Topic 1

Question 0

Consumer Sovereignty

Answer 0

Definition: the ability and freedom of customers to choose from a range of different goods and services. Ultimately, it is consumers who will decide what is produced and how scarce resources are allocated.

Question 1

Entrepreneur

Answer 1

Technologist, pioneer, strategic vision, attention to detail, dictatorial management style, extraordinary power of persuasion, control freak

• Like Jack Ma, entrepreneurs are risk takers , transformers, social responsibility bearers, social problem solvers

o profit opportunities, customer‐focused, learning from failures

Question 2

What is Rival Focus?

Answer 2

When Managers/Those in charge are concerned over what rival companies are doing. This is not a good idea when it does not directly flow to what consumers want.

Question 3

What are the two type of scales of economies?

Answer 3

• Internal to the firm
• External to the firm (in the market)