FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 6: Entrepreneurship and Starting a Small Business

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 61

True/False

Review LaterAdd Note

Review Later

Identifying "poor management" as the cause of a small business failure likely covers a variety of problems.

A) True
B) False

Correct Answer

verified

Show Answer

Question 62

Multiple Choice

Review LaterAdd Note

Review Later

After Kate graduated from college,her grandfather created a bookkeeping position for her in his furniture retail business.Her older brother is in charge of purchasing inventory for the stores,yet often the store runs out of popular furniture or become overstocked with pieces that must be marked down to be sold.Kate is confident that her brother is more suited for handling accounting and finance,and she has a pulse on what sells and how much sells.Although she has spoken with her grandfather about it a couple of times,he seems reluctant to change.As the founder of the business,he may:

A) find it difficult to remove family members from positions,even if it is not good for the business.
B) find it difficult to retrain Kate for the job,and even though his business is losing opportunities,he will stay the course.
C) he knows that profit margins have declined,and he doesn't care.
D) have a bigger picture of things,and not feel the need to respond to a family member's request.

E) None of the above
F) B) and C)

Correct Answer

verified

Show Answer

Question 63

True/False

Review LaterAdd Note

Venture capitalists provide funds for startup businesses in exchange for part ownership in the new firm.

Jason,Robin,and Ian currently work in the marketing department of a large corporation.They have similar backgrounds and training and are thinking about leaving their company to start their own business.Successful entrepreneurial teams are comprised of these types of people because similarities in knowledge and skill ensure harmony and consistency in their new business.

For the past twenty-five years,state and city governments have promoted facilities where new businesses can open-up shop and share common services such as secretarial,accounting,and legal services.Due to their remarkable success rate,_______________ continue to grow in popularity.

Management includes attention toward financing the business,hiring employees,marketing,and record keeping.

Potential suppliers can be an excellent source of financing for a new business since lending money to a new customer may be very much in their own interest.

A new business that sets up a(n) _____________ from the start is saving itself time and grief later.

Juanita wants to start a small business.If her primary goal is fast growth and high profits,her best chances would be in the manufacturing sector.

The only real barrier preventing small businesses from exporting is insufficient knowledge of the opportunities available.

To be considered part of a market,an individual must:

When starting a small business,it's important to remember:

You can negotiate a win-win situation by offering to manage an established small business.You win from the experience;the owner wins with free time.

Not everyone dreams of owning their own business.Identify and describe at least three attributes of successful entrepreneurs.

Mini-Case Peppy Roaney believes that pizza is a much more versatile dish than most people realize.As the national marketing manager for Pizza Guys,he observed how consumers were delighted with barbecue pizza,Hawaiian pizza,Mexican pizza and other unique combinations.His suggestions for other unusual pizzas,however,were met with a negative response by his superiors.Even some of his colleagues laughed at his ideas.Peppy's confidence in his ability to understand the market has led him to focus on planning a business of his own.Peppy realizes that he will take a risk when he leaves his job with Pizza Guys and embarks upon a new venture: Peppy's Pizzazzeria.Peppy is excited about the potential of profitably catering to the unmet desires of pizza consumers. -Peppy has inquired about the possibility of obtaining a microloan from the SBA.This type of loan is awarded primarily on the basis of the:

Web-based businesses avoid the risk of failure faced by traditional startup businesses.

An effective business plan analyzes the competition and identifies the resources required to profitably serve a target market.

Management includes attention toward financing the business,hiring employees,marketing,and record keeping.

Enterprise zones offer lower tax rates and government assistance to attract private business investment.

Two key management functions that need particular attention when starting a business are: