External Influences on Business module quiz: O-Level Business Studies (SEAB 7085) quiz

Maximising one private firm's profit

Setting every shop's prices

Low unemployment

Closing all factories

The control of interest rates by the central bank

The setting of exchange rates by businesses

A firm's pricing strategy

The government's use of taxation and government spending to influence the economy

Monetary policy

Fiscal policy

Marketing policy

Pricing policy

Borrowing becomes cheaper and demand rises

Borrowing becomes more expensive and consumer demand may fall

It has no effect at all

It guarantees higher profit

Boom

Recovery

Recession

Peak

Greatly expand and hire many new staff

Ignore the change in demand

Raise all prices sharply

Cut costs, reduce output or focus on lower-priced products to match weaker demand

The growing integration of economies through trade, investment and the movement of goods, services and people across borders

Businesses trading only within their home country

A method of stock control

A government tax on local firms

A subsidy for exporters

A tax on imported goods

A type of share

A method of advertising

The end of all exchange-rate risk

A guarantee of no competition

Access to larger overseas markets and cheaper resources

Lower quality standards everywhere

They become cheaper for foreign buyers

They are banned

Their price is unaffected

They become more expensive for foreign buyers

Exporters

Importers

No one

Only the government

Its imported materials become more expensive

Its imported materials become cheaper, lowering its costs

It can no longer import anything

Its costs are unaffected

Ignoring everything except profit

A type of bank loan

A business considering its effect on society and the environment, not just profit

A government tax

Guaranteed lower costs immediately

An end to the need to make profit

The removal of all competitors

An improved reputation that can attract customers and reduce the risk of fines