mcq terminology

Question 1

Franchise

Answer 1

Someone opens a location of a brand

Question 2

Sole Proprietorship

Answer 2

Owner has full control and runs the entire business (also unlimited liability)

Question 3

Corporation

Answer 3

Legal entity owned by shareholders (owners not liable for debts

Question 4

Partnership

Answer 4

Two or more people own a business and share liabilities, profits, and losses

Question 5

Liability

Answer 5

basically debts

Question 6

channel

Answer 6

how goods/services get from a company to a customer (ex. retailers, wholesalers, or direct online sales)

Question 7

tort (against a business)

Answer 7

They did something wrong and it causes the company harm/a loss. The injured business may seek compensation via legal action (ex. fraud, defamation, IP infringement).

Question 8

Wholesalers

Answer 8

purchase products in large quantities from manufacturers and sell them to retailers (or people I guess if you’re costco)

Question 9

vertical and horizontal channel integration

Answer 9

strategies to control different parts of the supply chain or presence in a market

vertical: company controls more stages of a supply chain (like a clothing company owns manufacturer and retailers rather than just retailers) can control quality and quantity better + distribution

horizontal: merges/buys out a company (increases presence in market without controlling supply chain)

Question 10

supply chain

Answer 10

starts at production ends when it reaches the customer

supplier (raw materials) -> manufacturer -> distributer/wholesaler -> retailer -> customer

Question 11

variable vs fixed expenses

Answer 11

variable: factors like material cost can increase/decrease prices (I think an example could be gas)
fixed: paid regularly, price does not change (like if you pay off your car)

Question 12

sugging

Answer 12

pretend to conduct research but in reality try to build a database or sell things

Question 13

sovereign/crown/state immunity

Answer 13

you can’t sue them because they cannot commit a legal wrong

Question 14

slotting fee

Answer 14

fee paid to retailer by supplier to have their products placed on shelves

Question 15

(project) projection report

Answer 15

estimate of expenses, materials, and timeline

Question 16

formal inquiry

Answer 16

complaint found valid/complaint undergoing investigation of validity

Question 17

pressure selling

Answer 17

interaction in which the seller pressures the customer to make a purchase (what it sounds like bro)

Question 18

opportunity cost

Answer 18

loss of potential gain from other options - NOT how much it costs in a monetary sense

Question 19

limited-line vs specialty business

Answer 19

Limited-line businesses focus on the quality of their very narrowed-down assortment of products and a wider assortment in this line. Specialty stores carry a limited variety of products comparatively.

Question 20

copyright vs patent vs trademark vs license

Answer 20

copyright: protects artistic work (28 years apparently but in Canada it’s lifetime + 70 years), can be renewed
patent: protects invention/process (20 years Canada) and these can be licensed, not renewable
trademark: name/symbol on a product
license: permission to own or do something

Question 21

gdp

Answer 21

monetary value of everything made and sold in a country (per annum I believe)

Question 22

collectivism

Answer 22

group > you

Question 23

employee turnover

Answer 23

people leaving company during time period

Question 24

commercial money

Answer 24

business transactions (cash, bank deposits, electronic payment)

Question 25

fiat money

Answer 25

legal tender (bills, coins)

Question 26

commodity money

Answer 26

worth of material (gold coins)

Question 27

fiduciary money

Answer 27

government approved, has no value (checks, banknotes)

Question 28

store of value

Answer 28

stable value (can increase but will not depreciate), such as money saved and not spent

Question 29

restrictive endorsement

Answer 29

signs the back of a check and restricts who it may be used by and which account it goes into

Question 30

general endorsement

Answer 30

person may decide which account to deposit the amount in

Question 31

sales invoice

Answer 31

accounting document sent to purchaser provided by provider

Question 32

marginal utility

Answer 32

more of an item gives additional happiness

Question 33

situational analysis

Answer 33

analysis of the situation of the business

Question 34

statement of work (sow)

Answer 34

legally binding contract between a company and external worker outlining a project

Question 35

project charter

Answer 35

basically a clear outline of why and what's happening

Question 36

Pareto principle

Answer 36

Pareto 80/20 rule 20% of work is important = 80% of results 80% of work is less important = 20% of results outlines prioritizing factors based on their impact

Question 37

Arbitration

Answer 37

Third party steps in to resolve a matter (arbitrator)

Question 38

Attrition

Answer 38

Natural reductions in numbers due to deaths, retirements, etc.

Question 39

Stock-turn

Answer 39

how often a company's inventory to be sold and restocked over a period of time

Question 40

capital investment

Answer 40

money invested for a company's long term growth

Question 41

protected brands

Answer 41

national (manufacturer)/private/generic brands

Question 42

stratified random sampling

Answer 42

divided into clear groups

Question 43

cluster sampling

Answer 43

divided into random clusters

Question 44

target pricing

Answer 44

method to determine price for a product based on market prices

Question 45

Oligopoly

Answer 45

limited competition, few businesses (cannot prevent competitors from wielding significant influence as result)

Question 46

Promotional mix

Answer 46

using a mix of marketing tools to promote products or services

Question 47

agent

Answer 47

may act on one's behalf

Question 48

central tendancy

Answer 48

summarizing data with a value that represents the middle distribution

Question 49

product life cycle

Answer 49

development, introduction, growth, maturity, and decline

Question 50

central bank

Answer 50

provides banking services for commercial banks and the government, issues currency and implements policies

Question 51

commercial bank

Answer 51

offers services to the public and businesses

Question 52

cooperative bank

Answer 52

owned and used by its members, focuses on financial needs rather than profit

Question 53

Regional Rural Banks

Answer 53

In India, specifically for people who live in rural communities and work in agriculture

Question 54

exploratory research

Answer 54

explore a poorly-defined problem in order to define it

Question 55

casual research

Answer 55

answers a "what if" question through experiments and such (usually costly)

Question 56

tangible vs intangible output

Answer 56

intangible are not physical, physical and digital products are tangible

Question 57

enterprise

Answer 57

business/company

Question 58

environmental scan

Answer 58

scan things inside and outside a business (beginning with people inside and their responsibilities)