what is a laissez-faire leadership style?

leader has little to no involvement in day to day activities

What is cost plus pricing?

calculating how much each product costs then setting a mark up percentage

What is a tall structure?

communication takes long, narrow spans of control, many management tiers

If the general price level increases what happens to supply? - assuming that firms want to maxmise profits

supply increases alongside the increase in price level

What is a centralized structure?

control and decision making remains in the hands of the top managers

What does span of control stand for?

number of people directly under the supervision of a manager

What does chain of command stand for?

the line of communication from the top to the bottom of a hierarchy

What is a paternalistic leadership style?

leader decides what is best for individual, akin to a parent/child relation

the amount a producer is willing and able to produce at a set point in time

What does branding mean?

Giving a product or service distinctiveness and even personality

What is a matrix structure?

departments are intertwined through groups and teams linking everybody

the action of leading a group, person or organization

What is a democratic leadership style?

power focused within the whole group with greater group involvement

How do you calculate price elasticity of demand?

% change in quantity / % change in price

What is price skimming?

setting a high initial price then slowly decreasing it over time

What is job enrichment?

increasing the complexity of the task

What is a fringe benefit?

A additional reward not based around money given to a employee

What does promotion mean?

marketing mix that is persuading people to buy a product or service

Mcgregor theory Y is what?

Average worker enjoys work and takes responsiblity and organises themselves

What is piece rate pay?

worker is payed per item completed

Market equillibrium is what?

a state in which market supply and demand balance each other

What option is a demographic that would not affect demand?

None of the above as they all affect demand

What option will not reduce price elasticity?

Decreased product differentiation, Increased sales

What is penetration pricing?

setting a price lower than competitors on a new product

Mcgregor theory X is what?

Average worker is lazy and they need to be controlled and directed

What is predatory pricing?

setting prices low enough to force competitors out of business

actions intended to give employees more control over their working life

What did Elton Mayo believe, in regards to motivation?

social factors effect motivation not money or environment

What is a decentralized structure?

decision making power is given to workers lower down the hierarchy

What is psychological pricing?

Setting a price just below a value to create the illusion of a good price

What is an extension strategy?

a product is nearing its decline and the business wants to elongate it

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A level Edexcel Business Theme One

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Edexcel business questions for A Level on themes 1.2 through to 1.4 with concise and accurate answers.

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Questions 50

Answers

1
Elastically priced products are normally below 1 when calculated
True
False
2
where is the cash cow located on the boston matrix?
bottom right
top left
top right
bottom left
3
What stage is not part of the product life cycle?
Maturity
Introduction
Design
Growth
4
what is a laissez-faire leadership style?
leader has little to no involvement in day to day activities
voting is implemented on what and what not to do throughout the company
leader has a say in all actions in the company
one individual makes all decisions for others
5
What is cost plus pricing?
calculating how much each product costs then setting a mark up percentage
calculating how much you would like to make then choosing a price alongside
setting a price catagorically below the market average
making a loss on products to introduce yourself to the market
6
A flat structure has an wide span of control
False
True
7
Hygiene factors...
only provide motivation
provide either demotivation or motivation
neither motivate or demotivate
only provide demotivation
8
What is a tall structure?
communication is fast, wide spans of control, few management tiers
communication is fast, narrow spans of control, many management tiers
communication takes long, narrow spans of control, few management tiers
communication takes long, narrow spans of control, many management tiers
9
If the general price level increases what happens to supply? - assuming that firms want to maxmise profits
supply increases alongside the increase in price level
supply decreases alongside the price level to target a niche market
price level is pulled back down to prior levels
supply stays the same to increase the demand for the product
10
In the short term what is the most important factor affecting demand
Price
Customer choice
Quantity
Income
11
What is a centralized structure?
control and decision making remains in the hands of the lower levels
a democracy structure where majority decisions take place through voting
control and decision making remains in the hands of the top managers
control and decision making is evenly spread throughout the company
12
Competitive pricing is where you set your price at the market level or slightly discounted
False
True
13
What does span of control stand for?
number of people in total underneath a manager in the levels of hierarchy
number of people directly under the supervision of a manager
amount of workers in a company
amount of workers who are controlled throughout an entire company
14
What does chain of command stand for?
the line of communication from the middle to the bottom of a hierarchy
the line of communication taken per unit produced
the line of communication from the top to the bottom of a hierarchy
the line of communication for managers to get info
15
An autocratic leadership has the power with all individuals
True
False
16
What is a paternalistic leadership style?
leader decides what is best for company
leader decides whatever they want
leader cares for individual then leaves them to their own
leader decides what is best for individual, akin to a parent/child relation
17
What is in the top left quadrant of the boston matrix?
problem child
dog
cash cow
star products
18
What is supply?
the amount producers are willing and able to produce
the amount the public are willing and able to buy at a set point in time
the amount a producer is willing and able to produce at a set point in time
the amount you have stored
19
What YED does a inferior good have?
A negative YED
A positive YED
A YED less than 1.5
A YED more than 1.5
20
What does branding mean?
Labelling things
Making sure a product or service has a name
Giving a product or service distinctiveness and even personality
Giving a product or service more investment
21
What is a matrix structure?
lots of managerial levels with slow communication
departments are intertwined through groups and teams linking everybody
no departments or groups at all
departments are segregated with no groups or teams
22
What is leadership?
the action of leading a group, person or organization
the action of not being under anybodys control
the action of being under the control of a group, person or organization
bossing people about
23
What is a democratic leadership style?
power focused with one individual and little group involvement
power is with only a few individuals and there is some group involvement
power is with nobody and the system is a mess
power focused within the whole group with greater group involvement
24
Job enlargement is increasing the number of tasks of same capacity
False
True
25
How do you calculate price elasticity of demand?
% change in income / % change in quantity
% change in price / % change in income
% change in quantity / % change in price
% change in price / % change in quantity
26
DISCOM stands for : Decision, It depends on, Short/Long term, cost impact, other factors and most important point
False
True
27
What is price skimming?
setting a low initial price then slowly increasing it over time
setting a high initial price then slowly decreasing it over time
undercutting your competitors prices in the market
setting a normal price compared to competitors
28
What is job enrichment?
letting people do what they want on tasks
removing tasks entirely
increasing the amount of a task
increasing the complexity of the task
29
What is a fringe benefit?
More free time in the workspace
A additional reward not based around money given to a employee
A reward that is free such as a activity outside
A money allocated benefit
30
What does promotion mean?
marketing mix that is persuading people to buy a product or service
encouraging people to be like your brand
encouraging investment into your company
marketing mix that is persuading people to advertise a product or service
31
Social needs is at the top of the hirearchy of needs
True
False
32
Mcgregor theory Y is what?
Average worker is lazy and they need to be controlled and directed
Average worker does not enjoy work and does not take responsiblity/organise
Average worker enjoys work and takes responsiblity and organises themselves
Average worker is motivated and does not need control
33
What is piece rate pay?
worker is paid per hour that they work on an object
worker is paid depending on their attitude
worker is payed per item completed
worker is paid depending on what they negotiate
34
which one of these is not in the boston matrix?
dog
star products
cash cow
problem adult
35
Market equillibrium is what?
a state in which market supply and demand balance each other
a state in which market supply and demand are only slightly different
a state of supply and demand being negatively proportional
a state in which market price and quantity are different
36
What choice is not in the design mix?
Profit
Aethetics
Revenue
Function
37
What did Frederick Winslow Taylor believe, in regards to motivation?
social environment is the only motivator
Money is the only motivator
motivators or hygiene factors are the only contributers
the hierarchy of needs
38
This is a supply curve
True
False
39
What option is a demographic that would not affect demand?
Income
Size of household
Education
None of the above as they all affect demand
40
What option will not reduce price elasticity?
Increased product differentiation
Decreased product differentiation
Increased sales
Reduced competition
41
Which factor, directly, does not affect supply?
Physical constraints
Tax
External shocks
advertising
42
What is penetration pricing?
setting a price lower than competitors on a new product
setting a price initially lower then gradually above competitors
setting a price the same as competitors on a new product
setting a price higher than competitors on a new product
43
Mcgregor theory X is what?
Average worker is lazy and they need to be controlled and directed
Average worker enjoys work and takes responsiblity
Average worker is motivated and does not need control
Average worker does not enjoy work and does not take responsiblity
44
What is predatory pricing?
copying other companys changes in price
setting prices the exact same as competitors
setting prices low enough to force competitors out of business
setting prices just marginally below competitors
45
What is empowerment?
actions intended to give employees more control over their working life
actions intended to give employees less control over their working life
actions intended so that workers have zero control over their working life
actions intended so that workers have total control over their working life
46
What did Elton Mayo believe, in regards to motivation?
environment effects motivation primarily
money is the only motivator
hirearchy of needs is the only concept effecting motivation
social factors effect motivation not money or environment
47
What is a decentralized structure?
decision making power is given to one individual
decision making power is given to workers lower down the hierarchy
decision making power is given to everybody equally
all decisions are made by the board
48
What is psychological pricing?
Setting prices with lots of nines
Setting a price using whole numbers only to create the illusion good value
Setting a price just below a value to create the illusion of a good price
Setting a price depending on numbers that you like
49
What is an extension strategy?
when a product is invested in
a product is nearing its decline and the business wants to elongate it
when a product has further branding
when a product has less investment
50
Frederick Herzberg was from the NeoHuman school of thought
False
True

A level Edexcel Business Theme One Flashcards | StudBud