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Entrepreneurship and Effective Small Business Management, 11e, Global Edition
(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
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
3) According to Ted Levitt, creativity is ________ new things.
A) thinking
B) doing
C) corroborating
D) emulating
4) According to Ted Levitt, innovation is ________ new things.
A) thinking
B) doing
C) corroborating
D) emulating
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
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
7) Some small businesses create innovations ________ in response to customer feedback or
changing market conditions.
A) responsibly
B) compassionately
C) reactively
D) proactively
8) Some small businesses create innovations ________ by spotting opportunities on which to
capitalize.
A) responsibly
B) compassionately
C) reactively
D) proactively
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
10) More often, innovations are ________.
A) evolutionary
B) revolutionary
C) proactive
D) All of the above
11) The iPod is an example of a ________ innovation.
A) revolutionary
B) evolutionary
C) proactive
D) perfunctory
12) ________ thinking is going from one logical conclusion to the next.
A) Vertical
B) Lateral
C) Simultaneous
D) Parallel
13) ________ thinking is considering a problem from all sides and jumping into it at different
points.
A) Vertical
B) Lateral
C) Simultaneous
D) Parallel
14) Another word for vertical thinking is ________ thinking.
A) lateral
B) linear
C) parallel
D) simultaneous
15) The ________ brain processes information in a step-by-step fashion.
A) left
B) right
C) front
D) back
16) The ________ brain processes information intuitively.
A) left
B) right
C) front
D) back
17) Which brain handles language, logic, and symbols?
A) Left
B) Right
C) Front
D) Back
18) Which brain takes care of the body's emotional, intuitive, and spatial functions?
A) Left
B) Right
C) Front
D) Back
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
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.
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
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
23) A common killer of creativity is ________ thinking.
A) flexible
B) intuitive
C) equivocal
D) myopic
24) ________ thinking is narrowly focused and limited by the status quo.
A) Flexible
B) Intuitive
C) Creative
D) Myopic
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
26) ________ encourages us to "think something different."
A) Ambiguity
B) Reciprocity
C) Animosity
D) All of the above
27) Creative thinking is no place for ________.
A) ambiguity
B) conformity
C) flexibility
D) All of the above
28) Thanks to ________, the cost of failed attempts at innovation has never been lower.
A) globalization
B) distance
C) technology
D) localization
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
30) Innovative companies do not take a(n) ________ approach to creativity.
A) proactive
B) active
C) passive
D) All of the above
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
32) Research suggests that innovative companies are structured like ________ rather than a
traditional pyramid.
A) boxes
B) circles
C) linguini
D) spaghetti
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
34) ________ are entrepreneurs who operate within the framework of an existing business.
A) Managers
B) Disruptors
C) Intrapreneurs
D) Challengers
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
36) The voice of a ________ can be an important source of creative ideas.
A) customer
B) competitor
C) operator
D) manager
37) Focusing on the "________" uses of a product or service limits creativity.
A) unconventional
B) innovative
C) traditional
D) unorthodox
38) Creativity is "________" as much as it is "taught."
A) bought
B) caught
C) sought
D) concocted
39) Creativity is "caught" as much as it is "________."
A) bought
B) sought
C) concocted
D) taught
40) ________ is (are) the fuel that drive(s) creativity.
A) Rules
B) Imagination
C) Conformity
D) Rigidity
41) ________ is finding something while looking for something else.
A) Tenacity
B) Ambiguity
C) Opportunity
D) Serendipity
42) "________ points" are missing products or services or flaws in existing products or services.
A) Opportunity
B) Opening
C) Pleasure
D) Pain
43) Which of the following is NOT a step in the creative process?
A) Transliteration
B) Preparation
C) Investigation
D) Illumination
44) In the creative process, ________ involves viewing the similarities and differences among
the information collected.
A) transformation
B) investigation
C) incubation
D) verification
