Entrepreneurship MCQ Entrepreneurship Chapter 1 ______ are designed to stimulate thought about entrepreneurs' understanding and feelings as they progress through the entrepreneurial process.
A. Strategic questions Answer: C ______ are designed to stimulate thought about entrepreneurs' understanding and feelings as they progress through the entrepreneurial process.
______ are designed to stimulate thought about entrepreneurs' understanding and feelings as they progress through the entrepreneurial
process.
B. Connection tasks
C. Reflection tasks
D. Comprehension questions
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entrepreneurial opportunities
those situations in which new goods, services, raw materials, and organizing methods can be introduced and sold at greater than their cost of production
Action through the creation of new products/processes and/or the entry into new markets, which may occur through a newly created organization or within an established organization.
individuals mental processes of overcoming ignorance to decide whether a signal represents an opportunity for someone and/or reducing doubt as to whether an opportunity for someone is also an opportunity for them specifically, and/or processing feedback from action steps taken
Exist when the basic (relatively easy to observe) elements of the technology resemble (match) the basic (relatively easy to observe) elements of the market
Exist when the underlying mechanisms of the technology resemble the underlying mechanisms of the market.
Entrepreneurs making do by applying combinations of the resources at hand to new problems and opportunities.
a process that starts with a desired outcome and focuses on the means to generate that outcome
a process that starts with what one has (who they are, what they know, and whom they know) and selects among possible outcomes
Involves the ability to rapidly sense, act, and mobilize, even under uncertain conditions.
Describes the extent to which entrepreneurs are dynamic, flesible, self-regulating, and engaged in the process of generating multiple decision frameworks focused on sensing and processing changes in their environments and then acting on them.
Questions designed to increase entrepreneurs' understanding of the nature of the environment.
Tasks designed to stimulate entrepreneurs to think about the situation in terms of similarities to and differences from situations previously faced and solved
Tasks designed to stimulate ent's to think about which strategies are appropriate for solving the problem (and why) or pursuing the opportunity (and how)
tasks designed to stimulate entrepreneurs to think about their understanding and feelings as they progress through the entrepreneurial process
entrepreneurial intentions
the motivational factors that influence individuals to pursue entrepreneurial outcomes
entrepreneurial self-efficacy
the conviction that one can successfully execute the entrepreneurial process
the degree to which an individual has a favorable or unfavorable evaluation of the potential entrepreneurial outcomes
The past work experience of an individual
Individuals whose example an entrepreneur can aspire to and copy
Individuals who give psychological support to an entreprenuer
professional support network
individulas who help the entrepreneur in business activities
Sustainable Entrepreneurship
Entrepreneurship focused on preserving nature, life support, and community (sustainability) in the pursuit of perceived opportunities to bring future products, processes, and services into existence for gain (entrepreneurial action) where gain is broadly construed to include economic and noneconomic benefits to individuals, the economy, and society (development).
a mindset or way of thinking that is opportunity focused, innovative, and growth oriented. It can be a set of behaviors.
____ recognize the ____, gather the ____ to ____ the opportunity, and drive the opportunity towards ____.
Entrepreneurs; opportunity; resources; execute; completion
Entrepreneurship is about ____ ____ into ____ or ____ markets, and about ____ new or existing products or services.
novel entry; new; established; exploiting
gigantic companies were the norm. the companies lacked competition from Europe and Japan at the time.
We saw the macroeconomic turmoil, internation competition, technological revolution.
inflated rates because of Vietnam, creative financing, no job security. Smaller businesses became prominent. Civil service was a secure job. solo entrpernuership (small businesses)
high tech entrepreneurial era, the information age, commercial internet allowed people to compete on higher levels. Team based entrepernuship
the internet and beyond, y2k, dot com era, interest in "non internet" ways was wanning. Use tools as opposed to physical labor. Low cost competition
passion is one of the only characteristics that you must have
characteristics of an entrepreneur for a new venture:
entry strategy, business model concept, start up resources, risks and rewards, founding team, location, process
important characteristics of outcome:
economic growth, industry formation, and job creation
Technology is the leading force behind ____ ____. It also comes about through ____, ____, and ____
economic growth; investment; trade; interactions
occurs when an entrpernuer identifies new customer segments that appear to be emerging, new customer needs, existing customer needs that have not yet been satisfied, new ways to manufacture or distribute.
These 2 play a huge role in entrepreneurship:
____ ____ are born when ____ ____ produces a novel opportunity that an enterprising entreperenur ____
new industries; technological change;
seizes
Entrepreneurship and job creation
entrepreneurial ventures are responsible for significant job creation
someone who starts something within a business, corportate venturer
starts bricks and mortar businesses and builds it to a point where wealth can be harvested. Retail, manufacturing, health care, etc.
Those situations in which new goods, services, raw materials, and organizing methods can be introduced and sold at greater than their cost of production.
Entrepreneurial Opportunities
Action through the creation of new products/processes and/or the entry into new markets, which may occur through a newly created organization within an established organization
Individuals' mental processes of overcoming ignorance to decide whether a signal represents an opportunity for someone and/or reducing doubt as to whether an opportunity for someone is also an opportunity for them specifically, and/or processing feedback from action steps taken.
Entrepreneurs making do by applying combinations of the resources at hand to new problems and opportunities.
Exist when the underlying mechanisms of the technology resemble the underlying mechanisms of the market
a process that starts with a desired outcome and focuses on the means to generate that outcome
a process that starts with what one has (who they are, what they know, and whom they know) and selects among possible outcomes
involves the ability to rapidly sense, act, and mobilize, even under uncertain conditions
The extent to which entrepreneurs are dynamic, flexible, self-regulating, and engaged in the process of generating multiple decision frameworks focused on sensing and processing changes in their environment and then acting on them.
tasks designed to stimulate entrepreneurs to think about the current situation in terms of similarities to and differences from situations previously faced and solved
tasks designed to stimulate entrepreneurs to think about which strategies are appropriate for solving the problem or pursuing the opportunity
tasks designed to stimulated entrepreneurs to think about their understanding and feelings as they progress through the entrepreneurial process.
the motivational factors that influence individuals to pursue entrepreneurial outcomes
entrepreneurial intentions
the conviction that one can successfully execute the entrepreneurial process
entrepreneurial self-efficacy
the degree to which an individual has a favorable or unfavorable evaluation of the potential entrepreneurial outcomes
What are the four ways to improve cognitive adaptability?
Comprehension, connection, strategy, and reflection
6 Background characteristics of entrepreneurs
1. Education 2. age 3. work history 4. role models 5. moral support 6. professional support
Truth or myth: Entrepreneurs are risk-takers
Myth - Entrepreneurs work hard to share the risk
Truth or myth: Most successful companies feature breakthrough technology
Myth - Not technology, just better service/experience
Truth or myth: Most successful companies have track records and experience
Myth - 40% of Inc. 500 company starters had no experience. 33% were unemployed.
Truth or myth - Most successful entrepreneurs had a well-developed business plan.
Myth - 1/3 of Inc. 500 company starters had a business plan. 4% did thorough research.
Truth or myth: Most successful entrepreneurs started with millions of venture capital.
Myth - Most are financed by angel investors. Some have fields have venture capital, but it is very limited.
Truth or myth: Entrepreneurs are born, not made.
Myth - While some characteristics you are born with, the strategies to become a successful entrepreneur can be taught
Truth or myth: All you need is luck.
Myth - what some people may perceive as luck is just an entrepreneur seeing and opportunity and seizing it.
Managers are focused on delivering a ____, ____ and ____ resut. They ____ tasks and ____ ____.
consistent; expected; familiar; delegate; follow guidelines
Leaders are focused on ____ and share their ____ with their associates. They ____ and ____.
innovation; vision;
motivate;
inspire
Segmentation, Targeting, and Positioning Process. Suggested to be used for bringing a product to the market.
Rewarding those who produce, and allowing decision making throughout the organization.
Corporate Entrepreneurship
What was Colin Austin's example of his unconventional undergraduate experience in entrepreneurship?
He learned the pattern of the meter maids and parking lot attendants so he could park without a decal and move his car around campus without getting a ticket. It is a pattern of recognition, that led to opportunity recognition.
Entrepreneurs who are able to increase cognitive ability have an improved ability to do what?
1. Adapt to new situations
2. Be creative
3. Communicate one's reasoning behind a particular response
What is the
difference between entrepreneurial age and chronological age?
Entrepreneurial age represents the entrepreneur's years of experience and chronological age represents the individuals years since birth.
What can the general education and experience of an entrepreneur provide?
Knowledge, skills, and problem solving abilities that are transferable across many different situations.
How long do you have to make-up an exam (assuming it is already pre-approved)?
What proportion of Inc. 500 businesses had a business plan at the outset?
How long did it take for FedEx to become profitable?
What makes Sam Walton a quintessential leader?
He is a team builder, inspirer, great leader and teacher; he shares wealth and reward; he exerts influence in an informal way.
True/False
Entrepreneurial opportunities are those situations in which new goods, services, raw materials and
organizing methods can be sold at greater than their production cost.
True/False Entrepreneurial action can be defined as those situations in which new goods, services, raw materials and organizing methods can be sold at greater than their production cost.
True/False
The McMullen-Shepherd Model helps identify the common traits of successful entreprenuers.
True/False
The McMullen-Shepherd Model explains how knowledge and motivation influence two stages of entrepreneurial action.
True/False
Superficial similarities exist when the underlying mechanisms of the technology resemble, or match, the underlying mechanisms of the market.
True/False
Structural similarities exist when the underlying
mechanisms of the technology resemble, or match, the underlying mechanisms of the market.
True/False
Bricolage is entreprenuers making do by applying combinations of the resources at hand to new problems and opportunities.
True/False
The effectuation process starts with what one has and selects among possible outcomes.
True/False
The
casual process of thinking starts with what one has and selects among possible outcomes.
True/False
Demographics, ethnic origin, and marital status are examples of segmentation variables.
True/False
Principles of effectuation help entrepreneurs develop their cognitive adaptability.
True/False
The question "What is this
technology all about?" is a comprehension question.
True/False
Comprehension questions are designed to stimulate entrepreneurs to think about their own understanding.
True/False
Asking "How is this problem similar to problems I've already solved" is an example of a connection task.
True/False
A reflection task would involve
thinking about what strategies should be used to solve a problem.
True/False
Entrepreneurs have stronger intentions to act when taking action is perceived to be impossible and risky.
True/False
Perceived desirability refers to the degree to which an individual has a favorable or unfavorable evaluation of the potential entrepreneurial outcomes.
True/False
An entrepreneur is rarely able to start a new business without some form of formal education.
True/False
Research indicates that male entrepreneurs tend to start their first significant venture in their middle 30s, while women entrepreneurs tend to do so in their early 30s.
True/False
Previous start-up experience is a good predictor of starting
subsequent businesses.
True/False
Dissatisfaction with various aspects of one's job often motivates the launching of a new venture.
True/False
Most entrepreneurs indicate that their most significant venture was not their first one.
True/False
Role models are individuals who give psychological support to the entrepreneur
especially during the start-up phase.
True/False
Role models can include family members as well as industry professionals.
True/False
In a social network there are two major properties, density and centrality.
Entrepreneurial Opportunities are defined as:
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.
A. situations in which new goods, services, raw materials and organizing methods can be sold at greater than their production cost.
In Stage Two of the McMullen-Shepherd Model:
A. the entrepreneur decides whether or not there is an opportunity.
B. the entrepreneur consults experts in the market area of interest.
C. the entrepreneur decides whether the opportunity that exists is a match with their own knowledge and motivation.
D. the entrepreneur engages in bricolage.
C. the entrepreneur decides whether the opportunity that exists is a match with their own knowledge and motivation.
In Stage One of the McMullen-Shepherd Model:
A. the entrepreneur deals with the business failure through counseling.
B. the entrepreneur decides whether or not there is an opportunity.
C. the entrepreneur goes through the causal process of thinking structurally.
D. the entrepreneur
consults colleagues from previous jobs.
B. the entrepreneur decides whether or not there is an opportunity.
In regards to thinking structurally, superficial similarities:
A. exist when the underlying mechanisms of the technology resemble (or match) the underlying mechanisms of the market.
B. exist when supply is less than demand.
C.
exist when entreprenuers engage in bricolage.
D. exist when the basic (relatively easy to observe) elements of the technology resemble the basic elements of the market.
D. exist when the basic (relatively easy to observe) elements of the technology resemble the basic elements of the market.
The causal process of thinking:
A. starts
with a desired outcome and focuses on a means to generate that outcome.
B. starts with what one has and selects among possible outcomes.
C. involves bricolage.
D. starts with brainstorming by meeting with industry professionals.
A. starts with a desired outcome and focuses on a means to generate that outcome.
Which of the following is NOT a stage in Kolter's procedure in bringing a product/service to market?
A. Select target market segments
B. Analyze long run opportunities in the market
C. Design market strategies
D. File for patent protection
D. File for patent protection
Questions designed to increase an entrepreneurs' understanding of the nature of the environment are known as:
A. Strategic questions
B. Connection tasks
C. Reflection tasks
D. Comprehension questions
D. Comprehension questions
An entrepreneur considering if what they are doing makes sense is an example of:
A. A strategic question
B. A connection task
C. A reflection task
D. A comprehension question
__________ are designed to stimulate thought about entrepreneurs' understanding and feelings as they progress through the entrepreneurial process.
A. Strategic questions
B. Connection tasks
C. Reflection tasks
D. Comprehension questions
An entrepreneur asks if there is a better way to implement a strategy. Identify the category of this question.
A. Reflection tasks
B. Connection tasks
C.
Strategic questions
D. Comprehension questions
Individuals have stronger intentions to act when taking action is perceived to be _____ and desirable.
A. elusive
B. feasible
C. flexible
D. risky
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
On the education background, entrepreneurs:
A. are less educated than the general population.
B. cite an educational need in the areas of finance, strategic planning, marketing, and management.
C. who lack a formal education, fail to create new businesses and exploit discovered opportunities.
D. cite formal education to be indispensible in starting a new business.
B. cite an educational need in the areas of finance, strategic planning, marketing, and management.
Motivation to launch a new venture can arise from all of the following except:
A. lack of prior experience.
B. boredom.
C. a lack of challenge.
D. frustration.
A. lack of prior experience.
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
Density, in regards to a social network, refers to:
A. the extensiveness of ties between two individuals.
B. the total number of
individuals in the network.
C. the distance of connection between the entrepreneur and contact.
D. the fact that most networks are informal and not well organized.
A. the extensiveness of ties between two individuals.
The moral support network is different from the professional support network in that:
A. a professional support network
includes finding a mentor.
B. moral support is less important than professional support.
C. only the "cheering squad" provides moral support.
D. a moral support network comprises only of personal contacts.
A. a professional support network includes finding a mentor.
Within the moral-support network, most entrepreneurs indicate that their _____ are their biggest supporters.
A. mentors
B. friends
C. parents
D. spouses
Which group in a professional network helps keep a new venture competitive?
A. Clients or buyers
B. Mentors
C. Trade associations
D. Suppliers
According to the textbook, what makes up entrepreneurial action?
Entrepreneurial action is the creation of new products/processes and/or the entry into new markets, which may occur through a newly created organization or within an established organization.
What roles do knowledge and motivation play in the McMullen-Shepherd model?
After the entrepreneur realizes an opportunity they have to assess whether or not it is feasible to successfully exploit the opportunity given one's knowledge and whether it is desirable given one's motivation.
What is the difference between superficial similarities and structural similarities?
Superficial similarities = when the basic (easy to observe) elements of technology resemble the basic (easy to observe) elements of the market. Structural similarities = when the underlying mechanisms of the technology resemble the underlying mechanisms of the market. In short, if it is easily observed it is superficial, if not then it is structural.
What is the term in the book for "tinkering, making do, experimenting"?
Bricolage: making do by applying a combination of resources at hand to new problems and opportunities.
What is the difference between the causal and effectuation thinking process?
They are essential counterpoints. Causal begins with a desired outcome and builds toward that goal. Effectuation begins with the resources you have and then moves toward one of several possible outcomes.
"What is this market all about?"
This is a:
A. Strategic question
B. Connection task
C. Reflection task
D. Comprehension question
D. Comprehension question
"How is this problem similar to problems I have already solved?"
This
is a:
A. Strategic question
B. Connection task
C. Reflection task
D. Comprehension question
"How can I organize the information to solve the problem?"
This is a:
A. Strategic question
B. Connection task
C. Reflection task
D. Comprehension question
"What difficulties am I facing?"
This is a:
A. Strategic question
B. Connection task
C.
Reflection task
D. Comprehension question
Why are support networks important?
These resources (the networks) may assist in efforts to to discover and exploit opportunities, as well as in the creation of new independent organizations.
How can you
minimize risk?
By having employees bear risk - accrued payroll/paid in stock Suppliers bear risk - extended terms/paid in stock Customers bear risk - buying unproven product (think how often your apps update)
How do managers and leaders differ regarding creating an agenda?
Managers: focus on planning and budgeting. Set to accomplish task, then allocate resources.
Leaders: Focus on establishing direction, develop a vision of the future, strategies for producing changes and needs to get there.
How do managers and leaders differ regarding outcomes?
Managers: predictable, expected outcomes.
Leaders: surpass expectations and produce useful change.
What are the 6 key attributes of entrepreneurs?
1. Commitment and Determination
2. Leadership
3. Opportunity Obsession
4. High tolerance of risk, ambiguity, and uncertainty
5. Creativity, self-reliance, and adaptability
6. Motivation to Excel
Why do entrepreneurs cluster around universities?
They have access to mentors, knowledge workers, access to capital and collaborators.
What are some ways entrepreneurs give back to society?
They contribute to the economy, create innovations to improve the quality of life, create many new jobs, improve the USA's position in global economic competition
Regarding our discussion on "designing a customer experience" -what does it mean to "move up the value chain?"
Provide a quality experience for the customer that is memorable, cool, comfortable, dramatic, encompassing, emotional, and/or transformational.
Senator Jeremy Ring opened the first East coast office of what company?
A)Yahoo
B) MSN
C) AOL
D) Google