Business Exam 1: Definitional Flash Cards

What are teams?

Interdependent; Stable; Shared accountability; Decision-making entities

What limits team effectiveness?

Unclear roles; Lack of support; Lack of psychological safety; Groupthink; Unwillingness to cooperate; Lack of motivation/effort; Interpersonal upsetting

What is shareholder primacy?

The main purpose of business is to maximize shareholder wealth.

What is stakeholder capitalism?

The main purpose of business is to maximize benefits for all involved in the business.

What is the common good perspective?

The main purpose of business is to facilitate the flourishing and thriving of all.

What is Jesus-sprinkled business?

Ethics and experiences

What is faith-forward business?

Deep integration of faith principles

What is missional business?

Focus on business as a way to share the Gospel

What is redemptive business?

The Christian call in business is to redeem and transform it

What are big rocks in time management?

The most important things you have (either daily, weekly, or in life)

What are little rocks in time management?

Secondary things that are useful to you

What is sand in time management?

Small things or interruptions that don't move you forward

What is macroeconomics focused on?

Inter/national

What is GDP?

Gross domestic product; Market value of all final goods/services produced

What types of employment/unemployment were discussed?

Full; Frictional; Structural; Cyclical; Seasonal

What is purchasing power?

Value of what money can buy

What is inflation measured by?

Consumer price index (CPI); Producer price index (PPI)

What is monetary policy?

A macroeconomic policy tool

What is fiscal policy?

A macroeconomic policy tool

What is microeconomics focused on?

Individuals, households, industries

What is demand?

Quantity you're willing to buy at various prices

What is supply?

Quantity a business will make available at various prices

What is equilibrium?

The point where supply and demand meet

What is thinking on the margin?

Letting go of the past and thinking about what's best for RIGHT NOW

What are incentives designed to do?

End goal: behavior shift

What is utility?

Total satisfaction derived from consuming a good/service

What is a sole proprietorship?

Established, owned, and operated by one person

What is a partnership?

Operated by two or more individuals who share in profits/losses and management of company

What types of partnerships were discussed?

General; Limited

What is a corporation?

Legal entity that can own property, enter contracts, sue/be sued, and engage in business; Separate from owners

What is a C Corporation?

Conventional corporate organization

What is a B Corporation?

For-profit corporation certified for social impact; Meets certain operational standards; Has expanded definition of stakeholders

What is an S Corporation?

Smaller corporations; Taxed like partnership (so as personal income); Limits on shareholders and stock

What is a cooperative?

Member owners pay fees to the greater cooperative and participate in profit sharing; Member owners all participate in the control and running of the company

What is a franchise?

Arrangement where franchisor lets franchisee operate under its brand; Franchisee pays fee and ongoing royalties; franchisor provides support

What is the business case for corporate social responsibility?

Self-interest; Sound investment

What is the normative case for corporate social responsibility?

It's the right thing; We respect our social contract

What are the four CSR responsibilities?

Philanthropic; Ethical; Legal; Economic

What is consequentialism?

Focus: consequences of action; Acts are morally wrong if they adversely affect a majority of people

What is the deontological approach?

Focus: means of decision-making and following rules/rights; Acts are morally wrong if they are out of line with universal principles and obligations

What is the virtue approach?

Focus: developing and demonstrating good character; Acts are morally wrong if they lead to or flow from morally vicious character

What is the care approach?

Focus: maintaining and promoting the well-being of those we're in relationship with; Acts are morally wrong if they ignore the expressed/desired needs of others