"Bulk-buying" is an example of…
- Purchasing economies of scale
- Technical economies of scale
- Service economies of scale
- Production economies of scale
Which of the four factors of production could be described as " the financial resources used to produce goods and services"?
- Land
- Labour
- Capital
- Enterprise
What is meant by a "business aim"?
- A specific target
- A positive net profit
- A general goal
- Improved revenue
Improving efficiency by investing in new machines and processes is called…
- Purchasing economies of scale
- Technical economies of scale
- Service economies of scale
- Production economies of scale
What is the primary purpose of a business plan?
- To provide a CV for the business owners
- To secure financing from investors
- To provide a roadmap for the business's operations and goals
- To advertise the business
What is a business's primary objective?
- Maximising profits
- Providing employment
- Minimising costs
- Maximising market share
A business purchasing a customer is…
- Conglomerate integration
- Forward vertical integration
- Backward vertical integration
- Horizontal integration
What is the main advantage of a franchise for the franchisee?
- Full control over the business
- No sharing of profits
- Minimal support and training
- Using existing brand recognition
Which is an example of external expansion?
- Opening a new store
- Increasing production capabilities
- Buying a competitor
- Opening an online store
What is meant by "diseconomies of scale"?
- Unit costs increase as production increases
- Unit costs decrease as production increases
- Unit costs stay the same as production decreases
- Unit costs stay the same as production increaes
