Functional area
Which functional area is responsible for producing goods and providing services?
Production/Operations
Who owns a business, invests money, and may receive profits?
Owners
A business surveys customers to find out what products they want. Which functional area usually conducts this market research?
Marketing
What is one important responsibility of an employee?
Performing assigned duties.
True or false: The Finance department is responsible for hiring and training employees.
False. Human Resources handles hiring and training.
Which functional area advertises products and studies customer needs?
Marketing
Who buys the goods and services offered by a business?
Customers
A company prepares a budget to control spending. Which department is responsible?
Finance/Accounting
How can customers help a business improve?
By giving feedback and suggestions.
True or false: Owners and employees are internal stakeholders.
true
Name two functions of the Human Resources department.
Recruiting employees and training workers.
Who provides raw materials and goods to a business?
Suppliers
A supplier delivers materials late and production stops. Identify two stakeholders or functional areas that should respond and explain what they should do.
The supplier should explain the delay and arrange delivery. Purchasing should follow up or find another supplier.
Why might a business borrow money from a bank?
To expand, buy equipment, or pay business expenses.
Why must the functional areas of a business work together?
To coordinate activities, use resources efficiently, and achieve business goals.
Which functional area develops and tests new products?
Research and Developme
Name two ways the government affects businesses.
Collecting taxes and enforcing laws.
A factory finds defective products. Which functional area checks product quality?
Production/Operations
How do competitors influence a business?
They encourage improvements in prices, quality, and customer service.
Name three functional areas involved in launching a new product and explain one job each performs.
R&D develops it; Marketing promotes it; Production makes it.
A bakery runs out of flour. Which functional area should order more flour?
Purchasing/Procurement
What is a financial institution, and how can it help a business?
An organization such as a bank that can provide loans and business banking services.
A shop hires three new cashiers. Which functional area handles recruitment?
Human resources
Give one way a business helps its community and one way it could harm the community.
It may create jobs, but it could also cause noise or pollution.
A business wants higher profits, happy customers, and motivated employees. Name three stakeholders and explain how the business can consider their interests.
Owners need sustainable profits; customers need quality products and fair prices; employees need fair pay and safe working conditions.