Entrepreneurs always
a. start their business at a young age
b. quit school and devote themselves to being an entrepreneur
c. use credit cards to start their own businesses
d. generate ideas and plan for their implementation
Which of the following is an obstacle to corporate entrepreneurship?
a. orientation to the market
b. a system of feedback and positive reinforcement
c. traditional management techniques
d. rewards based upon results
The first step in the preparation of the cash flow budget is the
a. identification of cash inflows.
b. identification of cash outflows.
c. identification and timing of cash inflows.
d. identification and timing of cash outflows.
Marketing segmentation focuses on which variable?
a. characteristics that differentiate consumers
b. market share
c. cyclographic
d. profitability
An L3C is a new legal form for social enterprises known as
a. limited liability corporations
b. low-profit, limited liability companies
c. long-term, low-profit, low-liability companies
d. limited liability laborers
Entrepreneurial traits include which of the following?
a. salesmanship
b. initiative
c. wealth
d. edginess
A franchise system can be used for handling
a. goods.
b. services.
c. both of the above.
d. none of the above.
The reason many small business managers lack expertise is that they are
a. optimists.
b. specialists.
c. subordinates.
d. generalists.
Among the advantages for global entrepreneurs of diaspora networks is
a. the speed with which information flows across borders
b. the distrust among traditional trading partners
c. the creation of places where anything can happen
d. the decline in political risks across ethnic communities
In the Monroy-Folger Model of Risk Typology, profit-seeking activity is associated
with:
a. strong desire to maximize profit
b. weaker desire to maximize profit
c. strong desire to minimize profit
d. strong desire to maximize sales revenue
In planning, there are a number of critical factors that must be addressed. On that the
textbook mentions is
a. having a calendar.
b. the timetable involved.
c. commitment.
d. employee zeal.
Looking for different or unorthodox relationships among elements and people is one
way to develop creativity. How might a person develop this capacity?
a. by perceiving in a relational mode
b. by perceiving in a restraining mode
c. by perceiving in a restructured mode
d. by perceiving in a retinal mode
Which of the following is a useful rule used to avoid pitfalls in selecting a trademark?
a. Trust a lawyer’s judgment.
b. Copy a competitor’s trademark.
c. Avoid abbreviations and acronyms.
d. Never choose a trademark without first conducting a trademark search.
‘Piggybacking’ one’s way into a new business involves using a ____approach.
a. new-new
b. old-new
c. new-old
d. old-old
Security hunting means
a. using probability and stereotypes to minimize risk
b. finding a permanent source of venture capital
c. sticking firmly to decisions
d. installing a security system
The process approach to entrepreneurship seeks to
a. explain the process of obtaining patents
b. model the various factors that characterize the entrepreneurial process
c. explain intrapreneurship
d. explain the process of obtaining venture capital
In many new small ventures planning is often
a. well accomplished.
b. overdone.
c. overused.
d. lacking.
A method that discounts future cash flows at a rate that makes the net present value of
the project equal to zero is known as
a. internal rate of return.
b. net present value.
c. payback method.
d. break-even point.
When considering physical facilities, the entrepreneur should be concerned about
a. which facilities are owned versus leased.
b. which facilities are used for production.
c. whether adequate capital is maintained.
d. facility upkeep.
An infringement budget deals with
a. legal battles.
b. government bribes.
c. the outside molding of a building.
d. advertising expenditures.
An approach developed as a criteria selection list from which entrepreneurs can gain
insights into the viability of their venture is the
a. feasibility criteria approach.
b. time-essence of a venture approach.
c. marketability feasibility approach.
d. comprehensive feasibility approach.
A business plan should illustrate
a. the current status of a related enterprise.
b. the projected needs of the new business.
c. the desires of competitors.
d. changes in their borrowing practices
The average life expectancy of a privately held firm is
a. 24 years.
b. 10 years.
c. and indefinite number of years.
d. 50 years.
What is a critical consideration when assessing customer availability?
a. amount of products sold
b. length of time needed to determine who the customers are and what their buying
habits are
c. the exact profitability of the venture
d. all of the above
Ray Kroc’s development of McDonald’s would be a good illustration of which form of
innovation?
a. invention
b. extension
c. duplication
d. synthesis
Because of the fair use doctrine, it is sometimes difficult to establish infringement.
Name and describe four of the ten major myths of management.
The timing of projected income or cash flows is not a critical factor in establishing the
value of a firm.
Mobile social media applications can be differentiated based on location-sensitivity as
well as on time-sensitivity.
The venture capital pool is rapidly declining due to overfunding.
The first step in the preparation of the cash flow budget is the identification and timing
of cash outflows.
Most innovations result from a conscious and purposeful search for new opportunities.
Only ten percent of all privately held enterprises make it to a third generation.
Since the mid-1990s, the number of new start-up ventures has been approximately 1500
per day.
Explain some of the disadvantages that may occur in firms that are trying to incorporate
entrepreneurship into their organizations.