Business Degree Certification Practice Test

Which of the following is not one of the four primary functional areas of a firm?

1. human resources

2. legal

3. marketing

4. operations

The correct answer is: legal

The four primary functional areas of a firm typically include human resources, marketing, operations, and finance. These areas are essential for the overall functioning and success of a business, as they each handle core responsibilities that contribute to the organization’s goals. Human resources manage the workforce, ensuring the organization has the right people with the right skills. Marketing focuses on promoting and selling products or services, creating demand and maintaining customer relationships. Operations deal with the processes involved in producing goods and delivering services efficiently and effectively. In contrast, while the legal function is important for compliance and managing risks associated with legal issues, it does not constitute one of the primary functional areas. Legal functions often support the existing primary areas but do not have the same direct impact on the core operational aspects of a business's day-to-day activities. Thus, identifying legal as not being one of the primary functional areas reflects an understanding of the main divisions that are central to business operations.