Podcast
Questions and Answers
A ______ is a tax imposed by the local government on goods and services coming into a country.
A ______ is a tax imposed by the local government on goods and services coming into a country.
tariff
A government-imposed limit on the amount of product that can be imported is known as a ______.
A government-imposed limit on the amount of product that can be imported is known as a ______.
trade quota
A ______ refers to a complete ban on trade with a specific country.
A ______ refers to a complete ban on trade with a specific country.
trade embargo
In ______ competition, markets have many buyers and sellers offering identical products.
In ______ competition, markets have many buyers and sellers offering identical products.
Signup and view all the answers
Lower prices can result from the use of ______ in other countries.
Lower prices can result from the use of ______ in other countries.
Signup and view all the answers
A business is considered solvent when its debts are paid off, and its main goal is to make a ______.
A business is considered solvent when its debts are paid off, and its main goal is to make a ______.
Signup and view all the answers
The profit equation can be expressed as: Total Revenues - Total Expenses = Total ______.
The profit equation can be expressed as: Total Revenues - Total Expenses = Total ______.
Signup and view all the answers
Companies that profit by producing goods from raw materials are categorized as ______ businesses.
Companies that profit by producing goods from raw materials are categorized as ______ businesses.
Signup and view all the answers
A person who purchases goods and services from producers is referred to as a ______.
A person who purchases goods and services from producers is referred to as a ______.
Signup and view all the answers
Maslow's Hierarchy of Needs describes levels of human needs, the first of which are ______ Needs.
Maslow's Hierarchy of Needs describes levels of human needs, the first of which are ______ Needs.
Signup and view all the answers
In the marketplace, producers and consumers come together to ______ and sell goods and services.
In the marketplace, producers and consumers come together to ______ and sell goods and services.
Signup and view all the answers
Surplus funds in a ______-for-profit organization are used to improve services offered to its members.
Surplus funds in a ______-for-profit organization are used to improve services offered to its members.
Signup and view all the answers
Consumer influence can affect the ______, prices, and services offered by businesses.
Consumer influence can affect the ______, prices, and services offered by businesses.
Signup and view all the answers
Businesses have pricing power when there is little ______.
Businesses have pricing power when there is little ______.
Signup and view all the answers
Consumer purchasing power gives individuals control to buy goods and services at the ______ they prefer.
Consumer purchasing power gives individuals control to buy goods and services at the ______ they prefer.
Signup and view all the answers
Competition refers to the ______ between businesses to attract consumers.
Competition refers to the ______ between businesses to attract consumers.
Signup and view all the answers
The ______ of competition can lead to greater variety and better prices for consumers.
The ______ of competition can lead to greater variety and better prices for consumers.
Signup and view all the answers
Economics is the study of human decisions in using scarce resources to satisfy ______ wants.
Economics is the study of human decisions in using scarce resources to satisfy ______ wants.
Signup and view all the answers
Opportunity cost refers to the benefit lost from doing one thing rather than ______.
Opportunity cost refers to the benefit lost from doing one thing rather than ______.
Signup and view all the answers
A ______ economy is controlled and owned by the government.
A ______ economy is controlled and owned by the government.
Signup and view all the answers
The ______ of demand states that the higher the price, the less the consumer will demand.
The ______ of demand states that the higher the price, the less the consumer will demand.
Signup and view all the answers
A ______ is a business owned by a single person.
A ______ is a business owned by a single person.
Signup and view all the answers
Corporate ethics refers to the moral principles that guide a company's ______.
Corporate ethics refers to the moral principles that guide a company's ______.
Signup and view all the answers
A Code of Ethics outlines an organization's values and ______ principles.
A Code of Ethics outlines an organization's values and ______ principles.
Signup and view all the answers
Corporate Social Responsibility (CSR) integrates social, environmental, and economic concerns into their ______.
Corporate Social Responsibility (CSR) integrates social, environmental, and economic concerns into their ______.
Signup and view all the answers
The Occupational Health and Safety Act addresses ______ in the workplace.
The Occupational Health and Safety Act addresses ______ in the workplace.
Signup and view all the answers
Trade Relations involve the exchange of ______ between countries.
Trade Relations involve the exchange of ______ between countries.
Signup and view all the answers
Study Notes
Business Organization
- A business is an entity producing and/or selling goods/services.
- The goal of a for-profit business is profit (after costs & expenses).
- Solvent businesses pay off all debts.
- Profit = Total Revenues - Total Expenses.
- Four types of businesses:
- For-profit (manufacturing, retail, service).
- Not-for-profit (improve services for members using surplus funds).
Maslow's Hierarchy of Needs
- A theory describing human needs in a hierarchical structure:
- Physiological Needs: Basic survival (water, air, food, sleep).
- Security Needs: Safety and security (employment, healthcare, shelter).
- Social Needs: Belonging, love, acceptance (friendships, relationships).
- Esteem Needs: Personal worth, recognition, accomplishment.
- Self-actualizing Needs: Self-awareness, personal growth, less concern for others' opinions.
Consumer Behavior
- Consumers purchase goods/services from producers.
- Marketplace is where producers and consumers meet.
- Key consumer behavior factors:
- When they want goods/services.
- Where they want goods/services.
- How much they want.
- Price they'll pay.
- Consumer Influence: Power consumers exert on businesses (products, pricing, services).
Competition
- Competition: Rivalry among businesses to attract consumers.
- Pros: Greater variety, lower prices for consumers, improved efficiency & innovation for businesses.
- Cons: Confusion (too many choices) for consumers; pressure on prices & quality for businesses.
Introduction to Economics
- Economics: Study of human decisions using scarce resources to satisfy unlimited wants.
- Economic resources (factors of production): Natural, human, and capital resources.
- Opportunity cost: Benefit lost from choosing one thing over another.
- Types of Economic Systems:
- Command Economy: Government controlled.
- Market Economy: Determined by producers and consumers.
- Mixed Economy: Combination of command & market economies.
Supply and Demand
- Demand: Quantity buyers are willing/able to buy at various prices.
- Supply: Quantity producers are willing/able to offer at various prices.
- Law of Demand: Higher prices lead to lower demand.
- Law of Supply: Higher prices lead to higher supply.
- Equilibrium (market clearing price): Quantity supplied equals quantity demanded at a certain price.
Forms of Business Ownership
- Sole Proprietorship: Business owned by one person.
- Partnership: Business operated by two or more partners.
- Corporation: Highly regulated business with limited liability.
- Cooperative: Owned/operated by members who buy/use the services.
- Franchise: Allows franchisees to use a business's name, procedures, design, and expertise.
Decision-Making Model
- Steps in a decision-making process:
- Define the problem.
- Identify alternative solutions.
- Evaluate advantages & disadvantages.
- Make a decision & implement.
- Evaluate the decision.
Corporate Ethics
- Corporate ethics: Moral principles guiding a company's behavior.
- Reasons for ethical corporations:
- Better reputation.
- Attracts customers.
- Loyal customers.
- Attracts talented employees.
- Attracts investors.
- Improves people's lives.
- Labor practices promoting ethical behavior: Employment standards (minimum wages, overtime), pay equity.
Ethics and Corporate Social Responsibility
- Ethics: Principles of morality and proper conduct.
- Morals: Rules deciding good/bad.
- Values: Personal/corporate beliefs about importance.
- Code of Ethics: Document outlining how employees should respond to situations, detailing organizational values & principles.
- Corporate Social Responsibility (CSR): Way companies integrate social, environmental, and economic concerns into values & operations.
- Drivers of CSR: Compliance (avoid negative consequences), Conviction (positive consequences).
- 6 CSR principles: Safe/healthy workplace, fair labor practices, environmental protection, truth in advertising, fair pricing, donations to charity.
Laws Governing Corporate Ethics
- Laws governing corporate ethics:
- Workplace safety (Occupational Health & Safety Act in Ontario).
- Anti-discrimination (Canadian Human Rights Act).
- Environmental responsibility (Canadian Environmental Protection Act).
- Labour practices (Employment Standards Act in Ontario).
Trade Relations
- Trade Relations: Exchange of goods/services between countries.
- Trade restrictions:
- Tariffs: Taxes on imported goods/services.
- Trade quotas: Limits on imported goods.
- Trade embargo: Complete ban on trade with a specific country.
- Trade sanctions: Limiting trade of specific products/with specific companies.
International Business
- International Business: Conducting business across national borders.
- Activities include selling goods/services, shipping, creating goods/services.
- Benefits: Access to larger markets, resources, cheaper labor, improved product quality.
Types of Market Competition
- Pure/Perfect competition: Many buyers/sellers, identical products.
- Monopolistic competition: Many buyers/sellers, differentiated products.
- Oligopolies: Few sellers, similar products, significant market power.
- Monopolies: One seller, unique good, tremendous market control.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
This quiz explores key concepts in business organization, including the types of businesses and the role of profit. It also delves into Maslow's Hierarchy of Needs and its application to consumer behavior. Test your understanding of how these frameworks influence decision-making in a market economy.
