1.7 Expanding A Business Flashcards
1
Q
Which of the following is a method of external growth?
A
Merger
2
Q
Which of the following is a disadvantage to a business of growing through franchising?
A
Some control is lost
3
Q
When one business acquires a controlling interest in another business it is classed as:
A
Takeover
4
Q
Selling goods online is an example of which expansion method?
A
Ecommerce
5
Q
When Kraft acquired a controlling interest of Cadbury it was classed as a:
A
Takeover
6
Q
When a furniture manufacturer uses another business to produce sofas on its behalf it is known as:
A
Outsourcing
7
Q
Which of the following is an example of a technical economy of scale?
A
Large specialised machenery produces vast quantities more efficiently
