Naisud National High School

SHS Department

2nd QUARTER SUMMATIVE TEST

APPLIED ECONOMICS

Name: ___________________________________________________________ Score:_______________

Grade/Section: ____________________________________________Track/Strand: ___________________

Subject Teacher: RUPELMA S. PATNUGOT
 I. Identify whether a given statement falls under Strengths (S), Weaknesses (W),
Opportunities (O), or Threats (T).
______1. Your company consistently introduces innovative products, staying ahead of competitors and
attracting a tech-savvy customer base.
______2. The ability to operate in multiple international markets, providing a diversified revenue
stream and reducing dependence on any single market.
______3. Insufficient capital or limited access to funding, hindering the ability to invest in research and
development or expand operations.
______4. Reliance on outdated technology or infrastructure, making it difficult to keep up with
industry standards and meet customer expectations.
______5. Forming partnerships or collaborations with other businesses to tap into complementary
strengths and increase market reach.
______6. Changes in government regulations or policies that could impact the business environment or
require costly compliance measures.
______7. Your organization has a competitive edge in terms of cost efficiency, enabling you to offer
products or services at lower prices than competitors without compromising quality.
______8. Adapting to shifting consumer preferences by introducing new features, flavors, or styles to
meet evolving market demands.
______9. A highly skilled and motivated workforce that is well-trained in the latest technologies,
contributing to increased productivity and efficiency.
______10. Increased competition from existing or new players in the market, potentially leading to
price wars and reduced profit margins.
______11. Over-reliance on a few key employees whose absence could disrupt critical operations or
decision-making processes.
______12. Taking advantage of a booming economy to invest in expansion, research and development,
and marketing initiatives.
______13. Inefficient supply chain processes leading to delays in product delivery, increased costs, and
potential customer dissatisfaction.
______14. Expansion into new and emerging markets where there is a growing demand for your
products or services.
______15. A recession or economic downturn affecting consumer spending, leading to decreased
demand for discretionary goods and services.
______16. Your company has built a solid and trusted brand over the years, leading to customer loyalty
and increased market share.
______17. Growing risks of cyber-attacks, data breaches, or other cybersecurity threats that could
compromise sensitive information and damage the company's reputation.
______18. Over-reliance on a single product or market, making the company vulnerable to changes in
consumer preferences or economic downturns.
______19. Exposure to natural disasters such as earthquakes, floods, or hurricanes, which could disrupt
operations, supply chains, and infrastructure.
______20. Leveraging new technologies to enhance products, streamline processes, and gain a
competitive edge in the market.

A. Multiple Choice Test: Business Environment

______1. What is the primary purpose of environmental scanning in organizations?

a. To assess employee performance c. To identify opportunities and threats affecting
b. To monitor internal environments the business
d. To analyze competitors' strategies

______2. Which part of the business environment is controllable by the management?

a. Micro Environment c. Internal Environment
b. Macro Environment d. External Environment

______3. What is the significance of suppliers in the micro environment?

a. They control the success of the business c. They influence political stability
b. They are responsible for economic factors d. They impact social factors

______4. How do resellers contribute to the delivery of products in the micro environment?
a. They control economic growth c. They have a reputable name that can be
b. They lower prices to expand customer bases leveraged in marketing
d. They influence political factors

______5. What role do customers play in the business environment?

a. They control the success of the business c. They impact political stability
b. They drive revenues d. They influence technological factors

______6. What is the primary focus of political factors in the macro environment?
a. Shared beliefs and attitudes c. Government intervention in the economy
b. Technological advancements d. Economic growth and interest rates

______7. How do economic factors impact organizations?

a. They affect the management of technology d. They significantly impact how an
b. They control the success of the business organization does business and its profitability
c. They influence social factors

______8. Which factors fall under the category of social factors in the macro environment?
a. Suppliers and resellers c. Population growth and attitudes
b. Economic growth and interest rates d. New ways of producing goods and services
______9. How do technological factors affect management and marketing?
a. They impact political stability c. They affect new ways of producing goods
b. They influence social factors and services, distribution, and communication
d. They control the success of the business

______10. Why have environmental factors like pollution targets and ethical business practices become
important?
a. To control economic growth c. To influence social factors
b. Due to the increasing scarcity of raw d. To monitor internal environments
materials

B. Instructions: Identify the correct force corresponding to each description.

______1. Examines the intensity of competition in the market, determined by the number of existing
competitors and their capabilities.
a. Bargaining Power of Buyers c. Threat of Substitute Products or Services
b. Competitive Rivalry d. Threat of New Entrants

______2. Analyzes the power of business suppliers and their control over potential price increases,
affecting a business’s profitability.

a. Bargaining Power of Buyers c. Threat of Substitute Products or Services

b. Competitive Rivalry d. Bargaining Power of Suppliers

______3. Looks at the power of consumers to influence pricing and quality, especially when there are
few buyers and many sellers.

a. Bargaining Power of Buyers c. Threat of New Entrants

b. Competitive Rivalry d. Threat of Substitute Products or Services

______4. Examines how easy or difficult it is for new competitors to enter the marketplace in the
industry, considering barriers like cost advantages and brand recognition.

a. Bargaining Power of Buyers c. Threat of New Entrants

b. Competitive Rivalry d. Threat of Substitute Products or Service

______5. Studies the ease with which consumers can switch to a competitor's product or service,
considering the number of competitors, pricing, and quality.

a. Bargaining Power of Buyers c. Threat of Substitute Products or Services

b. Competitive Rivalry d. Bargaining Power of Suppliers

“You cannot get through a single day without having an impact on the world around you. What you do makes a
difference and you have to decide what kind of a difference you want to make.” —Jane Goodall