Summative test 1

Question 1

Economic and social roles of business

Answer 1

Profit, employment, incomes, choice, innovation, entrepreneurship, wealth, quality of life

Question 2

What is PIECE

Answer 2

Production, Investment, Employment, Careers, Enterprise

Question 3

Financial goals of a business

Answer 3

• Maximise profits
• Maximise growth
• Production efficiency
• Improve share price
• Improve market share

Question 4

Non-financial goals of business

Answer 4

• Social goals
• Economic goals (sustainable development)
• Personal goals of owners/managers

Question 5

What are SMART goals

Answer 5

Specific
Measurable
Attainable
Relevant
Time bound

Question 6

Coles SMART goals

Answer 6

100% renewable energy by July 2025
$50M nurture fund to be spent on SME at $500k per project
Net zero greenhouse gasses by 2050

Question 7

3 types of business sizes

Answer 7

Local business
National business
Global business

Question 8

3 types of industry sectors

Answer 8

Primary - collecting natural resources
Secondary - take output from primary businesses and processes it into a finished or semi finished product
Tertiary- services like lawyers and health professionals

Question 9

Legal structures of business

Answer 9

Sole trader
Partnership
Company - private/public

Question 10

External influence of business (acronym)

Answer 10

Political 
Economic
Social - Attitudes like fashion and culture like veganism
Technological
Legal
Environmental

Question 11

Internal influence on business

Answer 11

Product - type of
Location - affects sales and visibility
Resource
Management
Business culture - values, symbols, rituals, rites, celebrations