Types of Goods and Services in Business

What does 'revenue' refer to in a business context?

The total amount of money a business takes in during a given period

Which term describes the situation where a business's expenses exceed its revenues?

Loss

What type of products are education, health care, insurance, and travel categorized as?

Services

What is the primary characteristic of an entrepreneur?

Risking time and money to start and manage a business Signup and view all the answers

In the context of business, what does 'profit' represent?

The amount of money a business earns above and beyond its expenses Signup and view all the answers

What is the relationship between risks and profits in business?

Higher risks always result in higher profits Signup and view all the answers

What does 'standard of living' refer to?

The amount of goods and services people can buy with their money Signup and view all the answers

Which country is mentioned as having one of the highest standards of living in the text?

United States Signup and view all the answers

What is essential for a high quality of life according to the text?

Political freedom Signup and view all the answers

Who are stakeholders in a business context?

People who stand to gain or lose by the policies and activities of a business Signup and view all the answers

Which entities need to collaborate for a high quality of life according to the text?

Nonprofits and government agencies Signup and view all the answers

In terms of standard of living, why might workers in some countries making more money still have lower purchasing power?

Higher prices for goods in those countries Signup and view all the answers

What is the term for contracting with other companies to do some of the functions of a firm, like production or accounting?

Outsourcing Signup and view all the answers

Which type of organization aims to meet social or educational goals rather than making personal profits?

Nonprofit organization Signup and view all the answers

What is one of the negatives associated with being an entrepreneur?

Absence of health insurance Signup and view all the answers

What does a country need, in addition to natural resources, to create wealth for its citizens?

Entrepreneurs Signup and view all the answers

Which term refers to foreign companies opening offices and factories in the United States?

Insourcing Signup and view all the answers

How do nonprofit organizations utilize their financial gains?

To meet social or educational goals Signup and view all the answers

What are the five factors of production mentioned in the text?

Land, Labor, Capital, Entrepreneurship, Knowledge Signup and view all the answers

Which factor contributes significantly to making rich countries wealthy according to the text?

Entrepreneurship Signup and view all the answers

How can the government promote entrepreneurship based on the text?

Allowing private ownership of businesses Signup and view all the answers

Which of the following is NOT part of the business environment as described in the text?

Political environment Signup and view all the answers

What resources are included in the factor of production 'Land' according to the text?

Natural resources Signup and view all the answers

Which factor plays a crucial role in hindering or helping the development of businesses?

Economic and legal environment Signup and view all the answers

What does empowerment refer to in a business context?

Giving frontline workers more decision-making power Signup and view all the answers

What is demography primarily concerned with?

Studying human population characteristics Signup and view all the answers

Why do managers need to adapt to generational demographics in the workplace?

To effectively manage age diversity Signup and view all the answers

In terms of demographics, what age group is currently considered the richest?

People aged 65-74 Signup and view all the answers

What is one reason mentioned in the text that retired people may drain the economy of wealth?

Excessive reliance on social welfare programs Signup and view all the answers

What is a key aspect of managing diversity mentioned in the text?

Adapting to generational demographics Signup and view all the answers