41. An entrepreneur is a person who is a:
A. Risk taker
B. Initiator
C. Actor
D. All of the given options
Answer
D. All of the given options
42. Which one of the following is NOT an intrapreneurial leadership characteristic?
A. Understands environment
B. Encourage the team work
C. Not flexible
D. Persistent
Answer
C. Not flexible
43. All but which of the following is considered to be a myth associated with entrepreneurship?
A. Successful entrepreneurs are born not made
B. First ventures are always successful
C. All entrepreneurs must willingly invest significant sums of money
D. Successful entrepreneurs must have a break-through invention
Answer
B. First ventures are always successful
44. A/An ___ is best described by stating it is any business that is independently owned and operated and is not dominate in its market.
A. strategic alliance
B. corporation
C. entrepreneurship
D. proprietorship
Answer
C. entrepreneurship
45. Which of the following is not considered a common characteristic of an entrepreneur?
A. Internal locus of control
B. High need for achievement
C. Self-confidence
D. External locus of control
Answer
D. External locus of control
46. Bobby believes that what takes place within his new company is mostly the result of fate or factors that are outside of his control. It could be stated that Bobby possesses a/an ___
A. innovative spirit
B. intrapreneurship
C. internal locus of control
D. high need for achievement
Answer
A. innovative spirit
47. Entrepreneurial Opportunities are defined as:128
A. situations in which new goods, services, raw materials and organizing methods can be sold at greater than their production cost.
B. New market entry through entrepreneur action.
C. The entrepreneur’s mental processes in deciding whether or not to act on a potential opportunity.
D. A feasibility assessment.
Answer
D. A feasibility assessment.
48. Which among the following aspects affects an entrepreneur’s perception of feasibility?
A. Locus of control
B. Learning style
C. Perceived desirability
D. Self-efficacy
Answer
C. Perceived desirability
49. As the venture becomes established and starts growing, which of the following types of experience becomes increasingly important?
A. Technical
B. Financing
C. Managerial
D. Marketing
Answer
B. Financing
50. Intrapreneurship is best described as:
A. the hiring of former Entrepreneurs.
B. Entrepreneurial action within an organization.
C. The process of buying acquiring entrepreneurial firms.
D. The process of hiring consultants to teach a firm how to be more creative.
Answer
D. The process of hiring consultants to teach a firm how to be more creative.
51. ___ includes initiative and risk taking, as well as competitive aggressiveness and boldness.
A. New business venturing
B. Self-renewal
C. Innovativeness
D. Proactive Behavior
Answer
B. Self-renewal
52. In regards to the differences between the entrepreneurial and administrative focuses which ofthe following is correct?
A. Entrepreneurs focus on slow steady growth and managers’ focus on rapid growth
B. Entrepreneurs rent or sporadically use resources; managers like to own resources
C. Entrepreneurs are driven by controlled resources; managers by opportunity
D. Entrepreneurs tend to use a hierarchical management structure; managers use a more fluid, flat approach
Answer
C. Entrepreneurs are driven by controlled resources; managers by opportunity
53. Entrepreneurial culture and growth orientation consists of all of the following except:
A. Encouraging employees to generate ideas.
B. Focusing on opportunities.
C. The desire to grow at a slow and controlled pace.
D. Being creative.
Answer
A. Encouraging employees to generate ideas.
54. All these are characteristics of an entrepreneurial environment except:
A. there is short term horizons.
B. new ideas are encouraged.
C. the organization operates on frontiers of technology.
D. it uses a multidiscipline teamwork approach.
Answer
B. new ideas are encouraged.
55. Which of the following is true about corporate entrepreneurship (Inrapreneurship)?
A. Equity in a new venture should not be used as a reward due to its uncertain value
B. A company must be willing to invest money without a guarantee of a return in the short term
C. Teams should be segmented by department
D. Top management should not be involved in the process.
Answer
B. A company must be willing to invest money without a guarantee of a return in the short term
56. Which of the following is a disadvantage of the ‘drafting a traditional business plan’ approach?
A. They do not reflect the way in which people shape their entrepreneurial visions.
B. It can be difficult to explain your vision to other people.
C. This approach lacks rigour.
D. The process involved can help an entrepreneur to improve their own understanding
Answer
A. They do not reflect the way in which people shape their entrepreneurial visions.
57. Which of the following are ‘drivers’ underlying the opportunity business model?
A. Societal, commercial, legal, technological, people
B. Societal, commercial, legal, technological
C. Societal, ethical, commercial, legal, technological
D. Societal, commercial, legal, technological, environmental.
Answer
B. Societal, commercial, legal, technological
58. What are the main sources of entrepreneurial opportunity?
A. Personal – entrepreneurs experience or perceive something that others do not.
B. Secondary research – from industry analyses.
C. Primary research – from speaking to potential customers to determine their needs.
D. Observation – of other peoples’ experiences with products and services.
Answer
A. Personal – entrepreneurs experience or perceive something that others do not.
59. Social innovation refers to:
A. the introduction of new social practices, activities or ways of organizing.
B. the introduction of novelties; the alteration of what is established by the introduction of new elements or forms.
C. new designs, processes, marketing approaches, or a new way of conducting training.
D. the means by which entrepreneurs exploit change as an opportunity for a different business or service.
Answer
A. the introduction of new social practices, activities or ways of organizing.
60. Entrepreneurial opportunities are a particular type of opportunity, which could lead you to create a self-sustaining venture.
A. True
B. False
C. all
D. none
Answer
A. True
61. Porter also argues that much of innovation is ‘dependent on a single, major technologicalbreakthrough rather than mundane and incremental’
A. True
B. False
C. all
D. none
Answer
B. False
62. In the creativity and innovation matrix, what is a ‘medium level of creativity’ and a ‘mediumlevel of innovation’ referred to as?
A. Winner
B. Loser
C. Mediocre
D. Average
Answer
D. Average
63. The following example of networking represents which type of activity: In an entrepreneurial setting, you might be: renewing contact with a old school friend, now working in a finance house, to provide advice or support for the venture; converting an informal contact made while on holiday into a potential client; or building a much closer relationship with a supplier, which may lead to a formal alliance or merger.
A. Creating new ties
B. Renewing and pruning existing ties
C. Developing existing ties
D. Extending existing ties
Answer
A. Creating new ties
64. ___ between people in the personal contact network play an important communications role, enabling the entrepreneur to identify opportunities that are not evident to others.
A. Good relations
B. Weak ties
C. Strong ties
D. Unique connections
Answer
C. Strong ties
65. What are the missing words in the following definition: ‘The management of regular marketing can be characterized by a careful planning process which is informed by ___ to guide the selection of target markets and the composition of a marketing mix with which to position products competitively within the marketplace.
A. Environmental forecasting
B. Market research
C. Product analysis
D. Customer understanding
Answer
B. Market research
66. What characterizes the techniques used in entrepreneurial marketing?
A. Mass media, passive reception, customer resistance
B. Low cost, word-of-mouth
C. Informal, personal and strongly interactive
D. Guerrilla marketing and ambush marketing
Answer
C. Informal, personal and strongly interactive
67. New entrepreneurial ventures face the same marketing opportunities and challenges, as compared to their larger and more well-established counterparts.
A. True
B. False
C. all
D. none
Answer
B. False
68. Business opportunity relates with
A. Business possibilities
B. Commercially feasible projects
C. Risky projects
D. Favourable market demand
Answer
B. Commercially feasible projects
69. Early growth stage fails to consider following symptoms.
A. Very slow
B. Perceived comfort zone
C. Very rapid
D. Rapid
Answer
D. Rapid
70. Very rapid situation indicates
A. Increase in production
B. Rapid increase in production
C. Rapid increase in sales
D. Increase in sales
Answer
D. Increase in sales
71. Enterprise positioning is meant for
A. Short-term arrangement
B. Continuous process
C. Long-term process
D. None of the above
Answer
C. Long-term process
72. Techno-economic analysis deals with identification of the
A. Supply potential
B. Demand potential
C. Export potential
D. Import potential
Answer
B. Demand potential
73. Input analysis relates with
A. Funding requirement
B. Material requirement
C. Labour requirement
D. Resource requirement
Answer
D. Resource requirement
74. General objective of selecting a location is not he following
A. Minimise the cost of production
B. Minimise the distribution cost
C. Minimise the cost of capital
D. None of the above
Answer
C. Minimise the cost of capital
75. External economies affect location
A. Generally
B. Exceptionally
C. All of the above
D. None of the above
Answer
B. Exceptionally
76. The initial stages of the entrepreneurial process are generating new business ideas (i.e. creativity and innovation) and recognizing opportunities that have the potential for exploitation (i.e. evaluation and selection).
A. True
B. False
C. all
D. none
Answer
A. True
77. Which of the following is NOT one of the definitions of ‘business models’ as identified in the text?
A. The system of components, linkages and associated dynamics, which that make commercial advantage of the Internet.
B. A business model describes the rationale of how an organization creates, delivers and captures value.
C. Business models identify where the resources necessary to establish a venture will come from.
D. Business models describe, as a system, how the pieces fit together.
Answer
C. Business models identify where the resources necessary to establish a venture will come from.
78. Which of the following statements is true?
A. The entrepreneurial process starts with creativity and the task of generating new ideas.
B. The creativity process starts with innovation and the task of generating new ideas.
C. The idea generation process starts with creativity and the task of innovation.
D. The innovation process starts with creativity and the task of generating new ideas.
Answer
D. The innovation process starts with creativity and the task of generating new ideas.
79. What are markets made up of?
A. Customers and competitors
B. Customers and potential customers
C. Customers, competitors and suppliers
D. Customer, competitors, suppliers and regulators
Answer
B. Customers and potential customers
80. Product development process involves
A. One stage
B. Two stage
C. Three stage
D. Four stage
Answer
D. Four stage
