Introduction to Business Study Guides Ch. 1-22
Study Guide - Chapter 1
- What is a business?
- Define profit, loss, revenue, and expense.
- How do businesses affect people's standard of living and quality of life?
- What is an entrepreneur and why is this field growing so fast?
- What is risk and why do people (or businesses) take risk?
- Define stakeholders.
- Explain the five factors of production.
Study Guide #2
- What is economics?
- List the pros/cons of capitalism, communism and socialism.
- What is a mixed economy?
- Explain how the Free Market System works and list the four basic rights.
- Define productivity.
- Explain suppy, demand and equilibrium price.
- Explain what happens to supply and demand as price changes.
- Describe the Key Economic Indicators and explain why they are important.
- Define Gross Domestic Product, unemployment rate, CPI, and PPI.
- What is the difference between a recession and a depression?
- How does a recession affect the economy?
- Explain fiscal policy and the national debt.
- Explain monetary policy.
Study Guide #3
- Why trade with other nations?
- What is free trade?
- Define importing and exporting.
- Explain the comparative advantage theory.
- What is balance of trade? Trade deficit? Dumping?
- Describe each of the strategies for reaching global markets.
- Define bartering and countertrading.
- Define exchange rate.
- Explain the hurdles of trading in global markets.
- Explain the purpose of trade protectionism - import quotas, embargo, tariffs.
- Explain the Foreign Corrupt practices Act of 1978.
- Describe Free Trade Agreements.
- Explain the role of the World Trade Organization?
- Compare the European Union common market and NAFTA.
Study Guide #4
- What is social responsibility? Who decides how socially responsible a firm
- What is Ethics?
- Does legal=ethical?
- What 3 questions should you ask yourself to help decide if something is
- What is management's role in setting ethical standards?
- How do corporations set ethical standards?
- Compare Compliance-based ethics codes and Integrity-based ethics codes.
- How are managers responsible for corporate ethics?
- Explain the different types of corporate social responsibility.
Study Guide #5
- List the adv/ disadv of sole proprietorships.
- List the adv/ disadv of partnerships.
- What is the difference between general and limited partners/partnerships.
- List the adv/ disadv of corporations.
- Define Limited Liability Company (LLC).
- List the adv/ disadv of franchises.
- Explain franchise agreement, franchisor, franchisee.
Study Guide #6
- Define entrepreneur.
- Explain whe people become entrepreneurs.
- Which attributes are important for entrepreneurs?
- Define small business.
- Explain the importance of small business.
- List reasons for success or failure of small business.
- What is the typical failure rate for small businesses?
- What is a business plan?
Study Guide #7
- Define the four functions of management and list examples of each area.
- Compare strategic, tactical, operational, and contingency planning.
- What is leadership?
- Describe the three different styles of leadership.
Study Guide #8
- Explain hierarchy, chain of command, and bureaucracy.
- Explain downsizing, tall vs. flat organizations, span of control.
- Explain the difference between centralized vs. decentralized authority.
- Explain organizational culture and how it affects a business.
- What are informal organizations? Why are they useful?
Study Guide #9
- What is production management?
- What is Just-in-time inventory control?
- What is mass customization?
Study Guide #10
- Explain the difference between intrinsic and extrinsic rewards.
- Describe the importance of the early management studies.
- Explain Frederick Taylor's time-motion studies.
- Explain Elton Mayo's Hawthorne studies.
- Explain Maslow's hierarchy of needs.
- Explain Herzberg's motivating factors.
- Compare Theory x , y and z management styles.
Study Guide #11
- Define Human Resource Management.
- List the human resource challenges of the next decade.
- Explain the steps in determining human resource needs.
- Explain the difference between job descriptions and job specifications.
- Describe the different types of compensation.
Study Guide #12
- What are labor unions?
- What is the main goal of labor unions?
- Know the history of labor unions - Knight of Labor, AFL-CIO.
- Explain the Wagner Act of 1935.
- Define collective bargaining.
- Resolving labor-management disputes
- Union tactics
- primary boycott
- Management tactics
- yellow-dog contracts
Study Guide #13
- What is marketing?
- Explain the evolution of marketing.
- Define the marketing mix.
- What is a product?
- What is a brand name and why is it important?
- Compare primary and secondary market research..
- Compare consumer and business markets
- Define market segmentation.
- Define niche, one-to-one, mass, and relationship marketing.
Study Guide #14
- What is the difference between a product and a value package?
- What is product differeniation?
- Explain the types of consumer goods and services.
- Explain the importance of packaging.
- Define brand name, trademanrk, brand equity, brand loyalty, brand awareness.
- Explain the product life cycle.
- Compare cost-based, deman-based, competition based, and EDLP pricing strategies.
Study Guide #15
- Define marketing intermediaries.
- What are channels of distribution?
- Compare the utilities created by intermediaries.
- Compare how retailers compete.
- Compare modes of transportation.
Study Guide #16
- Define promotion and IMC.
- Compare the six promotional tools that make up the promotion mix.
- personal selling
- public relations/publicity
- sales promotion
Study Guide #17
- Explain the role of information technology in business.
Study Guide #18
- What is accounting?
- List the five key areas of accounting.
- Compare accounting vs. bookkeeping.
- Describe the following financial statements:
- balance sheet
- income statement
- statement of cash flows
Study Guide #19
- What is finance?
- List the three most common ways for a company to fail financially.
- Compare short-term vs. long-term financial planning needs.
- Explain the need for budgeting and financial controls.
- Describe the need for operating funds.
- Compare sources of short-term vs. long-term financing.
Study Guide #20
- Describe primary vs. secondary markets.
- List the adv/disadv of debt financing.
- Define bond, interest, principal, maturity date.
- Define bond sinking fund, bond call provision.
- List the adv/disadv of equity financing.
- Define stocks, stock certificate, par value, dividend.
- Compare perferred vs. common stock.
- Define stock exchange, insider trading, stock broker, stock splits, mutual funds, diversification.
Study Guide #21
- What is money? Define Barter.
- Define the money supply. Compare M-1 vs. M-2.
- How does the money supply affect the economy?
- Why does it need to be controlled?
- Who controls the money supply?
- Describe three tools the Federal Reserve uses to control the money supply.
- Why was the Federal Reserve System created?
Study Guide #22
- What is your education worth?
- Define social security.
- Compare Traditional and Roth individual retirement accounts (IRA).
- Define 401K and keogh plans.
- When should you start saving for retirement?
- Six steps in learning how to control your assets.
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by lori bennett