MGMT CH 3-5

Question 1

Person or company that buys the rights to use a brand.

Accepted Answer

franchisee

Question 2

Business buys large quantities of products directly from producers-sells the products in smaller quantities to retailers

Accepted Answer

wholesaler

Question 3

All the business activity involved in making, buying, and selling product within a nation’s borders.

Accepted Answer

domestic business

Question 4

The business activity involved in making, buying, and selling product within a nation’s borders is ____ business.

Accepted Answer

domestic

Question 5

Currency with an exchange rate set by the market forces of supply and demand in the foreign exchange market.

Accepted Answer

floating currency

Question 6

Amount of money that comes in to a country, minus the total amount of money that goes out for a specific period of time

Accepted Answer

balance of payments

Question 7

What is the goal of the Occupational Safety Health Association (OSHA)?

Accepted Answer

To assure safe and healthful working conditions for employees

Question 8

The goods and services produced within a country’s borders and sold in another country are ____.

Accepted Answer

exports

Question 9

Having people from different backgrounds, cultures, or demographics coming together in a group.

Accepted Answer

diversity

Question 10

The cost to convert one currency into another.

Accepted Answer

foreign exchange rate

Question 11

The shared beliefs, customs, practices, and social behavior of a particular group or nation is the ____.

Accepted Answer

culture

Question 12

A share of ownership in a corporation is called a____.

Accepted Answer

stock

Question 13

____ means that a person is legally able to enter into a binding agreement.

Accepted Answer

Capacity

Question 14

When a country specializes in producing a product at which it is relatively more efficient.

Accepted Answer

comparative advantage

Question 15

Principles that help define appropriate behavior in a business setting are ____.

Accepted Answer

business ethics

Question 16

A government tax on imported goods.

Accepted Answer

tariff

Question 17

The numeric system used to classify businesses and collect economic statistics is called the ____.

Accepted Answer

North American Industry Classification System (NAICS)

Question 18

Planning and managing the flow of goods, services, and people to a destination is ____.

Accepted Answer

logistics

Question 19

When a country can produce goods more efficiently and at a lower cost than another country.

Accepted Answer

absolute advantage

Question 20

A ____ is an association of two or more persons who co-own a business with the objective of earning a profit.

Accepted Answer

partnership

Question 21

A(n) ____ exists to serve some public purpose.

Accepted Answer

not-for-profit organization

Question 22

____ is when a business sells the right to manufacture its products or use its trademark.

Accepted Answer

Licensing

Question 23

Parent company that owns a chain and the brand.

Accepted Answer

franchisor

Question 24

The difference between a nation’s exports and its imports.

Accepted Answer

balance of trade

Question 25

A ____ is a document that dictates how business should be conducted.

Accepted Answer

code of ethics

Question 26

Negative balance of trade.

Accepted Answer

trade deficit

Question 27

An embargo that affects only certain goods.

Accepted Answer

trade sanction

Question 28

Promoting the welfare of others is called ____.

Accepted Answer

philanthropy

Question 29

A ____ is a legally binding agreement between two or more people or businesses.

Accepted Answer

contract

Question 30

Goods and services that are produced within a country’s borders and sold in another country.

Accepted Answer

exports

Question 31

Shared beliefs, customs, practices, and social behavior of a particular group or nation.

Accepted Answer

culture

MGMT CH 3-5

Questions 31

MGMT CH 3-5

Questions 31