- •1. Four basic factors necessary for any business. Give the arguments for (or against) the statement that business is essential for all economies.
- •2. Advantages and risks of entrepreneurship. How would you initiate the business if you were an entrepreneur?
- •3. Similarities and differences between a sole proprietor and a partnership.
- •4. Favorable and unfavorable points of a corporation. Which of the three businesses would you prefer to work for?
- •5. The difference between intermittent and continuous production.
- •6. Which method of production would you choose for a) custom-made goods and b) standard goods? What are the most important factors in these methods?
- •7. What two methods do employers use to select applicants for an interview? Suppose you are to employ a manager for your firm. Which method would you use?
- •8. The functions of the personnel department. Your first steps as the Head of the pd if you happen to be appointed to this post.
- •9. The general concept of marketing, its constituent parts. Types of markets.
- •10. Modern marketing – new principles.
- •11. The function of distribution from the view of a business manager. The role of a middleman in distribution.
- •12. The distribution system from the view of a customer. Different types of retail outlets.
- •13. The concept of promotion, its main activities. What type of advertising would you use for promoting a new kind of product your firm has just launched?
- •14. Personal selling – what way does it differ from other forms of promotion? Try to persuade a foreign firm to buy a new passenger airliner constructed in Russia.
- •15. Two types of sales promotion activities. What would you do to promote a new type of tea or coffee?
- •16. Interdependence of promotion and market situation. What would you do if the market turns out to be saturated with your goods?
- •17. Four aspects of international business. What is the main difference between Smith’s theory and Ricardo’s theory?
- •18. Discuss the activities of an exporting company and the reactions of the country importing products. How should the country protect its domestic industries?
- •19. The importance of computers. Your opinion about the advantages and disadvantages of using computers. The prospective ways of computer development.
- •20. Types of layout. Compare product layout and process layout.
4. Favorable and unfavorable points of a corporation. Which of the three businesses would you prefer to work for?
The corporation is a legal entity which is chartered by the state in which it is incorporated. As a legal entity, the corporation can own property that is not a personal wealth of its owners. The ownership of the corporation is divided into shares of stock. One stockholder or shareowner can buy, sell, and trade his shares without permission from the other owners. The stock owners vote for a board of directors who hire a president or chief executive officer to run the company. The liability of a corporation is limited to the value of the assets of the company.
The corporation has access to large amounts of capital and has limited liability, but its activities are closely monitored by government agencies. The Securities and Exchange Commission regulates the stock trades. A large corporation has a lot of managers who can specialize in different aspects of the business. However, the corporation must have good organization for efficient operation. Another disadvantage of the corporation is that its profits are taxed twice. The profits are taxed once as corporate profits, and then the individual stockholders pay personal income taxes on their dividends.
If I chose between the sole proprietorship, the partnership, and the corporation, I would prefer to work for corporation. The main reason is that, to my mind, there are the best perspectives of the career grows and the highest salary. Also, working conditions in large companies are better, they offer good fringe benefits, so, there are more opportunities. It’s my point of view. Even if I had capital, I wouldn’t start a business in the sole proprietorship form of organization. Because it’s easier and less risky, I think, to invest this capital in share of stock of a corporation.
5. The difference between intermittent and continuous production.
There are two basic methods of production: intermittent and continuous.
In intermittent production, several of the same type of items are produced. Then production of that item stops and production of another item begins. Labor and equipment work on one particular product for a short period of time. Machinery is set up and adjusted for a specific job. When the job is finished, the machinery is taken apart or reset for a different job.
In continuous production, labor and equipment work continuously, making one type of product for a long period of time. The company buys specialized machinery, or they adjust their machinery for a production period that will probably continue for months. The products must be standardized and the volume must be large.
With intermittent production many designs and styles are possible, so a large variety of goods can be produced. The design can easily be changed to suit each individual customer.
Continuous production is generally less flexible than intermittent production. There can be only a few models, styles and designs. Standard goods are generally manufactured using the continuous type of production process. They are made not for a specific customer, but for a group of customers.