The Business Environment Revision Quiz

22 Questions | Total Attempts: 191

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Business Environment Quizzes & Trivia

The business environment means all of the internal and external factors that affect how the company functions including employees, customers, management, supply and demand and business regulations. An example of a part of a business environment is how well customers' expectations are met. Take the test and see just how much you know.


Questions and Answers
  • 1. 
    Choose the three most common business structures in New Zealand from the list below. 
    • A. 

      Sole Trader

    • B. 

      SME

    • C. 

      Partnership

    • D. 

      Limited Liability Company

    • E. 

      Organsation

  • 2. 
    The first stage in the business life cycle is ______________ .
  • 3. 
    The second stage in the business life cycle is _____________.
  • 4. 
    The third stage in the business life cycle is ______________.
  • 5. 
    The fourth stage in the business life cycle is _______________.
  • 6. 
    Stage 1 of the business life cycle (birth) is when:
    • A. 

      Sales and cash flow are increasing and the business is branding, promoting and advertising its goods and services.

    • B. 

      Products may have become obsolete and losing customers results in falling profits and sales

    • C. 

      Initial bright idea leads to research, planning and business model

    • D. 

      Business is thriving with good customer base and regular cash flow, enabling profitability to be maintained

  • 7. 
    Stage 2 of the business life cycle (growth) is when:
    • A. 

      Sales and cash flow are increasing and the business is branding, promoting and advertising its goods and services.

    • B. 

      Products may have become obsolete and losing customers results in falling profits and sales

    • C. 

      Initial bright idea leads to research, planning and business model

    • D. 

      Business is thriving with good customer base and regular cash flow, enabling profitability to be maintained

  • 8. 
    Stage 3 of the business life cycle (maturity) is when:
    • A. 

      Sales and cash flow are increasing and the business is branding, promoting and advertising its goods and services.

    • B. 

      Products may have become obsolete and losing customers results in falling profits and sales

    • C. 

      Initial bright idea leads to research, planning and business model

    • D. 

      Business is thriving with good customer base and regular cash flow, enabling profitability to be maintained

  • 9. 
    Stage 4 of the business life cycle (decline) is when:
    • A. 

      Sales and cash flow are increasing and the business is branding, promoting and advertising its goods and services.

    • B. 

      Products may have become obsolete and losing customers results in falling profits and sales

    • C. 

      Initial bright idea leads to research, planning and business model

    • D. 

      Business is thriving with good customer base and regular cash flow, enabling profitability to be maintained

  • 10. 
    An advantage of owning a small business is loss of control over daily operations.
    • A. 

      True

    • B. 

      False

  • 11. 
    An advantage of owning a small business is independence.
    • A. 

      True

    • B. 

      False

  • 12. 
    A disadvantage of owning a small business is that it can be hard to attract talented and qualified staff.
    • A. 

      True

    • B. 

      False

  • 13. 
    An advantage of owning a small business is financial risk.
    • A. 

      True

    • B. 

      False

  • 14. 
    An advantage of owning a small business is the lower amount of investment it usually requires.
    • A. 

      True

    • B. 

      False

  • 15. 
    An advantage of owning a small business is that the owner is responsible for everything.
    • A. 

      True

    • B. 

      False

  • 16. 
    SME stands for ____________________.
  • 17. 
    Corporate Social Responsibility (CSR) means that a company is responsible to its ____________________ as well as to its shareholders.
  • 18. 
    When a company adopts a CSR policy it aims to uphold ethical values by respecting people and the ___________________.