Final Exam Practice Questions

Restaurants near Grand Park Stadium in Chicago raise their prices significantly when the city's baseball team plays home games. This practice is an example of what pricing strategy? (ch 15)

dynamic pricing

Derek's company requires employee performance reviews to fit a specific curve, ensuring only a set percentage can be ranked at the top. This evaluation process is called _________. (ch12)

forced ranking

Compact living spaces under 150 square feet have become trendy among urban dwellers seeking minimalist lifestyles. This highly focused market is an example of a ________. (ch14)

Niche Market

To accelerate innovation, a tech giant acquires a startup specializing in artificial intelligence products, saving years of development time. This type of acquisition benefit is known as ________. (ch6)

synergy

Lena receives quarterly dividend checks as a shareholder in Alpha Enterprises. This indicates that Alpha Enterprises operates as what type of business entity? (ch6)

Corporation

"Net income per share" is a frequently discussed metric in financial reports. It belongs to which category of financial ratios? (ch 17)

Profitability Ratio

Pinnacle Tech launched a new software platform, attracting many competitors initially, but as growth tapered, smaller players began to exit. This phenomenon is referred to as _________. (ch 15)

Shakeout

Laura heads to TechTown for a discounted smartwatch. While shopping, she ends up purchasing headphones and a charging dock. The store's low smartwatch price represents what pricing tactic? (ch 15)

Loss Leader

Elliot has been asked to mediate a labor dispute and will impose a binding resolution accepted by both parties beforehand. What role is Elliot fulfilling? (ch 13)

Arbitrator

The supply chain system at Delta Manufacturing schedules materials to arrive precisely when needed using detailed production timelines. This approach is supported by what inventory management method? (ch 10)

JIT (Just in Time)

1. What type of intellectual property protection did the restaurant chain Big Joe's secure for its slogan "Grill it Right"? (Ch 14)

Trademark

RiverTech and GreenSphere are companies with diverse operations. They create a new business entity, GreenRiver, to manage their renewable energy projects, while both companies continue their other operations independently. GreenRiver is an example of a(n) (ch 5)

Joint Venture

Alex is leading a project that encounters unexpected delays. Alex remains calm, knowing the delays are in a phase of the project with extra time built in. This part of the project is not on the ___________. (ch10)

Critical Path

Maple Industries is preparing to launch a new product but is worried competitors will quickly introduce similar products. To capture a larger market share quickly, what pricing strategy should Maple Industries use? (Ch15)

penetration

You purchase a cereal box in plain packaging that only says "CEREAL" in large, bold letters. What branding strategy is the manufacturer using?

Generic

Horizon Leisure creates games and activities specifically for assisted living facilities. What market segmentation method is Horizon Leisure using?(ch 14)

Demographic Segmentation

Elite Runner sells premium running shoes and offers a highly personalized shopping experience. Elite Runner can be best described as a(n) ___________. (ch 14)

Specialty Store

What exact financial concept is best described as "earning interest on your own interest"? (Ch 18)

Compound Interest

During the financial crisis, the government authorized a spending package of $800 billion to boost economic activity. This would be categorized as a(n) ___________ move. (ch 3)

Fiscal Policy

A nation exports more goods to another country than it imports from that same country. This situation is called a ___________. (ch 5)

Trade Surplus

A nation exports less goods to another country than it imports from that same country. This situation is called a ___________. (ch 5)

Trade Deficit

A nation exports the equal amount of goods to another country compared to company imports . This situation is called a ___________. (ch 5)

Balanced Trade

A cosmetics brand partners with a local company in Brazil to manufacture and market its products, but the local brand name is used. This is an example of what entry strategy? (ch 5)

Licensing

Company X attempts to acquire Company Y, but Y's leadership resists the offer. Company X bypasses the leadership and appeals directly to the shareholders, ultimately taking over. This is known as a ___________. (ch 4)

Hostile Takeover

Tech innovator Sarah excels in finding creative solutions and planning for the future through abstract reasoning and careful thought. Sarah is demonstrating strong ___________. (ch 8)

Conceptual

After negotiating with union leaders, Jamie reached an agreement on a new labor contract. This process is called ___________.(ch 14)

Collective Bargaining

A welder believes his supervisor's actions violated the union contract and files a ___________ to resolve the issue. (ch 13)

Grievance

Clean Eating Co. sells frozen dinners, snacks, and desserts under the same brand name. This branding strategy is called ___________. (ch 14)

multiproduct

Pricing an item at $9.99 instead of $10 is an example of what type of pricing strategy?(ch 15)

odd even pricing

The type of financial ratio that evaluates a company's ability to meet short-term obligations is called a ___________ ratio.(ch 17 )

Liquidity

A 2023 poll found that XYZ skincare is the most trusted name in moisturizers. In marketing terms, this is an example of strong ___________. (ch 4)

Brand Equity

To which federal agency must publicly traded companies submit annual financial reports? (Ch 4)

Securities and Exchange Commission

What are the four P's of marketing ?(ch 14)

Product, Price, Place, Promotion

If a store priced an item at $5 with a markup of 25%, how much did they pay the manufacturer for that item?(ch15)

5/ (100% + 25%) = 4

What is a FICO score?(ch 17)

formal name for credit score

What are the 4 C's in marketing?(ch 14)

consumer, cost, convenience, communication

Which financial statement provides information about a company's investment in physical assets like buildings and machinery?(ch 17)

Balance Sheet

Sarah deposits $55,000 in a bank account that earns 2% annual interest. How much will she have in 10 years if she doesn't touch the money?(ch 18)

$55000 * [1 + 0.02]^10 = 67044.6931