Midterm 1

Front 1

What does a business do and what is its purpose?

Back 1

A business satisfies the needs of others by exchanging desired goods and services for enough money to make a profit. The business produces these goods and services by investing resources (money) to add value to raw materials and/or information.

Front 2

How do the concepts of "voluntary purchase" and "competition" reduce if not eliminate the viability of greed as a business strategy?"

Back 2

All purchases in a free economy are voluntary. Without a customer choosing to have some needs and desires satisfied there is no purchase. Because a business must fulfill the needs of customers within a competitive environment a successful business person must learn to be finely attuned to providing what other people want. Greedy business people soon find that to express their greed as they run their businesses soon leads to a loss of customers and profits and people turn to other businesses to provide the goods and services they want.

Front 3

What role do prices and scarcity play when "price gouging" occurs?"

Back 3

Price is a prime characteristic of the desirability of any product or service. When the price rises the demand for the product decreases on the part of consumers and the supply of the product increases on the part of the business. So when an item becomes scarce people will buy less of it while at the same time businesses will work particularly hard to satisfy the demand more of the item. The fundamental economic issue is how to address the scarcity and a higher price leads to more of the product supplied to the customer.

Front 4

How does being greedy work against success in business?

Back 4

Greed would more readily follow if the business could force a person to buy its product but it cannot. All purchases in a free economy are voluntary. Without a customer choosing to have some needs and desires satisfied there is no purchase. In many (most?) situations greedy business people soon find themselves with no customers no revenue let alone any profit and are soon out of business literally.

Front 5

Business people are often portrayed as bad people on TV. How bad is bad? Cite some specific examples and the overall trend.

Back 5

According to the frequency of occurrence on TV business people are more likely to kidnap or murder than are terrorists or gangs they are almost as likely to commit a serious felony as career criminals and frequently engage in acs such as lying and adultery. They also tend to be bigots and greedy exploiters of the weak or those in need. Negative plots about business outnumbered positive portrayals by almost 4 to 1.

Front 6

What is a paragraph style? List and briefly describe four different paragraph style properties.

Back 6

A paragraph style describes the formatting of a paragraph including indention typeface (font) line spacing within the paragraph line spacing before and after the paragraph and whether or not the paragraph can be separated from the following paragraph at a page break. (See Paragraph... and Borders and Shading... under the Format menu in Word for more styles). Paragraph styles can be used to generate a table of contents and format a PowerPoint presentation. Moreover changing the definition of a style automatically reformats each occurrence of a paragraph with that style throughout the entire document.

Front 7

List four advantages to using Header paragraph styles in Microsoft Word.

Back 7

Four advantages: Automatic generation of a table of contents automatically restyling of all instances of a header when the formatting for the header is changed availability of outline mode and automatic conversion to PowerPoint slides.

Front 8

Briefly outline and describe the three major types of manufacturing from the 18th century to the present

Back 8

with mass customization as the third type."