Float is the net number of days of cash flowing into or out of a company.
The business plan helps an entrepreneur assess ideas in a relatively short period of time.
The rapidly accelerating rate of change has created an environment in which staying in
a leadership position requires constant creativity, innovation, and entrepreneurship.
First comes idea assessment, then comes feasibility analysis.
Some of the strategic options entrepreneurs have when deciding to go global include the
Web, joint ventures, and franchising.
Generally, the higher the small firm’s average collection period ratio, the greater the
chance of bad debt losses.
Surveys show that small business owners believe that, as entrepreneurs, they work
harder, earn more money, and are happier than if they worked for a large company.
Most customers welcome well-constructed permission e-mail that directs them to a
company’s site for information or special deals however, they usually do not appreciate
spam.
Reilly’s Law of Retail Gravitation ________.
A) uses the analogy of gravity to estimate the attractiveness of a particular business to
potential customers
B) predicts the declining fate of brick-and-mortar retail to online shopping
C) is based on downward trending of established locations
D) uses the analogy of contagious diseases and attracting customers
According to the KPMG’s Integrity Survey, ________ percent of workers say that they
observed ethical lapses in their companies within the last year.
A) 28
B) 57
C) 73
D) 81
Which of the following is an important issue that business owners should consider
before launching an e-commerce effort?
A) How to develop long-term relationships with customers.
B) How to exploit the interconnectivity and the opportunities it creates to transform
relationships with its suppliers, customers, and external stakeholders.
C) How to measure the success of its Web-based sales effort.
D) All of the above
Maria Sanchez is the owner of the Main Street Caf© and a new restaurant opens a few
blocks away. From Maria’s perspective, this new restaurant constitutes a(n) ________.
A) strength
B) weakness
C) threat
D) opportunity
The Boat and Ski Shop, a small retail boat shop, would most likely rely on which of the
following methods to finance its inventory?
A) Discounted installment contracts
B) Floor planning
C) Installment loans
D) Trade credit
Which of the following is not a question to ask to evaluate an industry?
A) How sparse is the industry?
B) How large is the industry?
C) How fast is it growing?
D) What threats does the industry face?
In job enrichment, ________ is the degree to which a job substantially influences the
lives or work of others (employees or final customers).
A) skill variety
B) task identity
C) task significance
D) autonomy
Regarding Gunther’s Emporium, refer to the following to answer the question(s)
below:
Gunther’s Emporium expects net sales of $2,396,919 for the upcoming year, with
variable expenses totaling $1,813,443 and fixed expenses of $412,190.
If Gunther’s net profit target for the year is $190,000, what sales level must he achieve?
A) $2,473,796
B) $1,876,324
C) $5,667,009
D) None of the above
All of these are steps small companies follow when they begin conducting global
business on the Web except ________.
A) connecting to e-mail
B) building a globally-accessible Web site
C) setting up links to related company Web sites
D) using the Web to conduct international market research
Which of the following is not one of the ways entrepreneurs can stimulate their own
creativity and encourage it among their workers?
A) Provide creativity training.
B) Encourage curiosity.
C) View challenges as problems.
D) Develop a corporate culture that both fosters and rewards creativity.