Professional Documents
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Entrp MCQs 1 3
Entrp MCQs 1 3
Ventures, 3/e
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Chapter 11: Unique Marketing Issues
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Chapter # 1
Introduction to Entrepreneurship
Explain how entrepreneurial firms differ from salary-substitute and lifestyle firms.
Identify ways in which large firms benefit from the presence of smaller
entrepreneurial firms.
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Global 3E
Chapter Quiz
false false
What is the most common reason given for why people choose to
become entrepreneurs?
To make a lot of money.
To escape the long hours associated with corporate jobs.
To be their own boss.
To be able to retire early.
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Some entrepreneurs report that the financial rewards associated with
entrepreneurship can be bittersweet if they are accompanied by
________.
modest upside potential
the thrill of starting a business
motivating factors
losing control of the firm
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What do you call small firms that yield a level of income for their
owner that is similar to what they would earn when working for an
employer?
sole proprietorship
small business
lifestyle firm
salary-substitute firm
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steps EXCEPT:
deciding to become an entrepreneur.
inventing a new product or process.
managing and growing the entrepreneurial firm.
moving from an idea to an entrepreneurial firm.
False
True
False
False
The average entrepreneur does NOT make more money than someone
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with a similar amount of responsibility in a traditional job.
True
False
False
False
True
False
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Only individuals that thrive on taking big risks have the right
personality to be an entrepreneur.
True
False
After winning a medal for diving in the Olympics, Cheryl starts a diving
instruction school. This is an example of a lifestyle firm.
True
False
False
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What are the steps of the entrepreneurial process?
Risk tolerance
Your Answer:
Correct Entrepreneurial intensity
Answer:
p. 31
3. What is the most common reason given for why people choose to become
entrepreneurs?
p. 31
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Correct losing control of the firm
Answer:
p. 33
passion.
Your Answer:
Correct risk averse.
Answer:
p. 33
7. What do you call small firms that yield a level of income for their owner
that is similar to what they would earn when working for an employer?
sole proprietorship
Your Answer:
Correct salary-substitute firm
Answer:
p. 41
A growing number
Your
Answer:
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9. Influence on innovation and job creation best typifies entrepreneurial firms'
________.
impact on society
Your Answer:
Correct economic impact
Answer:
p. 45
p. 47
11 In the United States, approximately one-third of new firms fail within their
first four years.
.
True
Your
Answer:
p. 30
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True
Your Answer:
Correct False
Answer:
p. 31
14 The average entrepreneur does NOT make more money than someone with
a similar amount of responsibility in a traditional job.
.
True
Your
Answer:
p. 33
True
Your
Answer:
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p. 39
18 Only individuals that thrive on taking big risks have the right personality to
be an entrepreneur.
.
True
Your Answer:
Correct False
Answer:
p. 40
19 After winning a medal for diving in the Olympics, Cheryl starts a diving
instruction school. This is an example of a lifestyle firm.
.
True
Your
Answer:
20 In recent years, the fastest growing areas for women-owned firms have
been in cosmetology, fashion merchandising, and hair salons.
.
True
Your Answer:
Correct False
Answer:
p. 43
ECONOMY:
-Innovation
-Job creation
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SOCIETY:
-Improvements in healthcare
-Help people be more productive
-Products and services that make our lives easier
-Products and services that entertain us
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22 What are the steps of the entrepreneurial process?
.
Your Answer:
A
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Chapter # 2
Recognizing Opportunities and
Generating Ideas
Explain why it’s important to start a new firm when its “window of opportunity” is
open.
Identify the four environmental trends that are most instrumental in creating
business opportunities.
List the personal characteristics that make some people better at recognizing
business opportunities than others.
Describe how to use library and Internet research to generate new business ideas.
Describe three steps for protecting ideas from being lost or stolen.
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Chapter Quiz
false false
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Entrepreneurs can recognize problems and find ways to solve them
through each of the following EXCEPT:
recognizing problems in emerging trends.
identifying a currently available product or service and then building a business
around a better version.
framing a problem differently than it's been thought of before, and then
proposing an appropriate solution.
experiencing a problem in one's own life, and then realizing the solution
represents a business opportunity.
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Insight
Evaluation
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An idea is a favorable set of circumstances that creates a need for a
new product, service, or business.
True
False
False
True
False
Major retailers that serve large groups of customers with similar needs
by competing mainly on price would be an example of finding gaps in
the marketplace.
True
False
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Often, entrepreneurs are able to pursue an opportunity even before it
is recognized as an opportunity.
True
False
True
False
False
Studies show that less than a quarter of start-up ideas emerge from a
person's prior work experience.
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True
False
False
False
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Researchers have identified several characteristics that tend to make
some people better at recognizing opportunities than others. Discuss
them.
A niche
Your Answer:
Correct An opportunity
Answer:
observing trends.
Your Answer:
Correct trying out alternative uses of existing products.
Answer:
economic forces
Your Answer:
Correct social forces
Answer:
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4. Entrepreneurs can recognize problems and find ways to solve them
through each of the following EXCEPT:
brainstorming.
Your
Answer:
Serendipity
Your Answer:
Correct Creativity
Answer:
Incubation
Your Answer:
Correct Preparation
Answer:
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focus groups
Your Answer:
Correct Brainstorming
Answer:
follow up to brainstorming
Your
Answer:
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13 As an entrepreneur, it is important to be aware of changes in trends.
.
True
Your
Answer:
14 Major retailers that serve large groups of customers with similar needs by
competing mainly on price would be an example of finding gaps in the
. marketplace.
True
Your Answer:
Correct False
Answer:
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True
Your
Answer:
18 Studies show that less than a quarter of start-up ideas emerge from a
person's prior work experience.
.
True
Your Answer:
Correct False
Answer:
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-Attractive
-Durable
-Timely
-Anchored in or relates to a product or service that creates or adds value
for its user
Your Answer:
A
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Chapter # 3
Feasibility Analysis
Describe the purpose of a product/service feasibility analysis and the two primary
issues that a proposed business should consider in this area.
Describe the purpose of a buying intentions survey and how it’s administered.
Describe the purpose of industry/market feasibility analysis and the two primary
issues to consider in this area.
Describe the purpose of organizational feasibility analysis and list the two primary
issues to consider in this area.
Explain the importance of financial feasibility analysis and list the most critical
issues to consider in this area.
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Chapter Quiz
false false
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All of the following are normally included in the concept test EXCEPT:
detailed financial statements.
a description of the product or service.
the intended target market.
the benefits of the product or service.
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Industry/market feasibility analysis
Organizational feasibility analysis
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The process of determining if a business idea is viable is the
development of a business plan.
True
False
False
True
False
False
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Three important ways to accumulate evidence that there will be
healthy demand for a product or service are with library, Internet and
gumshoe research.
True
False
True
False
False
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True
False
True
False
False
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The most effective businesses emerge from a process that includes each of
the following EXCEPT:
census data
Your Answer:
Correct administering surveys
Answer:
Concept testing
Your Answer:
Correct Product/service feasibility analysis
Answer:
4. All of the following are normally included in the concept test EXCEPT:
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5. All of the following are suitable questions to ascertain Product/Service
Desirability EXCEPT:
A marketing plan
Your Answer:
Correct Organizational feasibility analysis
Answer:
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9. Which of the following is the final step of a comprehensive feasibility
analysis?
True
Your
Answer:
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14 Some entrepreneurs conduct their initial product/ service feasibility
analysis by simply talking about their product or service idea with others
. before deciding to move forward.
True
Your
Answer:
True
Your
Answer:
True
Your
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Answer:
Your Answer:
a
22. Discuss the four step process effective businesses emerge from.
Your Answer:
a
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