Entrepreneurship

Entrepreneurship Test Review 2012

1 • Buildings, equipment, tools, and other goods needed to produce a product, or the money used to purchase these items. Capital

2 • What does ROI stand for? Return On Investment

1 • A market that only has one producer, and has no competition. A company that has a monopoly is able to charge higher prices because consumers have nowhere else to go. Monopoly

1 • Buying goods from other countries to sell in your own country Importing

2 • The process used to test a business concept. Feasibility Analysis

1 • The money leftover after all the expenses of a business have been deducted from the income. Profit

2 • Point at which supply equals demand, neither leaving a surplus or a shortage. Equilibrium

1 • When demand is higher than supply. It allows businesses to increase prices. Scarcity

2 • The quantity of goods or services that consumers are willing and able to buy Demand

1 • Legal agreement to market a company’s products or services in a particular area. Franchise

1 • The process of getting into and operating one’s own business. Entrepreneurship

2 • Making goods in your own country and sending them to other countries Exporting

1 • When several businesses strive for the same customer or market. Competition

2 • Watchdog for consumers over products that may be hazardous. Consumer Product Safety Commission

1 • Protects the rights of employees age, race, color or national origin, religion, gender or physical challenge. Equal Employment Opportunity Commission

1 • Minimum wage and maximum working hours are identified. Children under 16 cannot work full-time except if employed by parents. Fair Labors Standard Act

2 • Ensures safe and healthy working conditions for employees. Occupational Safety & Health Act

2 • Requires manufacturers truthfully label products, showing all raw materials used in the production process. Fair Packaging and Labeling Act

1 • The specific market segment where all of a business’s activities are directed. Target Market

2 • Statistical data that describes a given market by criteria such as age, gender, and income. Demographics

1 • Statistical data that describes a given market by criteria such as personality, opinions, and lifestyle. Psychographics

2 • Study of the market based on where customers live by region, state, city, and/or area. Geographic's

1 • Customers will purchase products or services from companies they know or have experience with. Customers have knowledge of and personal experiences with the actual goods or services. Buying Characteristics

2 • Expresses specific goals for the company. Mission Statement

2 • This Association helps assist Americans in starting a business. Small Business Association (SBA)

1 • Businesses respond to scarcity in the marketplace by doing what? Increasing Prices

2 • This Act makes it illegal for businesses to create monopolies. Sherman Anti-Trust Act

1 • If you invested $20,000 and you want a 20% return on your investment, what would that amount be? $4,000

2 • Provides legal rights to market a large chain & company’s products in a specific geographic area. Franchise

1 • When new competitors enter a market and the supply of goods increases what happens to the price of that good? Price Decreases

2 • Individuals who undertake the creation, organization and ownership of a business. Entrepreneur

1 • Primary reason people start a business? Profit Motive

2 • It is important that when business owners are participating in business overseas that they watch the: Currency Exchange Rate

1 • Pricing that happens when consumers buy all products supplied leaving neither a surplus nor a shortage. Equilibrium Pricing

2 • It is considered what when you let your friends sneak into the movie for free if you are working at the movie theater. Unethical

1 • Consists of consumers commitment to repurchase or otherwise continue using the brand and can be demonstrated by repeated buying of a product. Brand Loyalty

2 • Evaluating a competitors product selection, quality, promotional activities and pricing policies provides info about their? Strengths and Weaknesses

1 • What a company must identify in order to sell goods or services. Target Market

2 • Data already collected Secondary Data

1 • Research collected for the first time and relates directly to the collector’s study. Primary Data

2 • A group of people whose opinions are studied to determine the opinions/buying preferences of a larger population. Focus Group

2 • 2 women of different ages, different income levels & different levels of education buy the same coffee. What is this an example of? Niche Marketing

1 • Inventory used to keep storage space to a minimum and costs low. Perpetual Inventory

2 • No matter what type of inventory system a company uses they should periodically conduct a ? Physical Inventory count

1 • Picture of prospective customers Customer Profile

1 • Cheapest way to advertise a school event Flyers

2 • Advertising and Promotional activities are all considered what kind of expenses? Operating Expenses

1 • 1st Step in Market Research Identify Your Information Needs

2 • When people buy based on others’ opinions. What is this called? Buying Motives

Entrepreneurship