Systems
What country has a command economy?
North Korea, Cuba, Iran, Libya, Former Soviet Union
Inhances value by supplying consumers with information.
What is information utility?
The quantity of a product available for sale
Supply
In which stage of the business growth cycle
might a company consider renewal strategies?
Renewal
What type of economy has a private enterprise system?
What is market (capitalist/free market)?
An economy driven by supply and demand with private ownership.
What is a market economy?
Created when a business alters or changes the product to make it more useful or satisfying for consumers.
What is form utility?
What type of business is owned and operated
by one individual?
Sole Proprietorship
Which stage in the business growth cycle
involves stabilization and peak sales?
Maturity
Anything of value that people own.
What is private property?
This economic system is based on traditions passed down through the generations.
What is traditional?
Having products available at the time they are desired.
What is time utility?
What is a type of business funding?
Loans, Grants, Personal Savings, Investors/investments, friends & Family
In the business growth cycle, what follows the
Startup Stage?
Growth
Fill in the blank:
Allows individuals to have high level of freedoms to ______ & ____ desired goods and services
Buy & Sale
In this system the government owns and operates many or all of the means of production and distribution.
What is command?
Having products available where they are needed.
What is place utility?
Which type of business changes raw goods into a more finished form?
Characteristics: New idea, limited customers, tight budget
Start-Up Stage
The rivalry between two or more businesses to attract scarce customer dollars.
What is competition?
In this system the government has some control or influence.
What is mixed?
When the purchaser of the product finds it useful and satisfying after assuming ownership of the product.
What is possession utility?
A business model where a firm licenses its
operations.
Franchise
Fill in the blank.
The B____ l___ C____ is the process that companies go through as they develop from small startups to large, established businesses.
Business Life Cycle
What is a disadvantage of private enterprise system?
- Unemployment -
- Income and wealth may be unevenly distributed
- false advertising
- not all resources are used efficently