MANA 4322 Chapter 12

all of these occur.

A culture of entrepreneurship is one in which

exit champion.

A manager whose role is to question the viability of corporate venture projects is known as a(n)

business incubators; new venture groups

According to the text, __________, which support fledgling startups are often used to pursue specific entrepreneurial ventures developed by __________.

enter markets with drastically lower prices.

According to the text, firms that want to enhance their entrepreneurial position by being competitively aggressive should

copying the business practices or techniques of successful competitors

According to the text, which of the following is NOT one of the methods companies can use to enhance their competitive position via innovativeness?

all of these

After 15 teams created 128 different phones, Chris Galvin, former CEO of Motorola, recently eliminated the autonomous teams being used to develop new wireless phones. This was necessary because such teams

It is usually more sophisticated technologically.

All of the following are characteristics of a disruptive innovation EXCEPT

emphasizing marketing over management innovations.

All of the following are dilemmas faced by corporations trying to manage the innovation process EXCEPT

Is the venture attracting external venture funding?

All of the following are questions that should be answered when evaluating the performance of corporate venturing efforts EXCEPT which of these?

product-market risk taking

All of the following are types of risks that executives must address EXCEPT

It refers to making decisions and taking risks without certain knowledge of probable outcomes.

All of the following statements about innovativeness are true EXCEPT which of these?

semi-autonomous new venture groups.

Common features of a dispersed approach to corporate entrepreneurship include all of the following EXCEPT

student interns.

Corporate business incubators typically provide some or all of the following functions EXCEPT

questioning, observing, experimenting, and networking.

Creative intelligence involves the ability to see patterns in data, integrating data, and making insights. The four patterns of actions that help build creative intelligence are

obtaining above average returns.

Financial reasons for undertaking internal corporate venturing include

all of these

In a typical corporation, which of the following impact how the people within the corporation recognize entrepreneurial opportunities?

is considered a core capability.

In corporations with a strong entrepreneurial culture, the willingness and ability to change

defining its innovation efforts within the context of its "strategic envelope."

In the 1990s, DuPont used its knowledge of plastics to develop biodegradable plastic products. This is an example of

are usually small improvements in products and processes.

Incremental innovations

associating

Individuals with highly innovative DNA traits have the ability to connect seemingly unrelated questions, problems, and ideas from different fields, allowing them the opportunity to creatively see opportunities others miss. In the text, this is referred to as

sustaining innovations.

Innovations that extend sales in an existing market, usually by enabling new products or services to be sold at higher margins are known as

50 percent.

On average, approximately what percentage of corporate ventures reaches profitability within six years?

agency problems.

One of the pitfalls of real options analysis is that managers may have an incentive and know-how to "game the system" and "back-solve" a formula to get a proposal approved. This can give rise to

the right, but not the obligation to engage in a transaction.

Options exist when the owner of the option has

scavenge for resources and encourage others to back promising new ideas.

Product champions

definition; impetus

Project __________ involves justifying whether an opportunity is attractive in the marketplace; project __________ involves evaluating the strategic and economic impact of a new venture.

often represent technological breakthroughs.

Radical innovations

a small investment up front can be followed by a series of subsequent investments.

Real options analysis is most appropriate when

proactiveness.

Sony Corporation's mission statement says, "We should always be the pioneers with our products, out front leading the market." This is an example of

all of these

Strategic reasons for undertaking a corporate venture include which of the following?

It requests that all risk-taking activities have a financial pay-off within one year.

The W. L. Gore organization, a highly innovative company, uses several approaches and "rules of thumb" to encourage innovation. Which of the following is NOT one of them?

all of these

The advantages of collaborating with strategic partners in order to innovate include

first mover advantages.

The benefits gained by firms that are the first to enter new markets, establish brand identity, and/or adopt new technologies are known as

developing innovation skills internally versus partnering with qualified outsiders.

The innovation dilemma known as building capabilities versus collaborating refers to

none of these.

The innovation dilemma known as seeds versus weeds refers to

business incubators and new venture groups.

Two common forms of a focused approach to corporate entrepreneurship include

process innovations; product innovations

Whereas __________ are often associated with a low cost leader strategy, __________ are frequently an important aspect of a differentiation strategy.

product champions; exit champions

Whereas __________ are willing to violate procedures and operate outside normal channels, __________ gather hard data and develop a strong case for why a project should be killed.

financial risk taking

Which kind of risk taking requires that a company borrow heavily or commit a large portion of its resources in order to grow?

proactiveness

Which of the following dimensions of entrepreneurial orientation is described as "a forward-looking perspective characteristic of a marketplace leader that has the foresight to seize opportunities"?

opportunism

Which of the following is NOT one of the dimensions of entrepreneurial orientation?

They refer to a specialized type of outside contractor that corporations use to develop entrepreneurial ideas.

Which of the following statements about skunkworks is FALSE?

Radical innovations; incremental innovations

__________ produce fundamental changes that can transform a company or even revolutionize an industry, while __________ enhance existing practices and often represent evolutionary applications of fundamental breakthroughs.

Product innovation; process innovation

__________ refers to efforts to create designs and applications of technology to develop new products, while __________ refers to efforts to improve the efficiency of organizational systems such as manufacturing and operations.