Entre 1 - Midterm Exam

The "Right to Redress" is indeed one of the Consumer Rights. This right ensures that consumers have the ability to seek compensation or resolution for any issues or grievances they may have with a product or service. It allows consumers to hold businesses accountable for any harm or dissatisfaction caused and seek appropriate remedies, such as refunds, repairs, or replacements. This right is essential in protecting consumers and ensuring fair and satisfactory transactions in the marketplace.

The term "Entrepreneur" refers to the person who undertakes entrepreneurial activities. This individual is typically someone who starts and operates their own business, taking on financial risks in order to pursue opportunities and create value. Entrepreneurs are known for their innovation, creativity, and willingness to take on challenges in order to achieve success in their ventures.

Retail drugstores, fast-food shops, and appliance stores are considered as retailing businesses because they directly sell products to individual consumers. These businesses typically operate in physical locations accessible to the general public and offer a wide range of products for personal use. Unlike wholesaling businesses that sell products in bulk to other businesses, retailing businesses focus on catering to the needs and preferences of individual customers. Therefore, the correct answer is "retailing business."

The Total Assets Approach refers to a method or approach that considers only those entities or individuals whose total assets fall within a specific range or bracket. In other words, it focuses on a particular segment of the population based on their total assets. Therefore, the statement "Total Assets Approach is one having total assets that fall within a certain bracket" is true.

The "Right to Representation" refers to the consumer's right to express their interests and concerns regarding governmental policies. This means that consumers have the opportunity to provide input and have their voices heard in the decision-making process. This helps ensure that policies are not only beneficial for businesses but also take into consideration the needs and preferences of consumers. Therefore, the statement is true.

The explanation for the given correct answer is that the situation can influence ethical behavior. In this case, the financial hardships caused by the CoViD-19 pandemic created a situation where businesses were struggling to survive. This situation may have led some businesses to engage in unethical behavior, such as smuggling over-priced alcohols, as a means of coping with the financial crisis. The external circumstances and pressures of the situation can sometimes override an individual's ethical principles and lead to unethical behavior.

An entrepreneur creates an idea and turns it into a business. This means that they take their innovative concept and develop it into a functioning entity that offers goods or services in exchange for profit. By establishing a business, the entrepreneur aims to bring their idea to life, generate revenue, and contribute to the market economy. This involves various activities such as planning, organizing, financing, marketing, and managing the operations of the business. Ultimately, the entrepreneur's goal is to create a sustainable and successful venture that meets the needs and demands of customers.

The correct answer is the right to basic needs. This guarantees that everyone has access to survival necessities such as food, clothing, shelter, healthcare, education, and sanitation. It ensures that no one is deprived of essential resources essential for their well-being and quality of life.

The statement is true because there is indeed a significant difference between an entrepreneur and a businessman. While a businessman focuses on managing and operating an existing business, an entrepreneur is someone who identifies opportunities, takes risks, and creates new ventures. Entrepreneurs are known for their innovative thinking and ability to bring new ideas to life, while businessmen typically work within established structures. Therefore, it is accurate to say that there is a big difference between the two.

Entrepreneurship refers to the economic activity of a person who starts, manages, and assumes the risk of a business enterprise. It involves the process of identifying opportunities, gathering resources, and taking calculated risks to create and grow a successful business. Entrepreneurs are individuals who are willing to take initiative, innovate, and adapt to changing market conditions. They play a crucial role in driving economic growth, creating jobs, and fostering innovation in society.

The Magna Carta for Small Enterprises (R.A. 6977) states that a firm must have total assets valued between P1.5 million to P15 million in order to be considered a small business.

Individual differences can influence ethical behavior because people have different values, beliefs, and moral principles. What one person considers ethical, another person may not. In the given example, the trader's belief that selling expired food products is not bad is a reflection of their individual differences in ethical judgment. Each person's unique upbringing, experiences, and personality traits can shape their perception of what is right or wrong, leading to variations in ethical behavior.

The explanation for the answer "reward system" is that an expectation of high rewards for committing unethical behavior can influence a person's ethical behavior. When there is a reward system in place that incentivizes unethical actions, individuals may be more motivated to engage in such behavior, as they see the potential benefits outweighing the potential consequences. In the given example, the person is more inclined to adulterate their products for increased profits, as the expectation of higher financial rewards outweighs any ethical concerns they may have.

The correct answer is "to decide on the rate of output, in the light of his expectation about demand." This task involves the entrepreneur making decisions about how many products should be produced based on their predictions and forecasts of demand. They need to consider factors such as market trends, customer preferences, and potential sales in order to determine the appropriate rate of output.

The correct answer is "right to safety". This is because the statement mentions that medicines must pass the standards set by the Bureau of Food & Drug Administration (BFAD) to ensure that they are safe to consume before being sold to consumers. This implies that consumers have the right to expect that the products they purchase, in this case, medicines, are safe for their consumption.

The correct answer is to organize production by buying and combining inputs like materials and labor. This task involves the entrepreneur taking responsibility for acquiring the necessary resources, such as materials and labor, to create the product and start production. By organizing the production process, the entrepreneur ensures that the inputs are purchased and combined efficiently to meet the demand and produce the desired output. This task is crucial for the success of the venture as it directly impacts the quality and efficiency of the production process.

The correct answer is "right to information." This is because labeling products with manufacturing and expiry dates provides consumers with important information about the product, allowing them to make informed decisions about its quality, safety, and suitability for use. The right to information ensures that consumers have access to accurate and transparent information about the products they purchase.

The statement "Independently owned means ownership by a private individual, a partnership, or a corporation" is true. This means that when something is described as independently owned, it is owned by a private individual, a partnership, or a corporation, rather than being owned by the government or a public entity.

John Gokongwei Jr. is the owner of Robinsons Malls.

An entrepreneur does not solely respond to an opportunity at hand in order to make money. While making money is often a motivation for entrepreneurs, it is not the only factor that drives them. Entrepreneurs are driven by various factors such as passion, creativity, problem-solving, and the desire to make a positive impact. They may also be motivated by personal fulfillment, the opportunity to create something new, or to contribute to society. Therefore, the statement that an entrepreneur only responds to an opportunity at hand in order to make money is false.

The given options list various relationships involving the company, its customers, business associates, personnel and employees, and the government. The question asks for the option that is not an ethical issue facing entrepreneurs. While ethical issues can arise in all the mentioned relationships, the relationship between the company and the government is not specifically mentioned as an ethical issue. Therefore, it can be inferred that the correct answer is "between the company and the government" as it is not an ethical issue facing entrepreneurs.

In this example, the consumer right that is applied is the right to redress. The consumer encountered a problem with the food they ordered, as it had a foul odor and seemed to be spoiled. To address this issue, the consumer went to the counter and asked for a replacement, exercising their right to redress by seeking a remedy or resolution for the problem they faced with the product.

The statement is false because "dominant" actually means that a small business controls a sizeable share of its market.

The given answer suggests that the entrepreneurial type being identified is someone who is willing to take on the risks associated with their venture. This type of entrepreneur is not afraid of potential losses and is determined to make their products sellable, regardless of the costs. They are resilient and do not give up easily, showing a strong commitment to their business.

This answer is correct because the statement mentions that consumers have the right to communicate their concerns to the management where they patronize. Representation refers to the act of speaking or acting on behalf of someone, and in this case, it means that consumers have the right to have their concerns heard and addressed by the management. This right ensures that consumers have a voice and can actively participate in decision-making processes that affect them.

The correct answer is "to supply the necessary capital." This task refers to the entrepreneur's responsibility to secure the funds needed to start or grow their business. This may involve seeking investments, loans, or personal savings to finance the venture. By supplying the necessary capital, the entrepreneur can ensure that they have the financial resources to support their business operations and achieve their goals.

The statement is false because the "Right to Information" refers to a legal right that allows individuals to access information held by public authorities. It is not specifically related to consumers and their knowledge and skills as informed customers.

Assets with a value of P1.5 million and below will be classified as microenterprises or micro-enterprises. This classification is based on the total assets value and indicates that these businesses are small in scale and have limited resources.