_____ are processes, benchmarks, or components of the business that are essential for
the business to be profitable and competitive in its market.
A. IPOs
B. CSFs
C. ESOPs
D. BRIE
Danielle, a graduate in fashion technology, always found it tough to find clothes for her
as she belonged to the category of plus-size. Hence, she launched her clothing brand
Taurus Trends that catered to the needs of plus-size and extremely tall women. In
catering to the clothing needs of plus-size women, Danielle has typically adopted a(n)
_____ marketing strategy.
A. differentiated
B. undifferentiated
C. mass
D. concentrated
Which of the following statements is true of a mission statement?
A. It describes the major competitive advantages of a firm.
B. It is a summary of the business, its business model, and immediate goals.
C. It is a descriptive statement of profits made by a firm.
D. It is a 30 second action-oriented description of a business.
Which of the following is true of imitation?
A. It does not involve patterning a business on existing firms.
B. It does not match the precision or completeness of copying seen in franchising.
C. It involves the creation of new products or services which have no competitors.
D. It results in the creation of previously unseen products or services.
Virtual instant global entrepreneurship refers to:
A. the transformation of a high-growth venture into a small business.
B. a person becoming an owner by inheriting or getting a stake in a family business.
C. the way that newly created goods, services, or firms hurt existing goods, services, or
firms.
D. a process that uses the Internet to quickly create businesses with a worldwide reach.
A(n) _____ is a permission from a government organization to act differently than what
the laws state.
A. covenant
B. easement
C. variance
D. business pass
Which of the following is a recommended fair personnel policy guideline across family
and non-family members?
A. Owners should compare the family member hired to the nonfamily member who was
not hired for a given position.
B. Owners should not hold expectations that their family should work longer and harder
than anyone else, because it is the family’s business.
C. Owners should have clearly differentiated personnel policies for family and
non-family members.
D. Owners should let family and nonfamily members pick and choose from a set of
privileges or benefits.
Which of the following holds true for product distribution franchising?
A. It provides the franchisee with specific brand named products, which are resold by
the franchisee in a specified territory.
B. It provides an organization through which independent businesses may combine
resources.
C. It is an agreement that provides only the rights to use the franchisor’s trade name
and/or trademarks.
D. It is an agreement that provides a complete business format.
Small businesses use the periodic inventory method because it:
A. gives instant access to accurate inventory records.
B. records the receipt and sale of each item as it occurs.
C. meets the requirements of local and federal taxing agencies.
D. uses bar codes that are unique to each item of inventory.
Which of the following is most likely to be true of signs as a form of advertising?
A. They must be large enough to read by passing traffic.
B. They generally contain the balance sheet of the company.
C. They describe the competitive strategies of the company.
D. They include stories of customers whose problems were solved.
An endgame strategy in which the owner closes down a business is called:
A. IPO.
B. ESOP.
C. consolidation.
D. termination.
_____ is an accounting approach based on specific accounting requirements set by
governmental taxing agencies.
A. Tax accounting
B. Managerial accounting
C. Benchmarking
D. Forensic accounting