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Managing Chapter Within The Dynamic Business Environment: Taking Risks and Making Profits
CPS questions
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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1. the a. b. c. d.
Often in business, the greater the risk, greater the potential reward. lower the expected revenues. lower the value provided to society. greater the number of stakeholders.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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2. Kayla's income has remained stable over the past few years while the prices of the goods and services have gone up. Nevertheless, Kayla feels better off because the environment is cleaner, the crime rate has declined, she has more leisure time, and the quality of medical care has improved. If her experience is typical, we can conclude that the standard of living has: a. b. c. d. increased, but the quality of life has decreased. increased, and so has the quality of life. declined, but the quality of life has increased. declined, and so has the quality of life.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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3. _______ are the resources that contribute to the creation of wealth. a. b. c. d. Production coefficients Factors of production Production technologies Production aggregates
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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4. The most accurate statement about factors of production is:
a. the five factors of production are energy, capital, labor, leadership and money. b. wealth creation in poor nations is slowed by chronic shortages of labor. c. each of the factors of production is equally important in creating wealth. d. entrepreneurship and knowledge are the most important in creating wealth.
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5. What environment of business are taxes and government regulations part of? a. b. c. d. Economic and legal Competitive Social Technological
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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6. Yashmi is an owner of a small coffee shop in Maryland. In order to open her shop she first had to:
a. have many employees willing to work at all times of the day. b. go through a long, bureaucratic process to get permission to start a business. c. be sure her risk would be very low. d. get a lease for her business in the same building in which she lives.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits 1-7
7. Which of these refers to the amount of output generated with a given amount of input, e.g., number of burgers produced per worker per hour? a. b. c. d. Efficiency Technology Telecommuting Productivity
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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8. Which of the following best describes the main difference between B2B and B2C transactions? B2B transactions:
a. involve transactions where the buyers and sellers are both businesses, while B2C involves transactions between businesses and consumers. b. focus on financial transactions while B2C ecommerce focuses on the sale of manufactured goods. c. are carried out by nonprofit organizations while B2C e-commerce is carried out by business firms seeking to earn a profit. d. involve sales in foreign markets while B2C ecommerce is restricted to domestic markets.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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9. If a policy of empowerment was implemented, how might the organization be restructured?
a. Managers would have more responsibility and employees learn to follow directions. b. Managers would have less authority while employees assume more responsibility. c. Workers would agree to work overtime without extra pay. d. An entire level of management would be removed from the organization.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits 1-10
10. Zim is in charge of production for a familyowned firm that makes and sells gloves. He has stated that speed of delivery is the most important factor for success in the competitive environment. Which of the following would be the best response to Zim?
a. b. c. You are right on target, Zim. Time is money. You are the man, Zim. As long as our price is competitive, speedy delivery will win in today's changing marketplace. Well Zim, speed isn't everything. What would delight our customers? Some consumers may put more importance on high quality and/or lower prices. Dude, you couldn't be more wrong. Quality is the name of the game. He who has the best product will win in the competitive environment.
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d.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
11. _______ are likely to be opportunities in the future because the population aging. is a. Financial services to help clients plan for their education b. Home health care businesses c. Children's day-care centers d. Educational institutions
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits 1-12
12. Finicky Felines, Inc. is considering a program that would allow some of its workers to use flextime. One group of workers who would probably benefit from flextime is:
a. workers who do not have access to computers at home. b. workers who have little self-motivation. c. front-line workers who must frequently meet with customers who visit the office. d. workers with young children.
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13. ______ would be due to more efficient distribution systems around the world.
a. b. c. d. Increased world trade Decreased world trade Decreased international competition Reduced standards of living around the world
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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14. Bobby recently graduated with honors from his college. He has bragged to his friends that his fine academic performance has prepared him so well for a successful career that he can forget school or training in his future. In evaluating the workplace of the future, Bobby is: a. exactly right. His past performance should carry him to success. b. completely wrong. Studies show that a college education has little to do with success. c. over confident. Global competition means that continuous learning will be needed in the future to adapt to rapid changes. d. probably right. Specialized training today is a key to continued success in the future.
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15. In what sector, in recent years, have almost all new jobs in the U.S. been created in? a. b. c. d. Service Manufacturing Agricultural Telecommunications
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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16. Which of these best describe the recent job growth in the service sector?
a. The service sector has generated almost all new jobs in the American economy since the mid 1980s, but the rate of job growth in services has slowed in recent years. b. Jobs in the service sector have increased slowly over the past decade, but most new jobs are created in the manufacturing industries. c. Employment in the service sector has declined in recent years, and this decline is expected to continue. d. There has been little change in the number of jobs in the service sector in recent years, however employment is expected to increase rapidly.
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits 1-17
17. Which of these refers to a country's general well-being and satisfaction derived from a variety of factors including political freedom, safety, education, and a clean environment? a. b. c. d. Standard of living Quality of life Gross national income Social satisfaction index
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Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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What do high tax rates tend to do?
a. b. c. d. Promote economic development Make a nation's currency tradable Discourage entrepreneurship Reduce the amount of money created by the government
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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19. Successful businesses are keenly focused on which of these? a. b. c. d. Customers Managers Creditors Bureaucrats
Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits
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20. Certain sectors of the U.S. economy have experienced a significant decline in employment. Which of these best explains this job loss in specific industries?
a. There has been a decline in the productivity of labor in these industries. b. Workers lost these jobs because worker productivity in the sector increased. c. The U.S. economy cannot compete in the global environment. d. Government regulations have eliminated profit opportunities in these industries.
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Answer Key
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. Answer: A Answer: C Answer: B Answer: D Answer: A Answer: B Answer: D Answer: A Answer: B Answer: C Answer: B Answer: D Answer: A Answer: C Answer: A Answer: A Answer: B Answer: C Answer: A Answer: B LG: 1 LG: 1 LG: 2 LG: 2 LG: 3 LG: 3 LG: 4 LG: 4 LG: 5 LG: 5 LG: 6 LG: 6 LG: 7 LG: 7 LG: 8 LG: 8 LG: 1 LG: 3 LG: 5 LG: 8 Page: 4 Page: 5 Page: 9 Page: 10 Page: 11 Page: 12 Page: 13 Page: 14 Page: 16 Page: 15 Page: 17 Page: 18 Page: 18 Page: 20 Page: 21 Page: 21 Page: 5 Page: 11 Page: 16 Page: 20 21
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Chapter 01: Managing Within The Dynamic Business Environment: Taking Risks and Making Profits