SEC stands for the
a. Stock Exchange Corporation.
b. Securities and Exchange Commission.
c. Standard Equity Commission.
d. Source of Equity Company.
The displacement school of thought can be divided into which three groups?
a. political, cultural, environmental
b. cultural, environmental, and financial
c. environmental, financial, and economic
d. economic, cultural, and political
One trait not common in entrepreneurs is:
a. entrepreneurs are problem solvers
b. entrepreneurs are creative and innovative
c. entrepreneurs need structure
d. entrepreneurs are independent, yet like to build strong teams
A manufacturing firm needs to establish which of the following budgets?
a. a profit budget
b. a material purchases budget
c. a cost budget
d. an accounting budget
Which of the following is a major reason for the failure of a new venture?
a. inadequate market knowledge
b. good product performance
c. opening in the wrong location
d. good product/poor marketing
When entrepreneurs believe that their accomplishments and setbacks are within their
own control and influence, they are exhibiting
a. persistent problem-solving.
b. internal locus of control.
c. external locus of control.
d. opportunity orientation.
Corporate entrepreneurial strategy should be thought of as
a. vision directed
b. dichotomous
c. restricted to one group in the firm
d. management directed
Which of the following is something an entrepreneur should not do when preparing for
the oral presentation of a business plan?
a. Organize the presentation.
b. Develop an outline of the plan.
c. Make the presentation rigid.
d. Practice the presentation
NAFTA (North American Free Trade Agreement) offers strong protection for
a. patents and copyrights
b. patents but not copyrights
c. patents and copyrights but not trade secrets
d. patents, copyrights, and trade secrets
Relying on abstractions can
a. limit one’s perception of reality.
b. do nothing detrimental.
c. help in making correct choices.
d. add a mathematical element to an idea.
One advantage of an early-entry strategy for the younger generation succeeding the
older generation of a family business is
a. normal mistakes are viewed as incompetence.
b. perspective of the environment is broadened.
c. successor’s skills are judged with more objectivity.
d. skills specifically required by the business are developed.
Which of the following is not a common myth about entrepreneurs?
a. Entrepreneurs are academic and social misfits.
b. Entrepreneurs are doers, not thinkers.
c. Entrepreneurs today are considered heroes.
d. All you need is money to be an entrepreneur.
Entrepreneurial stress can be caused by having a type A personality which can be
defined as
a. having a chronic sense of time urgency
b. taking too little responsibility
c. getting away from business
d. taking things personally
Which of the following statements about social entrepreneurship is not true?
a. Social entrepreneurship is limited to the world of not-for-profit corporations.
b. Social entrepreneurship is about having a heightened sense of accountability
c. Social entrepreneurship has, in recent years, been the subject of widespread media
attention.
d. Social entrepreneurship adopts some of the same principles that have been effective
in successful entrepreneurship.
The dynamic states model depicts ventures as
a. being dependent on their environment for survival
b. being independent of their environment
c. being dependent on their managerial talent
d. being independent of their managerial talent
Which of the following steps should be carried out second when deciding to sell a
business?
a. Publicize the offer to sell.
b. Finalize the prospective buyers.
c. Segregate the assets.
d. Value the business.
Creativity, in the entrepreneurial context, is the generation of ideas that result in the
improved efficiency or effectiveness of a system.
Using regression analysis to estimate the relationship between expected sales and
another variable is rarely used.
Social entrepreneurship avoids private-sector focus on risk taking.
Only a small percentage of new ventures succeed.
Discuss the specific areas of entrepreneurial risk.
It is really genius and not hard work that creates success for the entrepreneur.
Characteristics of entrepreneurs can neither be taught nor learned.