Quiz E: Entrepreneurship

Of the 10 steps listed by the SBA for starting a business, how many deal exclusively with government regulation?

3

You are an entrepreneur in the process of purchasing a small business. You want your investment to be safe, so you need to select a business that can be classified as a small business so as to qualify for SBA financing and government contracts. Which of the following would qualify?

A For-Profit commercial bakery with 375 Employees

According to the Harvard Business Review, the following are the 5 common traits of the successful entrepreneur EXCEPT:

Attention to detail.

A business must also meet the following criteria in order to be eligible for SBA and government contracting programs in addition to meeting the relevant numerical size standard EXCEPT:

Be a Public Company

Given the multiple definitions in this section, what is the most important common quality that captures the essence of the "entrepreneur"?

Bias for Action

Entrepreneurs are grouped into these 4 categories by Abraham's BOSI framework:

Builder, Opportunist, Specialist, and Innovator

In the components of a business plan, what section contains a detailed description of the company, the problem/opportunity, proposed solution to be offered, and your competitive advantage?

Company description

Besides the importance of self-assessment (does the founder have what it takes) and matching the venture with the founder's character (is the business consistent with what the founder wants to do), what is the third most-important element in deciding to start a small business?

Conducting a buisness planning process to create a viable concept

Attracting talent, investors, and ________ is typical of Builders.

Customers

When starting a business these are the fundamental questions that should be asked EXCEPT:

Do you have the right education?

The two most important contributions made by small businesses to the U.S. economy are:

Economic Activity and Innovation

The SBA-recommended format for the business plan has this as the first section:

Executive Summary

What are the underlying factors of the causes for small business failure?

Failure to do the research, analysis and financial projections and the owner's attitude and self-awareness

You are considering creating your own startup business and are weighing the advantages and disadvantages of doing so. According to the author, what would be your most important consideration before making the decision?

Having what it takes both personally and professionally to deal with both the freedom and the responsibility of creating a business.

The SBA recommends that a business plan addresses the following major elements EXCEPT:

IT analysis

Some small business ventures fail for the following reasons:

Inability to execute on the business concept, lack of or insufficient market demand, inability to manage growth, and insufficient management experience or product/services expertise.

Carol Denbow is cited by the author in stating this as the primary reason for small business failure:

Lack of Planning

The term "failing forward" refers to:

Learning from Mistakes

According to the SBA list of steps to do when starting a new business, market research is the first task. The two areas that should be the focus of that research are:

Market and Competitive

Owning your own small business has the following disadvantages EXCEPT:

No Boss to Answer to

The structure of the business, the introduction of the team, and an organization chart would be described in this section of the business plan:

Organization and Management.

The first three topics in Guy Kawasaki's more V.C.-friendly business plan structure are:

Problem, Your Solution, and Business Model.

According to the SBA, the following are steps needed to start a business EXCEPT:

Register with the Chamber of Commerce

Entrepreneurs share the following personality traits EXCEPT:

Team-player

Besides gathering information for your new business, the most significant benefit of conducting market research is:

Test driving and fine-tuning your business concept to demonstrate that it will be a success

The term "entrepreneurial DNA" means:

The characteristics and traits of an entrepreneur.

This section is a discussion of the advantages and disadvantages of starting a small business. According to the author, the underlying advantage to starting a small business is the freedom to make your own decisions regarding what the business is and what it does. But on the other side of the coin, the author reminds us that there is a price to pay- what is that price for the freedom from an employer's expectation?

The founder owns all of the responsibility for expectations and results

The gender pay gap refers to:

The gender pay gap refers to: Women earn 20% less than men on average.

According to the author, what would be the most important reason to be an entrepreneur?

To be your own boss

The author cites Joe Abraham's work classifying entrepreneurs by personality type, i.e. Builders, Opportunists, Specialists, and Innovators. Why would it be important for a entrepreneur to understand their entrepreneurial DNA?

To better work with your strengths and hire to cover for you weaknesses

You are an investor looking to buy in to a new start-up. You are about to meet with the startup's founder. Which of the following characteristics would indicate this person may NOT have what it takes to be a successful entrepreneur?

Workaholic that follows orders without question

The most important quality a entrepreneur can have to start a business according to startup expert Anne Dwane is:

adaptability.

The crucial role small business plays in the U.S. economy is demonstrated by the fact that small business is responsible for half of the Gross Domestic Product (GDP) and roughly half of:

all U.S. employees in the workforce.

Creativity, vision, and ________ are the elements without which there is not entrepreneurial venture according to the author.

an ability to identify opportunities

Careers choices, including becoming an entrepreneur, depends on:

an individual's values and priorities

The first 3 steps to start a business according to the SBA are:

conduct market research, write a business plan, and fund your business.

The following are affected by the business structure you choose when you start your business.

day-to-day operations, personal liability, and taxes.

The major shortcoming of the Specialist as an entrepreneur is:

demand-generation

A business classified as a Small Business is based on the "size standard" which:

is based on either number of employees or annual revenue based on the industry.

Becoming an entrepreneur is attractive to many because it is not just a job, but a:

lifestyle.

One powerful motivation for people to become entrepreneurs is that becoming one is not just a job, but a:

lifestyle?

The following would be included in the Appendix section of a business plan EXCEPT:

product or service descriptions.