Unit 1
The two types of business competition
What are direct & indirect competition?
The definition of social responsibility.
What is: the duty to do what is best for the good of society?
What are copyrights, patents and trademarks?
Define Autocratic Leadership
What is:
Leadership style where ONE person runs everything and makes all decisions without consulting others.
Definition of Break-even Point
What is:
The point at which total revenues, or sales, equal total costs and expenses of developing and offering a product or service.
Definition of direct and indirect competition. Why is this important?
What are:
Direct: Items sold directly relate between the two businesses. Examples: Taco Bell & Chipotle
Indirect: Items sold effect the sales of a business but might not be the same items. Examples: Chipotle & Cub Foods.
It is important because a business needs to know who their competition is.
Businesses that follow ethical standards value this in their employees.
What is integrity and honesty?
Provide an example of a copyright, patent and a trademark.
Answer varies.
The 3 leadership styles
What are:
Autocratic Leadership, Democratic Leadership and Free-Rein Leadership.
Define Marketing Mix
The marketing mix consists of four basic marketing strategies.
Product, place, price, and promotion, collectively known as the four Ps.
Four characteristics of a Command Economy
What is: Central authority decides, no competition, gov. Decides prices, people are paid around the same for most jobs.
A business that has social responsiblity take this into consideration.
What is: all that business does or does not do to solve the problems of society.
Four ways government regulates business.
What are:
Protecting Competition
Protecting Business Agreements
Protecting Creative/Intellectual Properties
Regulating the Production Process
What is the leadership style that that has a captain but there is no team lead.
What are self-managed teams
Research do you do before opening a business
What are:
Find a problem that needs to be solved for the customers, who is the direct and indirect competition, location, start up cost & break even point and potencial profits.
Four Characteristice of a Market Economy and the effect it has on business.
What is: Open marketplace, business competition, businesses decide prices, people are paid different wages.s
Effect: an open economy allows for more financial growth.
The definition of Philanthropy.
What is: the desire to promote the welfare of others?
The importance of government regulations for business success.
What is:
Foster economic success
Quality of life for citizens
In a market economy, economic health depends on the success of business
Qualities of a good leader.
What are:
Motivation
Confidence
Communication Skills
Integrity
Advantages and disadvantages of being an entrepreneur.
What are:
Advantages: automnomy, provides job opportunities, owners keep the profits and a creative/inovative opportunities.
Disadvantages: no assurance of income, no fixed work hours and owners can go bankrupt if the business does not work out.
The four statges of the Business Cycle and their definitions.
What is:
Prosperity: Peak of the economic cycle. Low unemployment, lots of goods produced
Recession: Economic activity slowing down
Depression: A deep recession, high unemployment
Recovery: A slight rise in economic activity
This impact of ethics and social responsiblity on business.
What are exployees are happier working for a company that share their values and customer and community trust is earned which increases profits?
What is buying and reselling goods that have already been produced
Define the 3 types of Leadership Styles.
Autocratic: Leadership style where ONE person runs everything and makes all decisions without consulting others.
Democratic: Leadership style where managers work with employees to make decisions.
Free-Rein Leadership: Leadership style that requires the leader to set goals for managers and employees and then leave them alone to get the job done.
List and define the 4 P's and provider an example of each.
What are:
Product: Marketing is then concerned with how to make the product appeal to consumers.
Place: Marketers have to decide how and where customers will buy their goods and services.
Pricing: Considering the "break-even point" and how much to charge for the product.
Promotion: making customers aware of a product.