BA 101 Chapter 6 7B

______ are creative people who work as entrepreneurs within corporations.

Intrapreneurs

A(n) _________ is hired to assist the owner of a small business while gaining experience.

apprentice; trainee

A(n) _________ can benefit both the trainee and the business owner by hiring the trainee to learn small-business management while assisting the owner in getting daily work done.

apprenticeship; apprentice

Select the characteristics of an entrepreneurial team that will be developing and marketing a new product.

- Each from different areas of business - Members have complementary skills and are creative - A group of experienced people

Select the characteristics of an intrapreneur.

- someone who uses company's resources to launch new products - he or she generates profits by leveraging a firm's human financial and physical resources. - a creative person who works within a corporation

Which of these are centers that offer new businesses in the critical stage of early development low-cost offices with basic services such as accounting, legal advice, and secretarial help?

Business incubators

Entrepreneur

Desire to grow the business and generate wealth.

There are a few hurdles that prevent many small businesses from engaging in the global market. Which of the following are examples of such problems?

Financing is often difficult to find. Would-be exporters do not know how to get started.

______ want to maintain a balanced life style while doing the kind of work they want to do.

Micropreneurs

Chris spent his own money on marketing research, and consulted his sister Kara, who is an accountant. They spent the next few months writing a business plan. Which of the following are some business functions Chris has addressed?

Planning Knowing your customers

Which of the following are good ways to learn how to run your own business?

Talk to other business owners Run a small business during your off hours Work for a successful entrepreneur

True or false: Most entrepreneurs do not get their ideas from a flash of inspiration; they come more from their passions or looking at problems.

True

True or false: The principles of management are similar for a small neighborhood business and a giant global firm.

True Reason: The management of charities, government agencies, churches, schools, and unions is much the same as the management of small and large businesses.

To keep track of daily sales, expenses, profits, inventory control, customer records, and payroll a small business needs a good

accounting system

Understanding where to locate your business, who your target market is, and how to reach them, can be accomplished through

an inexpensive market research study

In 2019, online retail sales reached over $365 ________, or approximately ________ percent of all retail sales.

billion 12

Mark recently started a small consulting firm. He is drafting a detailed written statement that describes the nature of the business, the target market, the advantages the business will have over competition, and the resources and qualifications of the owner(s). Mark is writing a(n) ________ ________.

business plan

A market consists of consumers with unsatisfied wants and needs who have both resources and the willingness to:

buy

More personal ________ service and the ability to respond quickly is an advantage for small businesses.

customer

A(n) ________ assumes risk when deciding to start and run a business.

entrepreneur

Being self-directed, self-nurturing, action-oriented, and tolerant of uncertainty are all considered characteristics of a(n):

entrepreneur

A(n) ______ team is a group of experienced people from different areas of business who join together to form a managerial team with the skills needed to develop, make, and market a new product.

entrepreneurial

Many _________ use their time, money, and energy to turn their passions into sustainable businesses. They are comfortable being their own bosses and are not afraid of failure.

entrepreneurs

Local community college classes are a good place to start to learn about business and _________.

entrepreneurship

Becoming an apprentice, talking to other business owners, and working for a successful entrepreneur are all examples of effective ways to obtain ____________ for running your own business.

experience; knowledge; information; skills; or training

Some causes of small-business ______ include underpricing or overpricing goods or services, starting with too little capital, going into business without first learning something about the industry or market, and underestimating how much time it will take to build a market.

failure

Planning, adequate __________, keeping good business records, knowing your customers, and managing employees are what it takes to start and run a small business.

financing; funding

Gaining financing, knowing how to get started in exporting, and navigating bureaucratic paperwork are major hurdles to consider when getting started in _________ business.

global

Entrepreneurial attributes include:

highly energetic action-oriented tolerant of uncertainty

As a small business grows, it is __________ to oversee every detail, so entrepreneurs must hire, train and motivate good employees.

impossible; difficult; hard

The expansion and development of the Internet has sprouted a world of small web-based businesses. This, among other reasons, may explain why online sales are rapidly:

increasing

According to a recent study, offering low-cost offices with basic services to new businesses in the early stages of development results in an 87% success rate of _________ graduates.

incubator

Select reasons why people become entrepreneurs.

independence opportunity profit

Managing a small business became relatively easy with the advent of inexpensive personal computers. Inexpensive computer systems and off-the-shelf or even free, open-source software make it easy for the small business manager to:

manage customer records follow the daily sales and expenses

The best way to define a(n) ________ is all consumers with unsatisfied wants and needs who have both resources and the willingness to buy.

market

An inexpensive _______ ________ _______ can help you determine where to locate your business, whom to select as your target market, and what is an effective strategy for reaching it.

market research study

Two advantages small firms have over large firms include more personal customer service and the ability to respond quickly to:

opportunities

Entrepreneurs must recognize that they need competent and motivated employees. Since they can't compete with larger firms' pay and benefits, they need to:

provide more challenging opportunities to learn be respectful of employees' opinions maintain good employee relations

Managerial incompetence and inadequate financial planning are two common reasons for _______-_________ failure.

small business

A business that is independently owned and operated, is not dominant in its field of operation, and meets certain standards of size in terms of employees or annual receipts is a(n):

small business

Learning from others is a useful way to avoid pitfalls when starting a small business. Some things you may be told would include:

starting with enough money that finding and retaining good workers is hard to hire a good lawyer and accountant

A business plan is a detailed written statement that describes:

the resources and qualifications of its owner(s) the target market

Among the hurdles small businesses must overcome in starting to operate globally are:

understanding cultural differences bureaucratic paperwork difficulty finding financing

Daniel wanted to start his own small business. After spending his own money on marketing research, Daniel asked his friend Chase to be his accountant. They spent a few months writing a business plan, which then they presented to a bank. Daniel:

understands the steps needed to start a small business

Phil invests in new businesses in exchange for partial ownership in those businesses. Phil is a(n) _______ ________.

venture capitalist

_________ _________ are individuals or companies that invest in new businesses in exchange for partial ownership of those businesses.

venture capitalists

After working for a large auto manufacturing company for over 20 years, Silvia decided to start her own auto accessory store. While facing new challenges every day, Silvia enjoys being free to manage her company as she desires. This example illustrates:

why people take the risks of entrepreneurship

David opened his own bicycle shop 30 years ago, and although he enjoyed his work, he needed more free time. When Josie requested to work as an apprentice, David was very willing. Before long Josie was able to run the store without any help. This is an example of how:

apprenticeships can benefit both the business owner and the apprentice

All organizations require the following:

capital information management