ENTREPRENEURSHIP AND THE GLOBAL ECONOMY
GLOBALIZATION AND ENTREPRENEURSHIP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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competition motivates entrepreneurs to introduce new products to consumers
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competition between suppliers drives prices upward
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competition between consumers benefits suppliers
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competition occurs between suppliers and between consumers
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Detailed explanation-1: -Competition also creates opportunities for individuals to enter the marketplace and start new businesses. It creates jobs and provides people with a choice of employers and work places. Competition also reduces the need for governmental interference through regulation of business.
Detailed explanation-2: -Personal freedom is the cornerstone of a free enterprise system. Being able to participate in economic activity according to personal freedom is vital. Private property, economic freedom, economic incentives, competitive markets, and the limited role of government are the characteristics of a free enterprise system.
Detailed explanation-3: -One of the most important characteristics of a market economy, also called a free enterprise economy, is the role of a limited government. Most economic decisions are made by buyers and sellers, not the government.
Detailed explanation-4: -Households are the owners of the factors of production and sell labor in exchange for a wage, land in exchange for rent, and capital in exchange for interest. Firms sell goods and services in exchange for money.