2024 – Question Question 1 Question TCO 3 Which of the following is true about a small business

Question

Question 1. Question: (TCO 3) Which of the following is true about a small business?

Student Answer: A small business is one that employs between 500 to 1000 employees.

A small business is usually funded by personal lines of credit and not through bank loans and microlenders.

A small business is one that is not dominant in its field.

A small firm usually curtails the freedom to innovate.

A small firm avoids risks that larger firms are willing to take.

Question 2. Question : (TCO 3) Barbara owns a small florist shop that employs a couple of part-time floral designers. She doesn’t expect her business to grow much, but it provides her with a comfortable income and she enjoys what she does. Barbara’s business would be described as a _____.

Student Answer: mid-size enterprise

retail business

lifestyle business

high-growth venture

service business

Question 3. Question : (TCO 3) Three factors contributing to the increased number of small businesses are technologies such as e-commerce, growing diversity in entrepreneurship, and _____.

Student Answer: downsizing and outsourcing

increased ease in going public

nationalization

market regulation

monopolistic business practices

Question 4. Question : (TCO 3) Charles is the purchase agent for a consulting firm. He places orders for office stationeries and consumables once in two weeks. The purchases are made in large quantities and are billed in the firm’s name. The items that Charles buys are examples of _____.

Student Answer: specialty products

expense items

capital items

shopping products

convenience products

Question 5. Question : (TCO 3) The introductory stage will be followed by a _____ stage for a successful product.

Student Answer: maturity

research

saturation

growth

infiltration

Question 6. Question : (TCO 3) People who monitor social media to spot shifts in consumer tastes are called _____.

Student Answer: social arbitrators

trend watchers

crowd pullers

social developers

social programmers

Question 7. Question : (TCO 4) Consumer purchasing differs from organizational purchasing in that consumer purchasing _____.

Student Answer: is influenced more by subconscious and emotional factors

follows a formal buying process

has greater complexity in product usage

involves closer relationships between buyers and sellers

has a greater emphasis on economic payback

Question 8. Question : (TCO 4) The process of examining an organization’s current marketing situation, assessing opportunities and setting objectives, and then developing a marketing strategy to reach those objectives is called _____.

Student Answer: stealth marketing

strategic marketing planning

marketing research

social commerce

marketing concept

Question 9. Question : (TCO 4) Selling existing products to new markets is called _____.

Student Answer: market development

product development

market segmentation

market penetration

vertical integration

Question 10. Question : (TCO 4) _____ refer(s) to intermediaries that sell products to other intermediaries for resale or to organizations for internal use.

Student Answer: Retailers

Wholesalers

Department store

Specialty store

Convenience store

Question 11. Question : (TCO 4) One of the valuable services that a wholesaler might perform is _____, in which it receives large shipments from the producer and then sells smaller quantities to retailers.

Student Answer: rack jobbing

drop shipping

bundling

breaking bulk

system integration

Question 12. Question : (TCO 4) _____ are full-service merchant wholesalers who set up displays in retail outlets, stock inventory, and perform other services, such as marking prices on merchandise.

Student Answer: Rack jobbers

Agents

Brokers

System integrators

Value-added resellers

Question 13. Question : (TCO 4) The government agency that has the authority to impose penalties against advertisers who violate federal standards for truthful advertising is the _____.

Student Answer: Federal Communications Commission

Consumer Product Safety Commission

Federal Trade Commission

Federal Advertising Administration

Federal Regulatory Commission

Question 14. Question : (TCO 4) In _____, behaviorally targeted ads follow users even as they move on to other websites.

Student Answer: attack ads

advocacy advertising

cooperative advertising

remarketing

search engine marketing

Question 15. Question : (TCO 4) A television commercial promoting a new range of naturally flavored ice cream, manufactured by Ice Fountain, an ice cream and candy manufacturing firm, is an example of which of the following elements in the communication mix?

Student Answer: Institutional advertising

Sales promotion

Social media

Product advertising

Personal selling