Business Basics Revision

What is a business primarily formed to do?

• Reduce costs by eliminating competition.

• Focus solely on employee satisfaction.

• Provide free services to the community.

• Generate profit by providing goods or services.

Name one goal a business might have besides making a profit.

• Improve customer satisfaction

• Reduce employee turnover

• Expand product lines

• Increase market share

What resources do businesses use to produce goods or services?

• Financial reports

• Marketing strategies

• Customer feedback

• Raw materials, labor, capital, and technology.

How can a business maximize its sales?

• Limit product availability to create exclusivity.

• Focus solely on social media presence.

• Enhance product quality and optimize pricing.

• Reduce marketing efforts and cut costs.

Why might an owner desire to be in business?

• To gain social status without effort.

• To avoid paying taxes on personal income.

• To achieve financial independence and personal fulfillment.

• To have more free time and less responsibility.

What is the primary distinction between profit-making businesses and non-profit organizations?

• Non-profit organizations do not provide any services.

• Profit-making businesses primarily seek to make a profit.

• Non-profit organizations aim to generate profit.

• Profit-making businesses focus on humanitarian efforts.

Which of the following is an example of a non-profit organization?

• A tech startup developing new software.

• A corporation focused on maximizing shareholder value.

• A charity providing food for the homeless.

• A retail store selling consumer goods.

What is a common goal of non-profit organizations?

• To compete in the market for financial gain.

• To provide services for the benefit of mankind.

• To maximize profits for shareholders.

• To reduce operational costs at all costs.

What role does advertising play in increasing a business's sales?

• It helps create brand awareness and attract customers.

• It reduces the need for quality products.

• It focuses solely on customer service.

• It eliminates competition in the market.

How do taxes and fees from businesses benefit the government?

• They are used to subsidize private businesses.

• They reduce the need for government regulation.

• They provide funding for public services and infrastructure.

• They increase the prices of goods and services.