Study Tips Sheet for Unit Review Test, Chapters 1-6

Introduction to Business, BUSI 100

Please study the following terms. Be prepared to cite examples. Also, be prepared to answer the questions as presented. The Unit Review Test will consist of multiple choice and essay questions.

Chapter 1- Business

Key Terms

  • business
  • profit
  • loss
  • entrepreneurs
  • nonprofits
  • factors of production
  • business environment
  • value
  • speed-to-market
  • What role does entrepreneurship play in the economy? Whostands to gain from the success of individual entrepreneurs?
  • When did American business begin to concentrate on customerneeds? Why?
  • How does technology help business betterserve customers today?

Chapter 2- Economics

Key Terms

  • economics
  • macroeconomics
  • microeconomics
  • capitalism
  • gross domestic product (GDP)
  • business cycle
  • consumer price index (CPI)
  • money supply
  • reserve requirement
  • How does economics relate to business? Can an understandingof economics help businesspeople succeed? If so, how?
  • Describe the unique challenges faced by companies that sell highly perishable products.
  • How does 1-800-FLOWERS meet and address those challenges?

Chapter 3- The World Marketplace

Key Terms

  • opportunity cost
  • absolute advantage
  • comparative advantage
  • balance of trade
  • importing
  • exporting
  • sociocultural differences
  • free trade
  • World Trade Organization (WTO)
  • NAFTA (North American Free Trade
  • Agreement)
  • European Union (EU)
  • What roles do partnerships, outsourcing, and exporting play in

Method’s global strategy?

Chapter 4- Business Ethics & Social Responsibility

Key Terms

  • ethics
  • business ethics
  • ethical dilemma
  • code of ethics
  • whistleblowers
  • social responsibility
  • stakeholders
  • consumerism
  • planned (built-in) obsolescence
  • cause-related marketing
  • green marketing
  • What is an ethical dilemma? Give an example of an ethicaldilemmas that a worker or manager might face in a businesssetting.
  • Compare the role of the individual and the role of the organizationin ethical decision making. How can business promote anethical climate?

Chapter 5- Business Communication

Key Terms

  • communication
  • noise
  • communication barriers
  • intercultural communication
  • nonverbal communication
  • active listening
  • communication channels
  • gender bias/neutral word choices
  • Why is nonverbal communication so important? How can youtell when nonverbal communication is effective?
  • Why is active, effective listening so difficult for many people?

Chapter 6- Business Formation

Key Terms

  • sole proprietorship
  • partnership
  • corporation
  • board of directors
  • nonprofit corporation
  • franchising
  • franchisor
  • franchisee
  • What kind of entrepreneur is Ann Withey with Annie’s Homegrown? What personal traitsdoes she exhibit that entrepreneurs need to succeed?