AQA Business Studies Unit 1 Quiz

Manipulating customers is not a legitimate business objective as it involves unethical practices. Business objectives typically focus on achieving growth, profitability, and sustainability. Increasing sales, making profits, and surviving are all valid business objectives as they contribute to the success and longevity of a business. However, manipulating customers goes against the principles of fair competition and customer satisfaction, which are essential for building trust and maintaining a positive reputation in the market.

A franchise refers to the legal right granted to an individual or business to use the name and logo of an established company and sell its products or services. This allows the franchisee to benefit from the established brand recognition and customer base of the existing firm, while also receiving support and guidance from the franchisor. It is a business model that enables individuals to operate their own business while leveraging the success and reputation of an established brand.

A market map can help when starting up a business by showing the owners what products are not currently available in the market. This can be valuable information as it allows them to identify potential gaps or opportunities in the market where they can offer unique products or services. By understanding what products are missing, the owners can tailor their business offerings to meet the unmet needs of consumers, increasing their chances of success.

Starting a business can be a way for someone to escape an uninteresting job. By starting their own business, individuals have the opportunity to pursue their passions and create a career that is more fulfilling and engaging. They can have more control over their work and can build something that aligns with their interests and values. Starting a business allows individuals to break free from the monotony and dissatisfaction of an uninteresting job and create a more satisfying and rewarding professional life.

The factors of production are the resources used in the production process. Land refers to natural resources such as land itself, minerals, and water. Labor represents the human effort and skills involved in producing goods or services. Capital refers to the tools, machinery, and equipment used in production. Enterprise refers to the organization and management skills required to bring together the other factors of production and make them productive. Therefore, the correct factors of production are land, labor, capital, and enterprise.

A social enterprise is an activity that aims to achieve a reward for society. Unlike a traditional business that primarily focuses on generating profit for its owners, a social enterprise prioritizes creating positive social or environmental impact. It may still generate revenue, but the ultimate goal is to address social issues and benefit the community. This can be done through various means, such as providing employment opportunities for marginalized individuals, supporting sustainable practices, or reinvesting profits into social programs.

The correct answer is Selling price - cost of goods sold. The value added is calculated by subtracting the cost of goods sold from the selling price. This calculation helps determine the profit or value created by the business after accounting for the cost of producing the goods.