Which of the following primary research methods is the least expensive for small
businesses?
A. Conducting in-person surveys
B. Conducting formal focus group interviews
C. Using online survey services
D. Hiring marketing research firms
_____ advertisements provide both geographic and demographic segmentation with a
highly distracted audience.
A. Television
B. Radio
C. Magazine
D. Newspaper
Drugs sold under the Myko Pharmaceuticals brand comes in two different quality
standards. The high quality and high-priced drugs are exported to countries that have
high per capita income, whereas the low-priced drugs are sold in countries that have
low per capita income. This is an example of _____ segmentation.
A. demographic
B. benefit
C. behavioral
D. psychographic
In Connie’s business plan, which of the following components is most likely to be of
interest to Mr. Johnson?
A. Cash flow and cash cycle
B. Growth rate
C. Competitive advantage
D. Amounts and schedules for returns
Alana, the owner of a small dress-making establishment called Mantua Fab, decides to
hire assistants for design, sewing, and other tailoring jobs. After Mantua Fab finishes
basic design, Alana sends certain items of clothing to be embroidered and hemmed by
another company in the same city. This strategy is referred to as:
A. outsourcing.
B. employee leasing.
C. benchmarking.
D. employee referral.
Which of the following is the cost incurred in financing, insuring, taxing, or tracking an
asset?
A. Acquisition cost
B. Cost of owning
C. Cost of operating
D. Replacement cost
An Internet site designed to introduce and explain a business to others is known as a(n):
A. e-commerce website.
B. portal website.
C. advocacy website.
D. informational website.
High-growth ventures differ from small businesses in that in high-growth ventures:
A. the focus is on efficiency rather than effectiveness.
B. the preferred source of funding is the owner’s own money rather than other people’s
money.
C. the human resource system is personalized rather than professionalized.
D. the limitation of growth is dictated by market response rather than the owner’s loss
of control.
Which of the following aspects of entrepreneurship refers to being in-tune with one’s
market?
A. Efficiency
B. Creation
C. Customer-focus
D. Growth
When it comes to promoting a small business that is just starting out, spreading the
news by _____ is the surest way to build a client base.
A. word-of-mouth
B. full-scale advertising
C. personal selling
D. sales promotion
When your product or service already exists but your firm is the first of its kind in your
market, it is considered a(n) _____ business.
A. entry-level
B. pioneering
C. substitutive
D. new entrant
From a marketing standpoint, the more innovative the product:
A. the more are the customers that are comfortable with such products.
B. the slower the sales of that product.
C. the lesser the importance of relative advantage of that product over others.
D. the more is the possibility of immediate profits for that product.
In stand retail, the key success factor for a stand is:
A. having a location where there is enough foot or vehicle traffic.
B. having a variable income.
C. having nonperishable sale items.
D. sharing with other businesses to minimize the high rent.
Which of the following is an entrepreneur most likely to implement to introduce
changeability into a core business?
A. Redesign the work environment
B. Increase the IP protection on the products or services
C. Simply sell the products or services
D. Read journals related to the area of expertise
The number one source of financing for small businesses is from _____.
A. the owners themselves
B. angel investors
C. government programs
D. banks