Duplicate of 1.1 - Enterprise and Entrepreneurship

Question 1

A start up is more likely to fail if:

Accepted Answer

The ownner has no experience

Question 2

Why do new ideas come about?

Accepted Answer

There is a gap in the market

Question 3

Which of the following do customers want...

Accepted Answer

Quality products, Convenience, Choice, Competitive prices

Question 4

The formula for profit is...

Accepted Answer

Total revenue - Total costs

Question 5

Why do business ideas come about?

Accepted Answer

Changes in technology

Question 6

A fixed cost is...

Accepted Answer

A cost that doesnt change according to output

Question 7

A sole trader needs to pay what on his profits

Accepted Answer

Income tax

Question 8

Which one of the following is an example of a service?

Accepted Answer

Train journey

Question 9

Why is a 'lack of security' a busines risk for a business owner?

Accepted Answer

Due to the insecurity of sales i.e. demand can fluctuate

Question 10

Why is adding value important?

Accepted Answer

Increases a firms' profit margin, Helps create a loyal customer base, You can charge a 'premium price'

Question 11

Why is added value important to the survival of a business?

Accepted Answer

Negative value added is unlikely to make enough to pay costs

Question 12

What does 'business rewards' mean?

Accepted Answer

The benefits of having a business

Question 13

Which two of the following might be a source of added value for a farming business?

Accepted Answer

Quality of products grown on the farm, Speed of delivery from harvesting to the customer

Question 14

How many shops do you think closed in the UK Jan – June 2016?

Accepted Answer

2,656

Question 15

Which of these might be a sign that a business is likely to fail?

Accepted Answer

New customers do not return

Question 16

How can a business reduce its business risk?

Accepted Answer

Switch to a different business ownership model

Question 17

A business makes cakes for parties and weddings. Which two resources will it use in production?

Accepted Answer

Labour, Flour

Question 18

An example of a variable cost is...

Accepted Answer

Material costs

Question 19

Can you identify the obsolete product?

Accepted Answer

Type writer

Question 20

Which one of the following is a method to add value?

Accepted Answer

Branding, USP, Convenience, Quality

Question 21

Which one is an example of a want?

Accepted Answer

Watch

Question 22

Which one of these is a tangible product?

Accepted Answer

I phone

Question 23

The formula for total revenue is...

Accepted Answer

Price * Quantity sold

Question 24

What is the purpose of business activity?

Accepted Answer

To produce goods and services

Question 25

What is an obsolete product?

Accepted Answer

A product that is no longer use or out of date

Question 26

Why does a market change rapidly?

Accepted Answer

External shock, New rivals enter a market, Nature of the product/service, Customers develop new needs and wants

Question 27

What is the definition of a product?

Accepted Answer

Anything that is capable of satisfying customer needs

Question 28

Which one is an example of a risk for a sole trader?

Accepted Answer

Unlimited liability

Duplicate of 1.1 - Enterprise and Entrepreneurship

Questions 28

Duplicate of 1.1 - Enterprise and Entrepreneurship

Questions 28