Midterm

Question 1

economics

Answer 1

study the use of resources, production of goods and services, growth of production and welfare over time for the society

Question 2

factors of production

Answer 2

land, labor, and capital

Question 3

elastic demand

Answer 3

how the demand changes based of community

Question 4

inelastic demand

Answer 4

the quantity of a good depending on how the price changes

Question 5

diminishing marginal utility

Answer 5

when the utility of an item decreases

Question 6

small business administration

Answer 6

provides counseling, capital, and contracting expertise as the nation’s only go-to resource and voice for small businesses.

Question 7

collateral

Answer 7

an item of value that a lender can seize from a borrower if he or she fails to repay a loan according to the agreed terms.

Question 8

contingency fund

Answer 8

a fund for emergencies

Question 9

proprietary technology

Answer 9

any combination of processes, tools, or systems of interrelated connections that are the property of a business or individual.

Question 10

niche

Answer 10

a market segment where certain products and services are in demand

Question 11

Penetration Pricing

Answer 11

a pricing strategy that is used to quickly gain market share by setting an initially low price to entice customers to purchase.

Question 12

price gouging

Answer 12

making the prices unnecessarily high for essential needs

Question 13

price fixing

Answer 13

illegal agreement to up the price of something

Question 14

Resale Price Maintenance

Answer 14

agreeing to sell at a certain price

Question 15

Diversification

Answer 15

a practice that companies use to help expand their business.

Question 16

sales quota

Answer 16

the performance expectation that sellers must achieve during a set time period to earn their target incentive pay

Question 17

SWOT analysis

Answer 17

a method for identifying and analyzing internal strengths and weaknesses and external opportunities and threats