Socio Economic Part 2

Question 1

Businesses create opportunities that benefit society and the economy.

Answer 1

Socioeconomic Impact of a Business

Question 2

As the firm’s top priority is its consumer’s welfare, the entrepreneur should know how to maximize consumer satisfaction

Answer 2

Impact on Consumers

Question 3

Firms give opportunities to suppliers and investors.

Answer 3

Impact on Suppliers and Investors

Question 4

The government benefits from the revenues collected (in the form of fees and taxes) from existing and new businesses.

Answer 4

Impact on the Government

Question 5

As small businesses operate locally, they help other local businesses (direct and/or indirect competitors) by purchasing additional supplies from them or even investing in them.

Answer 5

Impact on other Local Businesses

Question 6

A typical Filipino household spends most of its income on food, housing, utilities, and/or fuel. Having income with limited purchasing power, Filipinos are price-sensitive as non-essentials are excluded from their budget.

Answer 6

Impact on Households

Question 7

pertains to a self-regulating business model that aims to help firms be socially accountable to themselves, their stakeholders, and the public.

Answer 7

Corporate social responsibility (CSR) or Impact on the Community

Question 8

The country must have good international trading policies to boost additional investments, especially in importing and exporting products and services.

Answer 8

Impact on International Trade