Question 1

Facebook has a stated goal that they provide free, onsite day care for employee's children, and free, healthy lunches for employees. Facebook is concerned with:

Accepted Answer

Facebook's goal of providing free, onsite day care and free, healthy lunches for employees shows a concern for employee welfare. This benefit helps to attract and retain top talent by addressing the work-life balance needs of employees and promoting a healthy lifestyle. This ultimately contributes to the overall success and productivity of the company.

Question 2

Corporate executives and world leaders of each country need to find an ideal balance between protecting its environment and providing its citizens with the additional goods and services necessary to maintain and improve their standard of living. This
Demonstrates a concern for:

Accepted Answer

The concept of finding an ideal balance between protecting the environment and providing goods and services necessary for maintaining and improving the standard of living is the core idea of sustainable development. This approach emphasizes the need to meet present-day needs without compromising the ability of future generations to meet their own needs.

Question 3

Terence, a small business owner was explaining how he was planning for the upcoming holiday season, "We've got to maximize our dollars of sales because profits are adequate at the moment." From this statement, he is most concerned with ________ goals.

Accepted Answer

Terence is focusing on maximizing sales revenue, which is a goal related to generating as much income as possible from sales during the holiday season. This is different from a profit goal, which focuses on increasing overall profits for the business.

Question 4

CIBC is focused on earning a profit for employees and shareholders, while also giving back to the community through their CIBC Run For the Cure campaign, this balance of conflicting goals is referred to as.

Accepted Answer

The balance of earning a profit for employees and shareholders while also giving back to the community through their CIBC Run For the Cure campaign is an example of social responsibility. Social responsibility is the recognition that businesses have a responsibility to contribute to the well-being of society beyond just making a profit.

Question 5

The "Big Three" wireless carriers in Canada are constantly battling each other for customers, as a result, they frequently determine the ratio of the sales revenue of their firm to the total sales revenue of all firms in the industry, including the firm itself. The ratio they are calculating is known as:

Accepted Answer

The ratio being calculated by the "Big Three" wireless carriers in Canada is market share, which is the portion of total sales revenue of all firms in the industry that a particular firm generates. Market share is a common metric used to measure the competitive position of a company within an industry.

Question 6

An example of a private organization that does not seek profit is:

Accepted Answer

The Montreal Museum for Fine Arts is a private organization that operates as a non-profit. Its purpose is to provide public access to fine art exhibitions and culturally significant artifacts. The organization does not have a profit motive and operates with the goal of promoting the arts to the general public. The Toronto Blue Jays are a for-profit sports team, Industry Canada is a government agency, and FedEx is a for-profit shipping company.

Question 7

When the Federal Government places Carbon Tax Caps on oil sand producers in Alberta, they are trying to balance the profit goals of businesses with their ________ goals.

Accepted Answer

By placing Carbon Tax Caps on oil sand producers, the Federal Government is trying to promote social responsibility among businesses. The tax is meant to discourage companies from emitting excessive carbon into the environment, which aligns with the government's goals of promoting sustainability and environmental responsibility.

Question 8

Market share is:

Accepted Answer

Market share refers to the percentage of total sales in an industry that is generated by a particular company. It is calculated by dividing the sales revenue of the firm by the total sales revenue of all firms in the industry, including the firm itself. Therefore, the best choice is C.

Question 9

Pfizer Canada offering day-care facilities to its employees; and BC Biomedical offering flex-work opportunities illustrates what type of goals?

Accepted Answer

Pfizer Canada and BC Biomedical are both demonstrating a focus on employee welfare by offering daycare facilities and flex-work opportunities, respectively. These goals are not related to sales revenue, market share, or return on investment.

Question 10

All organizational strategies are influenced by each of the following EXCEPT:

Accepted Answer

Organizational strategies are primarily influenced by factors such as organizational direction, offering (products or services), and organizational foundation (mission, vision, values). Profit is a result or goal of these strategies rather than an influencing factor on the strategies themselves.

Question 11

A nonprofit organization is a nongovernmental organization that does not have profit as an organizational goal. What other quality characterizes nonprofit organizations?

Accepted Answer

Nonprofit organizations are expected to serve the public good through their activities and programs. While they may generate revenue, the goal is not to make a profit but rather to further their mission and impact on society. Nonprofit organizations are also expected to be efficient and effective in their operations, although they may have different metrics for measuring success compared to for-profit organizations. Quality is also an important aspect for nonprofit organizations, as they are often held accountable by donors, stakeholders, and regulatory bodies.

Question 12

Bell Canada issued a statement to their shareholders that said: "sales revenue is our focus over the next five years." Shareholders created a petition because they felt their concerns were not being met. The main reason why shareholders were concerned was because Bell Canada implicitly said: "we will ________ "

Accepted Answer

The statement implies that Bell Canada's focus is on increasing sales revenue, even if it means sacrificing maximum profitability. This implies that they may prioritize sales over profitability, which could be a concern for shareholders who want to ensure long-term profitability for the company.

Question 13

Pfizer Pharmaceuticals is offering low-income senior citizens some of its most widely used prescriptions for $15 each a month - much below the regular costs for these drugs. This program to better serve senior citizens likely grew out of a

Accepted Answer

The program to offer low-income senior citizens Pfizer's most widely used prescriptions for $15 each a month likely grew out of a sense of social responsibility to better serve this population. This initiative is not solely driven by profit, sales revenue, or unit sales, but rather by an effort to improve access to medication for those who may otherwise struggle to afford it.

Question 14

A firm that includes an ergonomic expert on staff, one that provides recommendations on chair choice to employees, is most likely concerned with:

Accepted Answer

The fact that the company has an ergonomic expert on staff and provides chair recommendations to employees suggests that they prioritize employee welfare and comfort, which can have positive effects on employee satisfaction and productivity. It is less likely that this would have a direct impact on sales revenue.

Question 15

When Telus calculates their market share, they calculate the ratio of their sales revenue to the total sales revenue of all:

Accepted Answer

Market share is calculated by taking the company's sales over the period and dividing it by the total sales of the industry over the same period. This includes all firms in the industry, not just direct or indirect competitors, hence including themselves.

Question 16

Which aspect of a firm, assuming classic economic theory, are shareholders most concerned about?

Accepted Answer

According to classic economic theory, shareholders are only concerned about maximizing profits since their main objective is to maximize returns on their investment. Market share, sales revenue, and quality are important aspects of a firm's success, but they are not the primary concern for shareholders.

Question 17

Assuming all ethical and legal principles are followed, what might be the cause of a company having decreased sales revenue next year, even though they sell the same number of products as last year?

Accepted Answer

Inflation can decrease the value of money, meaning the same number of products sold could result in lower real revenue due to the decreased purchasing power of the currency.

Question 18

Brittany read on the second page of the stockholder's report for a manufacturer of automobile parts, "Our goal for the next five year period is to double our return on investment." She now knows the company has ________ goals.

Accepted Answer

The goal mentioned in the report is to double return on investment, which refers to increasing profits. Therefore, the company has profit goals.

Question 19

Lenovo Computers implemented a new manufacturing strategy that reduced warranty calls by 20 percent. This is an example of setting a goal.

Accepted Answer

By reducing warranty calls, Lenovo Computers aimed to improve customer satisfaction, which is reflected in the decrease in customers needing to call for warranty repairs.

Question 20

Telus accepts their current profit level and focuses on increasing their market share, even though profitability may not be maximized. They are attempting to do what:

Accepted Answer

Telus' strategy is to maintain or increase sales, which is another way of saying they are focusing on increasing their market share. While profitability is still important, it may not be the primary goal in this case.

Quiz 2: Developing Successful Marketing Strategies