
2108A Revision (A2)
Authored by Wai Sum Tai
Business
1st - 3rd Grade
Used 1+ times

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40 questions
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1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which one of the following is NOT considered to be a likely benefit
of privatisation?
Raises revenue for the state to fund other activities.
Subjects the business to market forces and, therefore, improves efficiency.
Enables the business to secure funds from stock markets.
Increases the opportunities for making workers redundant.
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which one of the following is NOT considered to be a likely benefit
of free trade?
It reduces the exposure of an economy to adverse changes in the world economy.
Specialisation can lead to economies of scale.
Increased competition encourages domestic industries to reduce costs.
There is increased consumer choice.
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
One of the claimed benefits to a country of a multinational business
operating there:
It will increase the level of imports into that country.
Foreign managers will be employed.
Total output in the economy should increase.
The profits of the multinational may be taken out of the country.
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which one of these examples of external growth is a form of horizontal integration?
An airline takes over an insurance company.
A mining company takes over a manufacturer of earth moving equipment.
A bank mergers with another bank.
A clothing manufacturer mergers with a clothing retail business.
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which one of these examples of external growth is a form of forward vertical integration?
An airline takes over an insurance company.
A clothing manufacturer mergers with a clothing retail business.
A bank mergers with another bank.
A mining company takes over a manufacturer of earth moving equipment.
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
One of the benefits that is often claimed to result from integration between
two businesses is:
redundancies
bureaucracy
synergy
diseconomies
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
The most likely reason why some mergers and takeovers fail to result in the
expected benefits is:
cultural clash
economies of scale
internal growth is slow
higher coordination
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