Business Management 1A Questions and Correct Answers
1. What role of business in society? ANSWER A business portrait a major role in society. It is a
system that transforms resources into a service or product, to satisfy one of the consumer's unlimited needs. The
products or services sold are also a way for the business to obtain profit. Firstly, business involves human activity
meaning, seeking a way to gain a profit on that business. Businesses require production. A transformation of
resources turning into a product or a service, to obtain a profit later one. Exchange is also very important to a
business, it is the relationship between the manufacturer and seller. There has to be a form of good communication
so, the there is no lack of information between them. Lastly, profit. Profit rewards individuals and the company, after
meetings people's needs. It is necessary to have a running business.
2. The multiplicity of human needs ANSWER Individuals have the constant stratification on
various needs but unfraternally, there are limited resources to fulfill one's needs and wants. This is way
numerous companies or
organizations tend to research and analyze the community satisfactions to pleasure them. Companies are always looking
on a way to make consumers happy while making a profit out of it.
3. Maslow's Hierarchy of Needs ANSWER physiological, safety, love/belonging, esteem, f-actualization
sel
4. Society's limited resources ANSWER Humans have a high tendency of wanting multiple things
like clothing, phone, home, etc. One of the problems we are facing is the limited amount of resources we
have, to fulfill all the
needs and wants we desire.
5. Important resources for a business ANSWER • Natural Resources - The production
factor of land (ex. Water, Land, Minerals, Metals. )
• Human Resources - The production factor of labor
(ex. Skilled people employed to create a product or service)
• Capital Resources - The production of assets
(ex. Buildings, machinery, cash registers. )
• Entrepreneurship - The production factor of an individual taking a risk to make a successful business
6. The needs satisfaction cycle ANSWER Entrepreneurs use certain resources combinations to
create a product or service for the community, to gain a profit ott of it. They can ask the community of services of
products they want and try to find a correct location of where this product or service will have the highest sells.
7. The economic principle (economic problem) ANSWER Due to humans wanting
unlimited resources, businesses try to find a way of how they can satisfy most of the community's needs, with
, Business Management 1A Questions and Correct Answers
very low resources. And, this is why there is an economic problem because, there are millions of needs and wants
from individuals but, with very
, Business Management 1A Questions and Correct Answers
limited resources to make the wants and needs come true. To try to solve this problem, they settled various questions
to try and solve this problem ANSWER
• Which products and services should be produced?
• Who should produce it?
• How should it be produced?
• For whom should it be produced?
8. The main economic system ANSWER 1. Market Economy ANSWER It is a free market economy but,
with some govern- ment influence. They are free of producing, opening which ever type of business or service but,
the government does have some type of say in it.
2. Command Economy ANSWER It is a very commanded form of economy. The government has a say in your business
meaning, they direct you and command you into making a business or service on their saying. There is no private
organizations, everything is controlled by the government.
3. Socialism ANSWER Is a mixture between a Market Economy and a Command Economy. Businesses can
operate with a free market, which they are free to operate how ever they would like but, government does
interfere by providing transportation to the community, health care, energy...
4. Mixed Economy ANSWER Is a mixture of all three forms of economy. It incomporate bits and pieaces of all of the
other form of economic systems.
9. The different types of organizations ANSWER • Business Organisations - They are private
organizations that are here to satisfy needs of the community to make a profit out of it and keep the business
flowing. This can only work if they can actually accomplish in satisifying the needs of the community.
• Government Organisations - For the government to interfere as little as possible to the economy. To only interfere
when it is to improve the conditions for the community. Such as, healthcare, transportation...
• Non-profit seeking Organizations - To satisfy needs of institutions whose main reason is to help the community and
not seek a profit out of it.
10. The purpose and tasks of business management ANSWER The purpose of business
management is to find a way into satisfy humans needs with a limited about of resources. Its purpose is also to
have a small output in it and to obtain a larger input factor.
11. What is business management ? ANSWER The direct control of a business or enterprise.
12. The seven different functional/management areas in a business ANSWER
1. General Management - Forming a relationship with organizations, form a type of organization.
2. Marketing Management - Understanding human behavior to make a market analysis for consumers.
, Business Management 1A Questions and Correct Answers
3. Financial Management - Influence strategies with the amount of capital they have.
4. Production and Operations Management - Solving location problems.
5. Purchasing Management - Purchasing stock and look for competition in the market.
6. Human Resources Management - Employee behavior.
7. Public Relations Management - Building a relationship with the external part of the business such as its consumers.
To communicate with them of what products they want...
13. An Entrepreneur ANSWER An entrepreneur is someone who forms a business to obtain a profit. They
are the ones who decide who, what and for whom the product or service should be produced. Entrepreneur start a
business in the intention of making a profit. They take many risks, if the business does not work or succeed, they will
take full responsibility.
14. Entrepreneurship ANSWER Entrepreneurship is the process of creating and building the idea that was
created for the business. Entrepreneurship does not have a mindset of the business failing, they are determined that
the business will succeed at no cost. Also, entrepreneurship is part of the four main factor of production land, labor,
capital and entrepreneurship.
15. An entrepreneur is described as the following ANSWER ANSWER • Creativ
• Innovative
• Identify opportunities
• Find resources
• Take financial risks
• Bring change, growth and wealth in the economy
• Re-energies economies and create jobs
• Start, manage and grow substantial small business
16. The renaissance of entrepreneurship ANSWER Entrepreneurship is becoming more know
thought many countries. Entrepreneur generate many jobs for society. Due to a high rate of unemployment in many
countries, many citizens decide to create or sell items to get capital for survival. This is why in many third world countries,
there are many people trying to sell a product or a service to obtain a profit.
17. Entrepreneurship in SA ANSWER The South African economy has decline over the years. One of the
reasons is due to a high level of unemployment rate and the country's labor law. The other reason is that SA does not
have enough people involved in small business which leads to no employment for people that do not have a job.
18. The role of entrepreneurs and small business owners in society ANSWER
Entrepreneurs satisfy the needs and wants of society by mobilizing the countries human, natural and financial
resources. This process
1. What role of business in society? ANSWER A business portrait a major role in society. It is a
system that transforms resources into a service or product, to satisfy one of the consumer's unlimited needs. The
products or services sold are also a way for the business to obtain profit. Firstly, business involves human activity
meaning, seeking a way to gain a profit on that business. Businesses require production. A transformation of
resources turning into a product or a service, to obtain a profit later one. Exchange is also very important to a
business, it is the relationship between the manufacturer and seller. There has to be a form of good communication
so, the there is no lack of information between them. Lastly, profit. Profit rewards individuals and the company, after
meetings people's needs. It is necessary to have a running business.
2. The multiplicity of human needs ANSWER Individuals have the constant stratification on
various needs but unfraternally, there are limited resources to fulfill one's needs and wants. This is way
numerous companies or
organizations tend to research and analyze the community satisfactions to pleasure them. Companies are always looking
on a way to make consumers happy while making a profit out of it.
3. Maslow's Hierarchy of Needs ANSWER physiological, safety, love/belonging, esteem, f-actualization
sel
4. Society's limited resources ANSWER Humans have a high tendency of wanting multiple things
like clothing, phone, home, etc. One of the problems we are facing is the limited amount of resources we
have, to fulfill all the
needs and wants we desire.
5. Important resources for a business ANSWER • Natural Resources - The production
factor of land (ex. Water, Land, Minerals, Metals. )
• Human Resources - The production factor of labor
(ex. Skilled people employed to create a product or service)
• Capital Resources - The production of assets
(ex. Buildings, machinery, cash registers. )
• Entrepreneurship - The production factor of an individual taking a risk to make a successful business
6. The needs satisfaction cycle ANSWER Entrepreneurs use certain resources combinations to
create a product or service for the community, to gain a profit ott of it. They can ask the community of services of
products they want and try to find a correct location of where this product or service will have the highest sells.
7. The economic principle (economic problem) ANSWER Due to humans wanting
unlimited resources, businesses try to find a way of how they can satisfy most of the community's needs, with
, Business Management 1A Questions and Correct Answers
very low resources. And, this is why there is an economic problem because, there are millions of needs and wants
from individuals but, with very
, Business Management 1A Questions and Correct Answers
limited resources to make the wants and needs come true. To try to solve this problem, they settled various questions
to try and solve this problem ANSWER
• Which products and services should be produced?
• Who should produce it?
• How should it be produced?
• For whom should it be produced?
8. The main economic system ANSWER 1. Market Economy ANSWER It is a free market economy but,
with some govern- ment influence. They are free of producing, opening which ever type of business or service but,
the government does have some type of say in it.
2. Command Economy ANSWER It is a very commanded form of economy. The government has a say in your business
meaning, they direct you and command you into making a business or service on their saying. There is no private
organizations, everything is controlled by the government.
3. Socialism ANSWER Is a mixture between a Market Economy and a Command Economy. Businesses can
operate with a free market, which they are free to operate how ever they would like but, government does
interfere by providing transportation to the community, health care, energy...
4. Mixed Economy ANSWER Is a mixture of all three forms of economy. It incomporate bits and pieaces of all of the
other form of economic systems.
9. The different types of organizations ANSWER • Business Organisations - They are private
organizations that are here to satisfy needs of the community to make a profit out of it and keep the business
flowing. This can only work if they can actually accomplish in satisifying the needs of the community.
• Government Organisations - For the government to interfere as little as possible to the economy. To only interfere
when it is to improve the conditions for the community. Such as, healthcare, transportation...
• Non-profit seeking Organizations - To satisfy needs of institutions whose main reason is to help the community and
not seek a profit out of it.
10. The purpose and tasks of business management ANSWER The purpose of business
management is to find a way into satisfy humans needs with a limited about of resources. Its purpose is also to
have a small output in it and to obtain a larger input factor.
11. What is business management ? ANSWER The direct control of a business or enterprise.
12. The seven different functional/management areas in a business ANSWER
1. General Management - Forming a relationship with organizations, form a type of organization.
2. Marketing Management - Understanding human behavior to make a market analysis for consumers.
, Business Management 1A Questions and Correct Answers
3. Financial Management - Influence strategies with the amount of capital they have.
4. Production and Operations Management - Solving location problems.
5. Purchasing Management - Purchasing stock and look for competition in the market.
6. Human Resources Management - Employee behavior.
7. Public Relations Management - Building a relationship with the external part of the business such as its consumers.
To communicate with them of what products they want...
13. An Entrepreneur ANSWER An entrepreneur is someone who forms a business to obtain a profit. They
are the ones who decide who, what and for whom the product or service should be produced. Entrepreneur start a
business in the intention of making a profit. They take many risks, if the business does not work or succeed, they will
take full responsibility.
14. Entrepreneurship ANSWER Entrepreneurship is the process of creating and building the idea that was
created for the business. Entrepreneurship does not have a mindset of the business failing, they are determined that
the business will succeed at no cost. Also, entrepreneurship is part of the four main factor of production land, labor,
capital and entrepreneurship.
15. An entrepreneur is described as the following ANSWER ANSWER • Creativ
• Innovative
• Identify opportunities
• Find resources
• Take financial risks
• Bring change, growth and wealth in the economy
• Re-energies economies and create jobs
• Start, manage and grow substantial small business
16. The renaissance of entrepreneurship ANSWER Entrepreneurship is becoming more know
thought many countries. Entrepreneur generate many jobs for society. Due to a high rate of unemployment in many
countries, many citizens decide to create or sell items to get capital for survival. This is why in many third world countries,
there are many people trying to sell a product or a service to obtain a profit.
17. Entrepreneurship in SA ANSWER The South African economy has decline over the years. One of the
reasons is due to a high level of unemployment rate and the country's labor law. The other reason is that SA does not
have enough people involved in small business which leads to no employment for people that do not have a job.
18. The role of entrepreneurs and small business owners in society ANSWER
Entrepreneurs satisfy the needs and wants of society by mobilizing the countries human, natural and financial
resources. This process
