MGMT 2150 Final Exam questions well
answered graded A+
The Benefits of Studying Business - correct answer ✔✔ (1) More fulfilling careers
(2) Improved management skills
(3) Greater customer insights
(4) Stronger communities
The Benefits of Business to Society - correct answer ✔✔ (1) Offering valuable goods and
services - satisfies customer needs
(2) Provides employment - creates jobs
(3) Improving the quality of life - producing products customers need
Concerns about the impact of business - correct answer ✔✔ (1) Health and Safety Risks - unsafe
materials
(2) Environmental Damage - unsustainable use of resources
(3) Social Disruption - business profits at expense of precarious work
5 Factors of the business environment - correct answer ✔✔ (1) Economic - size and health of
economy must be considered when making decisions
(2) Competitive - high levels of competition force businesses to cut costs, develop new products,
increase marketing efforts
, (3) Global - access to global markets increase competition and need to enhance skills
(4) Technology - technological advances have changed how business produce and distribute
goods
(5) Social - changes in demographics influence what companies offer
Types of Economic Systems - correct answer ✔✔ Capitalism: individuals own and operate
majority of businesses
Free-Market Economy: businesses and individuals decide what to produce and buy
- the market determines price and quantities sold
Mixed Economy: most land and businesses are privately owned but with various levels of
government intervention
Command Economy: the government decides what goods and products will be produced
Socialism: key industries are owned and controlled by the government
Communism: all property and profits are owned by the government, which then decides what
goods and services will be produced
Degrees of Competition - correct answer ✔✔ Perfect Competition: many sellers and buyers, no
one is powerful enough to affect prices
- ex. corn, wheat, peanuts
answered graded A+
The Benefits of Studying Business - correct answer ✔✔ (1) More fulfilling careers
(2) Improved management skills
(3) Greater customer insights
(4) Stronger communities
The Benefits of Business to Society - correct answer ✔✔ (1) Offering valuable goods and
services - satisfies customer needs
(2) Provides employment - creates jobs
(3) Improving the quality of life - producing products customers need
Concerns about the impact of business - correct answer ✔✔ (1) Health and Safety Risks - unsafe
materials
(2) Environmental Damage - unsustainable use of resources
(3) Social Disruption - business profits at expense of precarious work
5 Factors of the business environment - correct answer ✔✔ (1) Economic - size and health of
economy must be considered when making decisions
(2) Competitive - high levels of competition force businesses to cut costs, develop new products,
increase marketing efforts
, (3) Global - access to global markets increase competition and need to enhance skills
(4) Technology - technological advances have changed how business produce and distribute
goods
(5) Social - changes in demographics influence what companies offer
Types of Economic Systems - correct answer ✔✔ Capitalism: individuals own and operate
majority of businesses
Free-Market Economy: businesses and individuals decide what to produce and buy
- the market determines price and quantities sold
Mixed Economy: most land and businesses are privately owned but with various levels of
government intervention
Command Economy: the government decides what goods and products will be produced
Socialism: key industries are owned and controlled by the government
Communism: all property and profits are owned by the government, which then decides what
goods and services will be produced
Degrees of Competition - correct answer ✔✔ Perfect Competition: many sellers and buyers, no
one is powerful enough to affect prices
- ex. corn, wheat, peanuts
