business midterm revision

Question 1

define the term consumer goods

Answer 1

goods and services sold to ordinary people (customers)

Question 2

define the term producer goods

Answer 2

goods and services produced by one business and provided to another

Question 3

what is meant by the term needs

Answer 3

basic requirements needed by humans for survival

Question 4

give 2 examples of needs in our daily life

Answer 4

food, accommodation

Question 5

what is meant by the term wants

Answer 5

peoples desires for goods and services

Question 6

give 2 examples of wants

Answer 6

an iPhone, a supercar

Question 7

what is meant by the term private enterprise

Answer 7

an enterprise that is privately owned and focuses on maximizing profit

Question 8

what is meant by the term social enterprise

Answer 8

organizations that do not focus on maximizing profit

Question 9

what is meant by the term public enterprise

Answer 9

usually owned by the government and focus on providing things a private enterprise can’t

Question 10

what is meant by the term stakeholders

Answer 10

a person or group or organization that has interest in the activities of an enterprise

Question 11

what is meant by the term shareholder

Answer 11

any person who owns shares in a business

Question 12

what are the types of stakeholders

Answer 12

owners, managers, customers, employees, suppliers, financiers, government, local community

Question 13

define the term entrepreneur

Answer 13

a person who sets up a company

Question 14

what is meant by the term unincorporated business

Answer 14

there is no legal difference between the business and the owner

Question 15

what is meant by the term incorporated business

Answer 15

there is a separate legal identity between the business and the owner