Business Management
What is one way businesspeople can improve their active listening skills?
A. Controlling the conversation by monitoring their own nonverbal language
B. Thinking about how to respond to the speaker's message
C. Concentrating on remembering what the speaker says
D. Paying more attention to the speaker's nonverbal cues than to her/his tone of voice
C) Concentrating on remembering what the speaker says. One technique people use to improve listening skills is to make a conscious effort to try to focus and remember what the speaker says.
When government sets safety standards for the workplace, it is attempting to
A. control business.
B. minimize risks to employees.
C. prohibit excess standards.
D. modernize working environments.
B) Minimize risks to employees. Government's primary concern is the safety of the worker in the workplace.
An example of a natural resource is
A. an electrician. B. physical ability.
C. iron ore. D. office equipment.
C) Iron ore. Natural resources include those things that are provided to us by nature
When you take responsibility for your decisions and actions, you will likely
A. earn trust and respect.
B. make new friends.
C. earn higher grades.
D. get a promotion.
A) Earn trust and respect. When you take responsibility for your decisions and actions, you will likely earn the trust and respect of others.
A passenger is upset with Petra, a flight attendant, because the plane has not taken off and he is worried about being late for an important meeting. Before responding, Petra takes a deep breath, listens to his complaint, and apologizes. Petra is
A. deferring to authority.
B. solving the problem.
C. diffusing the customer's anger.
D. avoiding the conflict completely
C) Diffusing the customer's anger. In the hospitality and tourism industry, it is important to know how to resolve conflicts with customers who are unhappy with the service.
At the beginning of a research report, the writer should include the
A. solution to the problem. B. purpose of the study.
C. appendices. D. bibliography
B. Purpose of the study.
(A research report is a written document that summarizes an investigation related to a particular issue or problem. The purpose of the study states why the topic at hand is being investigated and should be described in the report's introduction, which is at the beginning of the report.)
When planning a new venture, an entrepreneur can use __________ to clarify their goals and vision.
A. a mission statement
B. financial forecasting
C. a SWOT analysis
D. competitive analysis
A) A mission statement. A mission statement is a brief summary of what a business owner wants a business to be doing. When planning a new venture, entrepreneurs develop mission statements to help guide their goals and visions into reality
A manufacturer that decides to sell directly to large retailers rather than through wholesalers might create __________ conflict within its distribution channel.
A. formal B. horizontal C. vertical D. conventional
C) Vertical. Conflict in a distribution channel occurs when there is disagreement among the various channel members.
Bryan loves to plan and is very detail-oriented. Erin is creative and expressive. Should they be members of the same team?
A. No; their differing skill sets will cause conflict.
B. Yes; teams with a mixture of skills and talents perform to their best abilities.
C. No; all team members need to be detail-oriented and enjoy planning.
D. Yes; Erin can help Bryan learn how to be more creative.
B) Yes; teams with a mixture of skills and talents perform to their best abilities. One of the benefits of teamwork is exposure to varied skills and talents.
Ourway Airlines Inc. purchases many smaller airlines to grow its business. Which method is Ourway Airlines using?
A. Expansion
B. Merger
C. Consolidation
D. Hybrid structure
C) Consolidation. Ourway Airlines is acquiring many smaller companies, which is known as consolidation.
Which of the following are examples of intellectual property that a business can protect by registering trademarks:
A. Creative formulas and ideas
B. Original novels and movies
C. New products and processes
D. Distinctive names and symbols
D) Distinctive names and symbols. Intellectual property is a type of intangible personal property that many businesses own.
Businesses can reinforce brand promise after a sale by
A. creating new advertising campaigns.
B. resolving any problems or complaints.
C. improving the company's website.
D. generating positive publicity.
B) Resolving any problems or complaints. Businesses can reinforce brand promise after a sale by resolving any problems or complaints that may arise.
What do business owners consider when they select a business ownership structure?
A. Product versatility, advertising strategies, and personal circumstances
B. Product versatility, financial needs, and advertising strategies
C. Personal circumstances, type of business, and product mix
D. Personal circumstances, financial needs, and the type of business
D) Personal circumstances, financial needs, and the type of business. Because each business owner's situation is unique, the owner must consider the type of business being operated, the amount of capital that is needed to start the business, and the owner's personal circumstances.
Who typically reviews and approves the guidelines for running a corporation, which are also known as corporate governance policies?
A. The investors
B. The shareholders
C. The management team
D. The board of directors
D) The board of directors. A corporation's board of directors is responsible for approving and reviewing the corporate governance policies of the business.
One of the primary ways in which hospitality and tourism contribute to economic growth is through
A. the use of global positioning systems.
B. the use of sustainable resources.
C. conference space.
D. visitor exports.
D) Visitor exports. When travelers journey to a foreign country, the money that they spend there is categorized as visitor exports.
Businesses' profits are at a 30-year low, but consumer savings are at an all-time high. For more than a year, unemployment has also been at record levels. What is the state of the economy?
A. Expansion
B. Depression
C. Recession
D. Recovery
B) Depression. In an economic depression, consumers often choose to save their incomes due to uncertainty about the future. Many of them also lose their jobs, so there is more incentive to save than to spend.
Which of the following is a result of an achievement orientation:
A. Less risk-taking
B. Lower standards
C. Continuous improvement
D. Automatic raises and promotions
C) Continuous improvement. Continuous improvement is a result of an achievement orientation. This may refer to products, procedures, ideas, or the work environment in general
Which of the following often makes it difficult for small manufacturers that have limited budgets to receive an equal opportunity to distribute their new products:
A. Gray marketing
B. Slotting allowances
C. Channel strategies
D. Targeted advertising
B) Slotting allowances. A slotting allowance is a cash premium that manufacturers pay to businesses to cover the costs involved in carrying a new product.
An economic trend that typically precedes an upturn in commodity prices is the __________ for at least a year.
A. stock market declining
B. dollar increasing in value
C. growth of the money supply declining
D. yield curve leveling out
B) Dollar increasing in value. An upturn or increase in commodity prices is typically preceded by a number of economic trends and conditions.
The two main sources of revenue used to pay the costs of government regulation are
A. taxpayers and nontaxpayers.
B. taxes and borrowing.
C. business and labor.
D. government and industry
B) Taxes and borrowing. Government collects taxes from taxpayers to pay the costs of regulating business and providing services.
Many people pay for meals and lodging on credit through a(n)
A. unsecured loan.
B. installment credit account.
C. budget credit account.
D. travel and entertainment card.
D) Travel and entertainment card. These cards are especially popular with travelers who do not wish to carry large amounts of cash. Customers must have an excellent credit rating to obtain a card and are billed monthly.
Troy has discovered an innovative technology with huge growth potential. He needs $1,000,000 in funding and expert technical advice to launch his business venture. What funding source would be best for him to pursue?
A. Commercial bank
B. Angel investor
C. Family and friends
D. Venture capitalist
D) Venture capitalist. Venture capitalists typically are willing to invest large amounts of money and provide expert guidance for innovative technologies with great growth potential.
When the Silvers purchased their new car, the dealership representative sold their contract to another company in exchange for cash. To what type of business would the dealership have sold the Silvers' contract?
A. Commercial bank
B. Savings and loan association
C. Finance company
D. Credit union
C) Finance company. To receive cash in exchange for the Silvers' contract, the dealership dealt with a sales finance company
Which of the following is an example of convergence in the finance industry:
A. Chase Schwartz Financial Consultants acquires Dollar-Wise Financial Services.
B. Constitution Savings and Loan merges with Adams Community Bank.
C. Independence Insurance Company acquires NetAutoInsurance.com.
D. United Federal Bank merges with Provincial Insurance Company.
D) United Federal Bank merges with Provincial Insurance Company. Convergence is the merging of financial providers from different financial sectors.
Which of the following is an internal procedure that many businesses use to control cash:
A. Track dividends paid to owners
B. Monitor intangible assets
C. Give receipts to all customers
D. Evaluate projected budgets
C) Give receipts to all customers. Most businesses use a variety of procedures to control cash