Edexcel GCSE: Business Fundamentals Quiz

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| By ErinScarsbrook

ErinScarsbrook

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Quizzes Created: 1 | Total Attempts: 368

| Attempts: 368 | Questions: 17

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1. What are examples of secondary research and the benefits?

Examples are sites, newspapers, government statistics, market reports, telephone directories and sales data.

Examples are sites, newspapers, government statistics, market reports, telephone directories and sales data and the benefits are it is general,... Examples are sites, newspapers, government statistics, market reports, telephone directories and sales data and the benefits are it is general, quicker and effective at quantitative data.

Examples are focus groups, experiments, observations, questionnaires, surveys and the benefits are it is accurate, up to date, specific, effective... Examples are focus groups, experiments, observations, questionnaires, surveys and the benefits are it is accurate, up to date, specific, effective at retrieving qualitative data and allows direct customer contact.

Examples are sites, newspapers, market reports, telephone directories and sales data and the benefits is it effective at quantitative data.

Examples of secondary research are sites, newspapers, government statistics, market reports, telephone directories and sales data and the benefits are it is general, quicker and effective at quantitative data.

Explanation

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About This Quiz

The contents covers Business, Understanding Customer Needs, Market Mapping, Market Segmentation, Competition, Added Value and Franchising.

2. What does a supplier do?

Sells raw materials to another business.

Purchases materials for a business.

Creates products using raw materials.

Supplies a business with money.

A supplier is a business which sells raw materials to another business.

Explanation

A supplier is a business which sells raw materials to another business.

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3. What are customer needs based upon?

Quality, customer service, growth and shrink in the market and price.

Quality, product range, convenient locations, good customer service and price.

Features, convenient locations, after care service, price and age and gender.

Price, main competitors, good quality, location and product range.

Most customer needs are based upon good quality, product range, convenient locations, good customer service and price.

Explanation

Most customer needs are based upon good quality, product range, convenient locations, good customer service and price.

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4. What is primary and secondary research?

Primary and secondary research is collecting data.

Primary research is collecting data that already exists and secondary is data that does not exist.

Secondary and primary research is collecting data that already exists.

Primary research is collecting data that did not exist and secondary is data that already exists.

Primary research is collecting data that did not exist; secondary research is collecting data that already exists.

Explanation

Primary research is collecting data that did not exist; secondary research is collecting data that already exists.

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5. What are examples of primary research and the benefits?

Examples are focus groups, observations, experiments, questionnaires and surveys.

The benefits are it is accurate, up to date, retrieve qualitative data, specific and allows direct customer contact.

Examples are sites, newspapers, government statistics, market reports, telephone directories and sales data and the benefits are it is quick... Examples are sites, newspapers, government statistics, market reports, telephone directories and sales data and the benefits are it is quick and effective at retrieving quantitative data.

Primary research examples are focus groups, experiments, observations, questionnaires, surveys. The benefits are it is accurate, up to date, specific, effective at retrieving qualitative data and allows direct customer contact.

Explanation

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6. What are ways a business can compete?

Develop a unique selling point.

Improve its product range, quality, after sales service, experience, design, brand image and features of the product.

Reduce its prices so that customers are attracted to the products that the business offers.

Improve its product range, experience, design, brand image and features of the product.

A business can compete by increasing its product range, improving the quality of its products and adding better features. It can also ensure the after sales service and customer service is better so that the experience is more enjoyable for customers. Lastly, a business can compete by improving its design and developing a strong brand image.

Explanation

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7. A franchise is the right given by one business to another to sell goods or services using its name; what is a franchisor?

A franchisor is the business that gives the franchisee the right to sell its good/service.

A business that agrees to manufacture, distribute or provide a branded product under license.

A business that gives the right to sell its product in exchange for products.

A franchisor is business like McDonald's.

A franchisor is the business that gives the franchisee the right to sell its good/service.

Explanation

A franchisor is the business that gives the franchisee the right to sell its good/service.

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8. What is branding?

When a business develops a unique brand image.

When a customer associates and identifies with a product, and sees it as being different which allows it to develop... When a customer associates and identifies with a product, and sees it as being different which allows it to develop a unique brand image.

Putting labels onto products to attempt to increase purchases.

Gaining brand recognition.

Branding is a named product that customers see as being different and that they associate and identify with, which enables the business to gain a unique brand image.

Explanation

Branding is a named product that customers see as being different and that they associate and identify with, which enables the business to gain a unique brand image.

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9. What are the benefits of a franchise to a franchisee?

It increases the chance of survival.

Established brand name, constant support, training, equipment, access to goods and services, advertising and promotion and operating in an exclusive... Established brand name, constant support, training, equipment, access to goods and services, advertising and promotion and operating in an exclusive area.

They are able to close down the business whenever they like.

Support, training, equipment, access to goods and services, advertising and promotion, guaranteed success and cheaper to set up.

The benefits of a franchise to a franchisee is an established brand name, constant support, training, equipment, access to goods and services, advertising and promotion and operating in an exclusive area.

Explanation

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10. What is the purpose of a business?

To produce goods and products for customers.

To gain profit by producing products.

To sell goods or a service to consumers.

To produce good or a service to meet the needs of customers.

A business is an organization whose purpose is to produce a goods or service to meet the needs of a customer.

Explanation

A business is an organization whose purpose is to produce a goods or service to meet the needs of a customer.

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11. What does market segmentation enable a business to do?

Focus on target market activity and develop a USP to increase profit by enabling repeat purchases.

It allows a business to gather qualitative and quantitative data.

It allows a business to identify gaps in the market where customer needs are not being met.

Meet specific needs, differentiate its product (USP), focus on specific groups, target market activity, develop a unique brand image... Meet specific needs, differentiate its product (USP), focus on specific groups, target market activity, develop a unique brand image and close customer relationships.

Market segmentation enables a business to meet customers specific needs and differentiate its product by developing a USP and brand image. It also allows a business to focus on a specific group of customers and target a markets activity aswell as develop close customer relationships via direct customer contact.

Explanation

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12. What are the drawbacks of a franchise?

There are none - a franchise is a guaranteed way for an entrepreneur to start a business which generates large... There are none - a franchise is a guaranteed way for an entrepreneur to start a business which generates large sums of profit.

It reduces the chance of added value which causes the chance of survival and long term growth to also decrease... It reduces the chance of added value which causes the chance of survival and long term growth to also decrease as your control over the business is limited.

Unable to change the product/service sold and the store which increases the chance of failure.

You have limited control, the start up is expensive as well as the royalty payments and there is a complicated... You have limited control, the start up is expensive as well as the royalty payments and there is a complicated application process.

The drawbacks of starting a franchise is that you have limited control, the start up is expensive as well as the royalty payments and there is a complicated application process.

Explanation

The drawbacks of starting a franchise is that you have limited control, the start up is expensive as well as the royalty payments and there is a complicated application process.

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13. A market segment is a group of buyers with similar characteristics and buying habits, what can these be identified as?

Age, gender, location, ethnicity, religious groups and income.

Gender, age, income.

Location, ethnicity, religious groups, income, gender and lifestyle.

Age, gender, income and lifestyle.

Similar characteristics can be divided into categories of age, gender, location, ethnicity, religious groups and income ( perceived status).

Explanation

Similar characteristics can be divided into categories of age, gender, location, ethnicity, religious groups and income ( perceived status).

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14. What are the benefits of a franchise?

Established brand name, equipment, access to goods and services, advertising and promotion and operating in an exclusive area.

Higher chance of survival.

There are less risks than starting up your own business, as all starting costs are covered, there is a large... There are less risks than starting up your own business, as all starting costs are covered, there is a large amount of control and high success rate.

Expensive marketing costs are covered, established brand image, higher chance of survival, established customer base, tried and tested products and... Expensive marketing costs are covered, established brand image, higher chance of survival, established customer base, tried and tested products and on going support and training.

The benefits of a franchise are that expensive marketing costs are covered, there is already an established brand image, there is a higher chance of survival, an established customer base, tried and tested products to use and constant support and training.

Explanation

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15. What is added value?

Making a product different in a way which increases the chance of customers buying it.

The increased worth a business creates for a product and the difference between supplying expenses and the selling price.

Making a product more convenient, increasing the speed of a service, adding a better design, improving the quality and branding... Making a product more convenient, increasing the speed of a service, adding a better design, improving the quality and branding and developing a USP.

The increased worth a business creates for a product.

Added value is the increased worth a business creates for a product and the difference between supplying expenses and the selling price.

Explanation

Added value is the increased worth a business creates for a product and the difference between supplying expenses and the selling price.

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16. What does market research tell a business?

Features, quality of products, price, age and gender, location and the growth and shrink of a market.

Price, location, quality of products, product range, customer service and age and gender.

Features, price, location, age and gender, competitors and the growth and shrink of a market.

Customer service, product quality, location and competitors.

Market research allows a business to understand what features are wanted, what customers are willing to pay, where they will shop, age and gender of customers, the main competitors and the market growth and shrink.

Explanation

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17. What factors influence a business when choosing a location?

Competition proximity, cost, passing trade and accessibility.

Existing market, demand for the product and the buying characteristics of the people in the area.

Cost, demand for the product and existing competition.

All of the above.

Factors that influence a business when choosing a location are competition proximity, cost, passing trade and accessibility.

Explanation

Factors that influence a business when choosing a location are competition proximity, cost, passing trade and accessibility.

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