3.5 Firms
DRAFT
9th - 12th grade
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3.5 Firms
DRAFT
an hour ago
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deanhoss
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9th - 12th grade
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20 Questions
Show answers
Question 1
SURVEY
Ungraded
30 seconds
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Q.
Two or more firms agree to form as a new organization, losing original identities
answer choices
Merger
Joint venture
Acquisition
Franchise
Merger
alternatives
Joint venture
Acquisition
Franchise
Question 2
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30 seconds
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Q.
One company buys a controlling interest in another firm
answer choices
Horizontal integration
Acquisition
Merger
Internal growth
Horizontal integration
alternatives
Acquisition
Merger
Internal growth
Question 3
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Q. Two
or more businesses split costs, risks, control and rewards of a project
answer choices
Strategic alliance
Franchise
Joint venture
Merger
Strategic alliance
alternatives
Franchise
Joint venture
Merger
Question 4
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Q.
A synonym for 'acquisition'
answer choices
Internal growth
Vertical integration
Merger
Takeover
Internal growth
alternatives
Vertical integration
Merger
Takeover
Question 5
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Q.
PepsiCo acquiring Quaker Oats Company represents which type of integration?
answer choices
Lateral
Backward vertical
Forward vertical
Conglomeration
Lateral
alternatives
Backward vertical
Forward vertical
Conglomeration
Question 6
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Q.
An organisation that operates in two or more countries, with head office in a home country
answer choices
Globalisation
Multi National Company
Strategic alliance
Conglomerate
Globalisation
alternatives
Multi National Company
Strategic alliance
Conglomerate
Question 7
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Q.
Refers to the combined effect being greater than the sum of the individuals
answer choices
First mover advantage
Diversification
Flexibility
Synergy
First mover advantage
alternatives
Diversification
Flexibility
Synergy
Question 8
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Q.
To combine or unite to form one organization
answer choices
Redundancy
Franchise
Conglomerate
Amalgamation
Redundancy
alternatives
Franchise
Conglomerate
Amalgamation
Question 9
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Q.
When a business buys up a firm operating in the same stage of production
answer choices
Horizontal integration
Vertical integration
Lateral integration
Internal growth
Horizontal integration
alternatives
Vertical integration
Lateral integration
Internal growth
Question 10
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Q.
Growth type when a business grows using its own resources to increase scale of its operations
answer choices
Vertical
External
Organic
Lateral
Vertical
alternatives
External
Organic
Lateral
Question 11
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Q.
Joint ventures, mergers and acquisitions are all examples of what type of growth?
answer choices
Internal
External
Organic
Branding
Internal
alternatives
External
Organic
Branding
Question 12
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Q.
All of the following are examples of internal economies of scale EXCEPT
answer choices
Skilled labour
Financial
Technical
Management
Skilled labour
alternatives
Financial
Technical
Management
Question 13
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Q.
All of the following are examples of external economies of scale EXCEPT
answer choices
Technological
Purchasing
Improved transportation
Regional specialisation
Technological
alternatives
Purchasing
Improved transportation
Regional specialisation
Question 14
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Q.
An increase in the average costs of production as a firm grows is referred to as
answer choices
Economies of scale
Diseconomies of scale
Bad business
Cost push inflation
Economies of scale
alternatives
Diseconomies of scale
Bad business
Cost push inflation
Question 15
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Q. A benefit of an organization being small is
answer choices
Brand recognition
Lower prices
Greater choice
Greater motivation
Brand recognition
alternatives
Lower prices
Greater choice
Greater motivation
Question 16
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Q.
Which of the following is a benefit to an organisation being large?
answer choices
Cost control
Market leader status
Government aid
Flexibility
Cost control
alternatives
Market leader status
Government aid
Flexibility
Question 17
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Q.
Which of the following is NOT a benefit to mergers and acquisitions?
answer choices
Greater market share
Synergy
Diversification
Redundancies
Greater market share
alternatives
Synergy
Diversification
Redundancies
Question 18
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Q.
In a franchise agreement, the franchisee benefits from all of these EXCEPT
answer choices
Low risk with tested idea
Training and advise from HQ
Large scale advertising
Shares profits with franchisor
Low risk with tested idea
alternatives
Training and advise from HQ
Large scale advertising
Shares profits with franchisor
Question 19
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Q.
Microsoft purchasing Nokia's hand-held division last year for $7.2Bn represents a/an
answer choices
Vertical acquisition
Organic growth strategy
Conglomerate
Acquisition
Vertical acquisition
alternatives
Organic growth strategy
Conglomerate
Acquisition
Question 20
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Q.
Joint ventures have advantages including all of these EXCEPT
answer choices
Culture clash
Spreading of costs and risks
Entry to foreign markets
Competitive advantage
Culture clash
alternatives
Spreading of costs and risks
Entry to foreign markets
Competitive advantage
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