Professional Orgs & Comm Skills
Name a business organization that advocates for small and independent businesses and might help a small business owner seek local advocacy?
NFIB
What is a value proposition in one sentence?
A value proposition states the problem solved and why customers should choose the product/service
Why might a sole proprietor face personal liability while a corporation generally does not?
Sole proprietor has no legal separation between personal and business assets, so creditors can pursue personal assets
Identify natural, human, and capital resources in the example of a farm that grows and sells vegetables
Natural = soil/land; Human = the farmer and workers; Capital = tractors, greenhouse
Use the formula to find revenue: Sell 50 items at
$20 each. (Give the numeric answer.)
$1,000 in revenue
Define collective bargaining and identify one role the NLRB plays in labor relations.
Collective bargaining = negotiation between management and a union over a labor agreement; NLRB handles union representation elections and investigates unfair labor practice charges
List the five main sections of a business plan (excluding executive summary and financial plan as separate items).
Market analysis; Products and services; Marketing and sales; Operations; Financial plan (executive summary separate).
For each item classify the best IP protection: a machine invention, a brand slogan, a training video, and a secret recipe
Machine invention = patent; brand slogan = trademark; training video = copyright; secret recipe = trade secret
Define perfect competition and monopolistic competition and give one sector example for each
Perfect competition = many sellers, identical products (e.g., certain agricultural markets); Monopolistic competition = many sellers with differentiated products (e.g., restaurants).
Calculate gross profit when revenue is $14,000 and cost of goods sold is $8,500.
$5,500 = gross profit
$14,000 (revenue) - $8,500 (cost of goods sold) = $5,500 (gross profit)
Give two examples of nonverbal communication and explain how they should support verbal messages.
Examples: eye contact and posture; they should align with and reinforce spoken tone/intent.
Explain the difference between scalability and a pivot, and give a brief example of each
Scalability = ability to grow without proportional cost increases (e.g., software subscription growth); Pivot = strategic change in offering or model based on feedback (e.g., shifting from in-person classes to online)
Distinguish direct compensation from benefits and give two examples of each
Direct compensation: hourly wage, commission; Benefits: health insurance, retirement plan
What is the business cycle in order and explain one likely business behavior during contraction
Cycle: expansion → peak → contraction → trough → expansion. During contraction businesses may conserve cash and delay expansion
Budgeted expenses are $3,000 and actual expenses are $2,800. Find the variance and state whether it is favorable or unfavorable.
An employee says, “The schedule is confusing and I keep getting the shifts mixed up.” What is an active listening response that paraphrases and asks an open-ended clarifying question?
Example response: “It sounds like the schedule feels unclear to you and that’s causing missed shifts. Can you tell me which parts are most confusing so we can fix it?”
Describe a customer problem a new café could solve, what is one competitive advantage the café could use to outperform rivals?
Example: solve lack of healthy late-night food; advantage: locally-sourced organic menu or delivery partnerships
Explain what an NDA is and describe two workplace practices that help protect trade secrets beyond NDAs
NDA = nondisclosure agreement; other practices: restricted access to files, confidentiality training, need-to-know limits
Explain how tariffs could change the final price of an imported product and one strategy a company might use to adapt
A tariff raises import cost, which can raise retail price; company might localize production, find alternative suppliers, or absorb some cost
A maintenance service costs $50 every two months. Find the annual maintenance cost.
$300. $50 X 6 months (every other month) = $300.
Compare the missions and typical services offered by a professional association (e.g., AICPA) and organized labor (e.g., AFL-CIO). Explain how each may influence workplace policy differently.
Professional associations provide credentialing, standards, education, and networking; unions negotiate wages/conditions and collective rights — associations influence professional practice standards, unions influence compensation and working conditions.
Compare the startup, growth, and maturity stages of a business life cycle in terms of priorities for cash flow, hiring, and marketing strategy.
Startup focuses on product/market fit and conserving cash; growth emphasizes hiring and scaling operations and marketing; maturity focuses on efficiency, sustaining market share, and possibly innovation or renewa
An employee’s gross pay is subject to payroll deductions. Explain the difference between mandatory and voluntary deductions and give one example of each.
Mandatory = taxes (income tax withholding); Voluntary = employee retirement contributions or insurance premiums
Compare command, market, and mixed economic systems when it comes to who decides what goods are produced; give one real-world implication for entrepreneurs in each system.
Command = government decides (implication: entrepreneurs need government approval); Market = consumer demand drives production (implication: more room for startups); Mixed = market with regulation/support (implication: navigate compliance).
Compare preventive maintenance and emergency maintenance. Then describe how a manager should weigh repair cost against potential downtime and lost sales when deciding whether to repair or replace equipment
Preventive = scheduled to prevent failure; Emergency = after failure. Manager should compare repair cost + expected remaining life vs. replacement cost and consider downtime costs, lost sales, safety, and long-term reliability.