Entrepreneurship and Effective Small Business Management, 11e (Scarborough)
Chapter 3 Creativity and Innovation: Keys to Entrepreneurial Success
1) ________ is the ability to develop new ideas and to discover new ways of looking at problems
and opportunities.
A) Showboating
B) Commoditizing
C) Innovation
D) Creativity
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
2) ________ is the ability to apply creative solutions to problems and opportunities to enhance or
to enrich people’s lives.
A) Showboating
B) Commoditizing
C) Creativity
D) Innovation
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
3) According to Ted Levitt, creativity is ________ new things.
A) thinking
B) doing
C) corroborating
D) emulating
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
4) According to Ted Levitt, innovation is ________ new things.
A) thinking
B) doing
C) corroborating
D) emulating
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
1
5) For entrepreneurs, simply having a great new idea is not enough; transforming the idea into a
________ product, service, or business venture is the next step.
A) plausible
B) legible
C) intangible
D) tangible
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
6) Which one of the following is NOT a small business innovation enabler, according to Intuit?
A) Compassion
B) Customer connection
C) Agility and adaptation
D) All are enablers
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
7) Some small businesses create innovations ________ in response to customer feedback or
changing market conditions.
A) responsibly
B) compassionately
C) reactively
D) proactively
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
8) Some small businesses create innovations ________ by spotting opportunities on which to
capitalize.
A) responsibly
B) compassionately
C) reactively
D) proactively
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
2
9) Innovation is ________ when it creates market-changing, disruptive breakthroughs that are
the result of generating something from nothing.
A) mandatory
B) perfunctory
C) evolutionary
D) revolutionary
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
10) More often, innovations are ________.
A) evolutionary
B) revolutionary
C) proactive
D) All of the above
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
11) The iPod is an example of a ________ innovation.
A) revolutionary
B) evolutionary
C) proactive
D) perfunctory
Topic: Creativity, Innovation, and Entrepreneurship
AACSB: Analytic Skills
12) ________ thinking is going from one logical conclusion to the next.
A) Vertical
B) Lateral
C) Simultaneous
D) Parallel
Topic: Creative Thinking
AACSB: Analytic Skills
3
13) ________ thinking is considering a problem from all sides and jumping into it at different
points.
A) Vertical
B) Lateral
C) Simultaneous
D) Parallel
Topic: Creative Thinking
AACSB: Analytic Skills
14) Another word for vertical thinking is ________ thinking.
A) lateral
B) linear
C) parallel
D) simultaneous
Topic: Creative Thinking
AACSB: Analytic Skills
15) The ________ brain processes information in a step-by-step fashion.
A) left
B) right
C) front
D) back
Topic: Creative Thinking
AACSB: Analytic Skills
16) The ________ brain processes information intuitively.
A) left
B) right
C) front
D) back
Topic: Creative Thinking
AACSB: Analytic Skills
4
17) Which brain handles language, logic, and symbols?
A) Left
B) Right
C) Front
D) Back
Topic: Creative Thinking
AACSB: Analytic Skills
18) Which brain takes care of the body’s emotional, intuitive, and spatial functions?
A) Left
B) Right
C) Front
D) Back
Topic: Creative Thinking
AACSB: Analytic Skills
19) Which one of the following is a barrier to creativity?
A) Searching for the one “right” answer
B) Focusing on being “logical”
C) Blindly following the rules
D) All of the above
Topic: Barriers to Creativity
AACSB: Analytic Skills
20) According to research, creativity among both children and adults in the United States has
declined markedly since:
A) 1990.
B) 1995.
C) 2000.
D) 2005.
Topic: Barriers to Creativity
AACSB: Reflective Thinking
5
21) ________ is (are) a valuable part of the creative process, especially when evaluating ideas
and implementing them.
A) Rules
B) Unequivocality
C) Logic
D) All of the above
Topic: Barriers to Creativity
AACSB: Reflective Thinking
22) Focusing too much effort on being logical also discourages the use of one of the mind’s most
powerful creations: ________.
A) rationality
B) rigidity
C) credibility
D) intuition
Topic: Barriers to Creativity
AACSB: Analytic Skills
23) A common killer of creativity is ________ thinking.
A) flexible
B) intuitive
C) equivocal
D) myopic
Topic: Barriers to Creativity
AACSB: Reflective Thinking
24) ________ thinking is narrowly focused and limited by the status quo.
A) Flexible
B) Intuitive
C) Creative
D) Myopic
Topic: Barriers to Creativity
AACSB: Reflective Thinking
6
25) To avoid myopic thinking, creative companies include ________ in creative problem solving
or idea generation sessions.
A) nonexperts
B) experts
C) industry specialists
D) industry generalists
Topic: Barriers to Creativity
AACSB: Analytic Skills
26) ________ encourages us to “think something different.”
A) Ambiguity
B) Reciprocity
C) Animosity
D) All of the above
Topic: Barriers to Creativity
AACSB: Reflective Thinking
27) Creative thinking is no place for ________.
A) ambiguity
B) conformity
C) flexibility
D) All of the above
Topic: Barriers to Creativity
AACSB: Analytic Skills
28) Thanks to ________, the cost of failed attempts at innovation has never been lower.
A) globalization
B) distance
C) technology
D) localization
Topic: Barriers to Creativity
AACSB: Reflective Thinking
7
29) Which one of the following is a suggestion to enhance creativity in organizations?
A) Include creativity as a core company value and make it an integral part of the company’s
culture
B) Hire for conformity
C) Eschew diversity
D) All of the above
Topic: How to Enhance Creativity
AACSB: Analytic Skills
30) Innovative companies do not take a(n) ________ approach to creativity.
A) proactive
B) active
C) passive
D) All of the above
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
31) One of the best ways to cultivate a culture of creativity is to hire a ________.
A) monolithic workforce
B) diverse workforce
C) homogeneous workforce
D) local workforce
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
32) Research suggests that innovative companies are structured like ________ rather than a
traditional pyramid.
A) boxes
B) circles
C) linguini
D) spaghetti
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
8
33) The ________ environment in which people work has an impact on their level of creativity.
A) emotional
B) physical
C) national
D) All of the above
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
34) ________ are entrepreneurs who operate within the framework of an existing business.
A) Managers
B) Disruptors
C) Intrapreneurs
D) Challengers
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
35) While working for iRobot, Jim Lynch came up with a new product while cleaning the gutters
on his house. Lynch is an example of a(n) ________.
A) entrepreneur
B) disruptor
C) intrapreneur
D) manager
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
36) The voice of a ________ can be an important source of creative ideas.
A) customer
B) competitor
C) operator
D) manager
Topic: How to Enhance Creativity
AACSB: Analytic Thinking
9
37) Focusing on the “________” uses of a product or service limits creativity.
A) unconventional
B) innovative
C) traditional
D) unorthodox
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
38) Creativity is “________” as much as it is “taught.”
A) bought
B) caught
C) sought
D) concocted
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
39) Creativity is “caught” as much as it is “________.”
A) bought
B) sought
C) concocted
D) taught
Topic: How to Enhance Creativity
AACSB: Reflective Thinking
40) ________ is (are) the fuel that drive(s) creativity.
A) Rules
B) Imagination
C) Conformity
D) Rigidity
Topic: Enhancing Individual Creativity
AACSB: Analytic Thinking
10