Business Dynamics

• Which of the following dimensions of a business environment embodies the values, attitudes, customs, and beliefs shared by groups of people?

  The social environment
• In the context of the history of American business, which of the following statements is true of the marketing era?

  The balance of power shifted away from producers and toward consumers.
• In the context of a business environment, computers, telecommunications, and other digital tools are considered to be part of the _____.

  technological environment
• In the context of factors of production, which of the following is a natural resource?

  Land
• In the context of the history of American business, which of the following statements is true of the production era?

  The assembly line became standard across major manufacturing industries.
• Which of the following is a characteristic of entrepreneurs?

  They risk their time, money, and other resources to start and manage their business.
• Which of the following statements is true of profit in a business?

  It is the financial reward that comes from starting and running a business.
• When a business brings in less money than it needs to cover expenses, it incurs a__________.

  loss
• Which of the following factors is most likely to be covered by the social environment dimension of a business?

  Population size
• In this weeks video, the speaker suggested that the function of automation in today's business world is to:

  to create wealth by allow us to do more work in less time
• During a period of inflation in the United States, the Federal Reserve sells treasury bonds. Buyers of these bonds write checks to the Fed, and the Fed cashes these checks from banks. Given this information, the banks will most likely:

  cut back on the loans they make.
• In the context of monetary policy, if the Fed decreases the reserve requirement, _____.

  there will be more loans available
• _____ are market structures with one company as the supplier of a product because the nature of that product makes a single supplier more efficient than multiple, competing ones.

  Natural monopolies
• In the context of open market operations, when inflation is a concern, the Fed sells securities to buyers who write checks to the Fed to pay for securities they bought, and the Fed withdraws these funds from banks. With fewer funds, _____.

  credit becomes tighter
• Macroeconomics involves the study of:

  the gross domestic product of a country.
• During a period of grave financial crisis in the United States, Congress is pressurized to raise the limit on the maximum amount of money the government can borrow. Congress increases the limit on the condition that it will implement sharp tax hikes and across-the-board spending cuts to compensate for the raise and to ensure that the overall budget deficit decreases. In this scenario, the measures implemented by Congress will most likely create:


  the fiscal cliff.
• Which of the following is a negative factor that affects socialist economic systems?

  Inefficiencies and corruption
• __________is a form of unemployment that involves layoffs during recessions

  Cyclical
• A(n) _____ is a structure for allocating limited resources.

  economic system
• Which of the following is a difference between inflation and deflation?

  Inflation is a period of rising average prices across the economy, whereas deflation is a period of falling average prices across the economy.
• In the context of global trade, which of the following statements is true of balance of payments?

  It includes foreign borrowing and lending.
• Who among the following is most likely to benefit in a case where there is a weak dollar against a euro?

  John is an American who exports goods to Europe.
• In the context of international trade, which of the following companies is facing the barrier of legal differences?

  An Asian company that can only import a limited amount of crude oil from an Arab country because of international trade restrictions
• Which of the following countries most likely has a comparative advantage?

  An Asian country that produces quality automobiles with little opportunity cost compared to other countries
• In the context of the strategies for reaching global markets, which of the following is a key risk of foreign outsourcing?

  Involvement of social responsibility
• Trade restrictions were created to:

  protect national security interests.
• __________refers to selling products in foreign nations that have been produced or grown domestically.

  Exporting
• The basic mission of the _____ is to promote global economic cooperation and stable growth.

  International Monetary Fund
• Which of the following strategies for reaching global markets is a specialized type of licensing?

  Foreign franchising
• In the context of international trade restrictions, _____ are limitations on the amount of specific products that may be imported from certain countries during a given time period.

  quotas
• In the context of creating and delivering successful verbal presentations, which of the following statements is true of dynamic delivery?

  It begins and ends with preparation
• Who among the following individuals uses nonverbal communication?

  Herbert, who maintains eye contact with his employees while talking to them
• __________is a form of communication that does not involve the use words.

  Nonverbal communication
• Which of the following communication channels should ideally be used when you need to reach a large audience with an important message?

  In-person presentation
• __________has a high channel richness, and especially with state-of-the-art equipment, it conveys much of the richness of actually being there.

  Videoconferencing
• Which of the following scenarios exemplifies a nonverbal communication that is most likely to have a negative impact on the outcome of a conversation?

  Rudolph fidgets frequently when he delivers a PowerPoint presentation to his sales team.
• Which of the following communication channels should ideally be used when the content is uncontroversial and a quick response regarding relatively simple issues is required?

  Texting
• When writing high-impact messages, a _____ is an invaluable tool that you can use to engage your reader's attention whenever you have more than one of anything in your writing.

  bulleted list
• In the context of active listening, one of the dos for better listening is the use of _____.

  nonverbal communication
• Which of the following communication channels should ideally be used when you must communicate lengthy or detailed uncontroversial information?

  Memos