Bus Intro: Chapter 1 Key Terms

6 Written Questions

1. an international economic and political movement designed to help goods and services flow more freely across international boundaries
2. business-like establishments that employ people and produce goods and services with the fundamental goal of contributing to the community rather than generating financial gain
3. any activity that provides goods and services in an effort to earn a profit
4. any tools-especially computers, telecommunications, and other digital products-that businesses can use to become more efficient and effective
5. when a business incurs expenses that are greater than revenue
6. the overall sense of well being experiences by either an individual or a group

6 Multiple Choice Questions

1. the rate at which a new product moves from conception to commercialization
   1. e-commerce
   2. speed-to-market
   3. profit
   4. free trade
2. People who risk their time, money, and other resources to start and manage businesses
   1. demographics
   2. entrepreneurs
   3. nonprofits
   4. business
3. the relationship between the price of a good or a service and the benefits that it offers its customers.
   1. value
   2. business
   3. loss
   4. profit
4. the setting in which a business operates.
   1. speed-to-market
   2. business
   3. business environment
   4. business technology
5. the service that allows computer users to easily access and share information on the internet in the form of text, graphics, video, and animation
   1. world wide web
   2. profit
   3. free trade
   4. nonprofits
6. business transactions conducted online, typically via the internet
   1. value
   2. e-commerce
   3. profit
   4. free trade

5 True/False Questions

1. factors of production → four fundamental elements-natural resources, capital, human resources, and entrepreneurship-that businesses need to achieve their objectives

   True        False

2. profit → business-like establishments that employ people and produce goods and services with the fundamental goal of contributing to the community rather than generating financial gain

   True        False

3. standard of living → the overall sense of well being experiences by either an individual or a group

   True        False

4. demographics → business-like establishments that employ people and produce goods and services with the fundamental goal of contributing to the community rather than generating financial gain

   True        False

5. World Trade Organization → an organization formed to promote free trade to help lower tariffs

   True        False