose job is it to draw up plans to transform resources into products and bring together basic resources, such as knowledge, physical materials, equipment, and labor? A) CEO B) Operations manager C) Quality manager D) Floor foreman E) Supply manager Answer: B Difficulty: Moderate AACSB: Application of knowledge Question Category: Application LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production. 9) Which term describes services that cannot be produced ahead of time? A) Transformed B) Lowcontact C) Unstorable D) Intangible E) Consistent Answer: C Difficulty: Moderate AACSB: Application of knowledge Question Category: Concept LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production. 10) Which of the following refers to a set of methods and technologies used to produce a good or service? A) Quality ownership B) Production C) Utility D) Value added analysis E) Operations process Answer: E Difficulty: Easy AACSB: Application of knowledge Question Category: Concept LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production.
3 .
11) When a company makes products available for consumers where they are convenient for the consumers, which type of utility is created? A) Time B) Form C) Place D) Possession E) Leisure Answer: C Difficulty: Moderate AACSB: Application of knowledge Question Category: Critical Thinking LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production. 12) Which of the following is the ability of a product to satisfy a human want or need? A) Utility B) Relative advantage C) Content D) Satisfaction E) Quality ownership Answer: A Difficulty: Easy AACSB: Application of knowledge Question Category: Application LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production. 13) When a firm produces goods for mass consumption, what type of goods production method is generally used? A) High-contact systems B) Make-to-order C) Layout planning D) Low-contact systems E) Make-to-stock Answer: E Difficulty: Moderate AACSB: Analytical thinking Question Category: Application LO: 7.2: Identify the three kinds of utility created by operations and the characteristics that distinguish service operations from goods production.
4 .
119) Which influence on consumer behavior includes lifestyle, personality, and economic status? A) Personal B) Social C) Cultural D) Behavioral E) Rational Answer: A Difficulty: Moderate AACSB: Analytical thinking Question Category: Application LO: 11.5: Describe the consumer buying process and the key factors that influence that process. 120) Which of the following describes the evoked set of options consumers developed while seeking information about a good or service? A) The group of products consumers regularly purchase B) The group of products consumers have considered in the past based on lifestyle C) The group of products consumers have bought in the past and will not consider again D) The group of products consumers will consider buying based on nonobjective factors E) The group of products consumers will consider buying based on their information search Answer: E Difficulty: Moderate AACSB: Analytical thinking Question Category: Application LO: 11.5: Describe the consumer buying process and the key factors that influence that process. 121) Why do marketers use information gathered from studying the consumer buying process? A) To counteract the influence of culture on the consumer buying decision B) To identify target markets C) To determine which products to discontinue D) To develop marketing plans E) To develop new products Answer: D Difficulty: Moderate AACSB: Analytical thinking Question Category: Application LO: 11.5: Describe the consumer buying process and the key factors that influence that process. 122) Rational motives involve nonobjective factors and include sociability, imitation of others, and aesthetics. Answer: FALSE Difficulty: Moderate AACSB: Analytical thinking Question Category: Application LO: 11.5: Describe the consumer buying process and the key factors that influence that process.
37 .