Question 1

"As a budding entrepreneur 40 years ago, I naively looked forward to being my own boss and ________," said Joe Martini, CEO of Martini & Sons, to his son, Buddy. "I didn't realize that, in fact, I would have to answer to many ________, including partners, customers, suppliers, creditors, employees, and families."

Accepted Answer

A)   independent; stakeholders
B)   dependent; promoters
C)   independent; promoters
D)   independent; social capitalists
E)   dependent; stakeholdersF) None of the above
G) A) and E)

Question 2

Tomas was a manager at a company that produced household appliances. He had many innovative ideas to increase profits. However, his ideas were not received well by the company. So, he left the company to pursue his own business, thus creating a(n)

Accepted Answer

A)   entrepreneurial venture.
B)   spin-off.
C)   franchise.
D)   merger.
E)   angel investment.F) A) and E)
G) A) and C)

Question 3

________ is the process by which enterprising individuals initiate, manage, and assume the risks and rewards associated with a business.

Accepted Answer

A)   A start-up
B)   A partnership
C)   An incubator
D)   Entrepreneurship
E)   Joint ventureF) A) and C)
G) None of the above

Question 4

A function of a business plan is to

Accepted Answer

A)   improve the balance sheet and enhance net worth.
B)   raise capital through federally registered shares of the company.
C)   improve credibility with customers and other stakeholders.
D)   determine the viability of one's enterprise.
E)   create a long-term relationship with an investment banking firm.F) B) and E)
G) A) and C)

Question 5

All of the following steps are needed to build support for a project EXCEPT

Accepted Answer

A)   horse trading.
B)   making cheerleaders.
C)   clearing the investment.
D)   venture capitalists.
E)   getting a blessing.F) D) and E)
G) None of the above

Question 6

In the context of the opportunity for starting a business, what are some of the possibilities that entrepreneurs can exploit?

Accepted Answer

To spot opportunities, one must think ca...

Question 7

Distinguish between a small business and an entrepreneurial venture.

Accepted Answer

An entrepreneur's organization may be sm...

Question 8

A common entrepreneurial malady is an aversion to record keeping.

Accepted Answer

A) True 
 B)False

Question 9

________ create new independent businesses with the benefit of corporate support.

Accepted Answer

A)   Corporate managers
B)   Intrapreneurs
C)   Observers
D)   Franchisors
E)   FranchiseesF) B) and D)
G) A) and B)

Question 10

A new technique for extracting oil and gas-called "fracking"-spurred an economic boom in the formerly sleepy town of Oilville, located in what had been thought to be a depleted oil field. Workers swarmed into the town, and Karen started a laundry service to meet their needs. In this case, Karen had spotted an entrepreneurial opportunity created by the new extraction technique, or a ________, which in turn created an oil boom, or a(n)  ________.

Accepted Answer

A)   technological discovery; economic dislocation
B)   technological discovery; government initiative
C)   government initiative; lifestyle change
D)   technological discovery; lifestyle change
E)   calamity; economic dislocationF) All of the above
G) C) and D)

Question 11

A(n)  ________ describes all the elements involved in starting a new venture.

Accepted Answer

A)   business plan
B)   control system
C)   value chain
D)   initial public stock offering
E)   organization chartF) B) and E)
G) B) and C)

Question 12

Julie Raymond has conducted an opportunity analysis of her proposed new entrepreneurial venture. Based upon this analysis, she believes that her idea is viable. Julie will now proceed to the next step of the planning process for entrepreneurial ventures, that is, a(n)

Accepted Answer

A)   environmental analysis.
B)   SWOT analysis.
C)   promotional plan.
D)   operational plan.
E)   business plan.F) B) and E)
G) B) and D)

Question 13

Eliza Reyes seeks to open a new apparel business. She has completed the first formal stage of the planning process-the opportunity analysis. In so doing, she has

Accepted Answer

A)   prepared for an initial public offering (IPO) .
B)   performed a strengths/weaknesses/opportunities/threats (SWOT)  analysis.
C)   developed a means to employ formal control systems.
D)   described the service, assessed the opportunity, assessed herself, and specified the activities and resources (including funding)  needed to move the idea to a viable business.
E)   created a business plan.F) D) and E)
G) A) and B)

Question 14

________ offer a way for a business to raise capital through federally registered and underwritten sales of shares in a company.

Accepted Answer

A)   Initial public stock offerings
B)   Venture capital funds
C)   Skunkworks
D)   Bootleggings
E)   FranchisesF) A) and C)
G) A) and E)

Question 15

The purpose of an opportunity analysis is to

Accepted Answer

A)   obtain financing.
B)   negotiate agreements with suppliers.
C)   excite potential customers.
D)   specify resources needed to translate an idea into a viable business.
E)   work out the details of marketing, finance, and manufacturing.F) D) and E)
G) A) and E)

Question 16

In the context of entrepreneurial orientation, ________ occurs when an organization is willing to commit significant resources and perhaps borrow heavily to venture into the unknown.

Accepted Answer

A)   independent action
B)   innovativeness
C)   risk taking
D)   competitive aggressiveness
E)   proactivenessF) A) and E)
G) B) and D)

Question 17

In building support for your idea, you might engage in horse trading. This involves

Accepted Answer

A)   ensuring that your immediate boss understands and approves your idea.
B)   offering promises of payoffs from the project in return for support, time, money, and other resources that peers and others contribute.
C)   ensuring that your peers back your idea before you commit to it.
D)   engaging in informal work of your own choosing and initiative.
E)   making a formal presentation to higher-level managers to ensure that the idea is feasible.F) C) and D)
G) A) and E)

Question 18

In the context of starting an entrepreneurial venture, the first formal step is to

Accepted Answer

A)   secure the finances.
B)   write a business plan.
C)   conduct an opportunity analysis.
D)   get others to support one's ideas.
E)   hire the right people.F) B) and E)
G) A) and B)

Question 19

A small business differs from an entrepreneurial venture.

Accepted Answer

A) True 
 B)False

Question 20

Fred's boss told him, "This one-year confidential project is a great intrapreneurial opportunity for you. You will be teamed with some of the best minds in the company and you and your team members will earn a significant reward if you develop the proposed new, innovative product. And, on top of that, I'll hold your current job open for you if you decide that you want it after the project is over. Not many professionals have an opportunity to work on a(n)  ________ as I've described. Congratulations!"

Accepted Answer

A)   IPO
B)   skunkworks
C)   business incubator
D)   side street effect
E)   business planF) A) and B)
G) All of the above

Exam 6: Entrepreneurship

All of the following steps are needed to build support for a project EXCEPT

Correct Answer
verified

Distinguish between a small business and an entrepreneurial venture.

Correct Answer
verified
An entrepreneur's organization may be sm...
View Answer

A common entrepreneurial malady is an aversion to record keeping.

Correct Answer
verified

The purpose of an opportunity analysis is to

Correct Answer
verified

________ offer a way for a business to raise capital through federally registered and underwritten sales of shares in a company.

Correct Answer
verified

________ is the process by which enterprising individuals initiate, manage, and assume the risks and rewards associated with a business.

Correct Answer
verified

A(n) ________ describes all the elements involved in starting a new venture.

Correct Answer
verified

In building support for your idea, you might engage in horse trading. This involves

Correct Answer
verified

Correct Answer
verified

Julie Raymond has conducted an opportunity analysis of her proposed new entrepreneurial venture. Based upon this analysis, she believes that her idea is viable. Julie will now proceed to the next step of the planning process for entrepreneurial ventures, that is, a(n)

Correct Answer
verified

Tomas was a manager at a company that produced household appliances. He had many innovative ideas to increase profits. However, his ideas were not received well by the company. So, he left the company to pursue his own business, thus creating a(n)

Correct Answer
verified

In the context of entrepreneurial orientation, ________ occurs when an organization is willing to commit significant resources and perhaps borrow heavily to venture into the unknown.

Correct Answer
verified

Eliza Reyes seeks to open a new apparel business. She has completed the first formal stage of the planning process-the opportunity analysis. In so doing, she has

Correct Answer
verified

________ create new independent businesses with the benefit of corporate support.

Correct Answer
verified

A small business differs from an entrepreneurial venture.

Correct Answer
verified

Correct Answer
verified

"As a budding entrepreneur 40 years ago, I naively looked forward to being my own boss and ," said Joe Martini, CEO of Martini & Sons, to his son, Buddy. "I didn't realize that, in fact, I would have to answer to many , including partners, customers, suppliers, creditors, employees, and families."

Correct Answer
verified

In the context of the opportunity for starting a business, what are some of the possibilities that entrepreneurs can exploit?

Correct Answer
verified
To spot opportunities, one must think ca...
View Answer

In the context of starting an entrepreneurial venture, the first formal step is to

Correct Answer
verified

A function of a business plan is to

Correct Answer
verified

Exam 6: Entrepreneurship

All of the following steps are needed to build support for a project EXCEPT

Correct AnswerverifiedShow Answer

Distinguish between a small business and an entrepreneurial venture.

Correct AnswerverifiedAn entrepreneur's organization may be sm...View AnswerShow Answer

A common entrepreneurial malady is an aversion to record keeping.

Correct AnswerverifiedShow Answer

The purpose of an opportunity analysis is to

Correct AnswerverifiedShow Answer

________ offer a way for a business to raise capital through federally registered and underwritten sales of shares in a company.

Correct AnswerverifiedShow Answer

________ is the process by which enterprising individuals initiate, manage, and assume the risks and rewards associated with a business.

Correct AnswerverifiedShow Answer

A(n) ________ describes all the elements involved in starting a new venture.

Correct AnswerverifiedShow Answer

In building support for your idea, you might engage in horse trading. This involves

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Julie Raymond has conducted an opportunity analysis of her proposed new entrepreneurial venture. Based upon this analysis, she believes that her idea is viable. Julie will now proceed to the next step of the planning process for entrepreneurial ventures, that is, a(n)

Correct AnswerverifiedShow Answer

Tomas was a manager at a company that produced household appliances. He had many innovative ideas to increase profits. However, his ideas were not received well by the company. So, he left the company to pursue his own business, thus creating a(n)

Correct AnswerverifiedShow Answer

In the context of entrepreneurial orientation, ________ occurs when an organization is willing to commit significant resources and perhaps borrow heavily to venture into the unknown.

Correct AnswerverifiedShow Answer

Eliza Reyes seeks to open a new apparel business. She has completed the first formal stage of the planning process-the opportunity analysis. In so doing, she has

Correct AnswerverifiedShow Answer

________ create new independent businesses with the benefit of corporate support.

Correct AnswerverifiedShow Answer

A small business differs from an entrepreneurial venture.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

In the context of the opportunity for starting a business, what are some of the possibilities that entrepreneurs can exploit?

Correct AnswerverifiedTo spot opportunities, one must think ca...View AnswerShow Answer

In the context of starting an entrepreneurial venture, the first formal step is to

Correct AnswerverifiedShow Answer

A function of a business plan is to

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
An entrepreneur's organization may be sm...
View Answer

Correct Answer
verified

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Correct Answer
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To spot opportunities, one must think ca...
View Answer

Correct Answer
verified

Correct Answer
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