When an entrepreneur decides to use a team effort to create the new venture, he or she
generally looks for people who have ____ skills.
a. independent
b. competing
c. complementary
d. differentiated
e. homogeneous
Giving customers something for nothing makes sense in an environment where it is
hard to get customers’ attention.
a. True
b. False
One of the most effective ways that entrepreneurs have of finding opportunity is to see
a problem and seek a solution.
a. True
b. False
____ involves getting ideas down on paper and then organizing the ideas and creating
themes.
a. Hybrid process
b. Group approach
c. Collaborative process
d. Group think
e. Brainwriting
To determine whether the accounting and control procedures are adequate once the new
venture is beyond the startup phase and is growing consistently, ____.
a. an annual audit is needed
b. financial statements are not required
c. a business agent is not required
d. a labor union is essential
e. the entrepreneur should file with the SEC
The number of shares authorized when a corporation is formed is purely arbitrary.
a. True
b. False
Once the business has successfully passed through the rapid growth phase and is able to
effectively manage the financial gains of growth, it will have reached _____.
a. A break-even state of revenues
b. Stable growth and maintenance of market share
c. The cost of goods sold
d. Its maximum retained earnings and net income
e. Global growth
____ protect original works of authors, composers, screenwriters, and computer
programmers.
a. International protection
b. Copyrights
c. Trade secrets
d. A patent
e. All of these choices
Price water house Coopers is optimistic that:
a. social marketing is trending upward
b. b. social mingling has taken root
c. manufacturing in the U.S. may be on the rise
d. Blogging by entrepreneurs is taking off
e. None of these choices
A corporation that is chartered in the state in which it will do business and issue stock is
a/an ____.
a. foreign corporation
b. domestic corporation
c. secret partnership
d. alien corporation
e. closely held corporation
Advertising and promotion are both used to create awareness of the company’s
products, services, and pricing to influence customers to buy.
a. True
b. False
Responding to this entrepreneurial drive, big business in the 1980s found it necessary to
downsize and reverse the trend of ____ it had promulgated for so long.
a. innovation
b. b. restructurings
c. diversification
d. internationalizing
e. None of these choices
Radical change occurs in industries when an innovation results in the obsolescence of
previous technology and drives old-line companies out of business.
a. True
b. False