2.01-2.03 Entrepreneurial Discovery Review
Which of the following is NOT an example of demographic data? -Religious affiliation -Education -Employment status -Need for convenience
Need for convenience
The entrepreneurial discovery process requires knowledge and the recognition of a(n) ___. -preventable accident -economic crisis -creative observation -market need
market need
Bojangles will be opening restaurants in New York for the first time. This is an example of which area of entrepreneurial discovery? -opening a new market -introduction of a new method of production -reorganization of an industry -introduction of a new product or an improved product
opening a new market
A main reason that environmental scanning is important is so that businesses can be aware of ___. -new products -competitors' internal environments -foreign markets -potential threats
potential threats
A business should conduct environmental scans on a continuous basis so that is can ___. -change customers' attitudes -respond to opportunities and threats quickly -save money -control the external environment
respond to opportunities and threats quickly
Marcus analyzes the hair salon franchise opportunities available and decides to open a Great Clips. Marcus is in which stage of the entrepreneurial process? -planning -exploitation -discovery -evaluation
evaluation
After carefully gathering information and evaluating all of his options, Bentley opens a small recording studio at his music store, Bentley's Beats. He hopes that this new service will draw in more customers. Bentley is in which stage of the entrepreneurial process? -planning -discovery -evaluation -exploitation
exploitation
Which of the following is an example of how a business or industry has a unique relationship with its environment? -An economy in prosperity will eventually experience recession. -Social and cultural attitudes change over time. -Demand for skilld nursing care rises as the population ages. -New technology causes new laws to be enacted.
Demand for skilld nursing care rises as the population ages.
Which of the following examples illustrates how environmental factors are dynamic? -The economy impacts government policies. -The government provides subsidies to agricultural business. -High interest rates will eventually get lower. -Demographics influence social and cultural attitudes.
High interest rates will eventually get lower.
Which of the following would be done first in an environmental scan? -Carrying out scanning activities. -Identifying participants and responsibilities. -Selecting trends and issues to act on. -Identifying and analyzing important trends and issues.
Identifying participants and responsibilities
Which of the following statements is true about entrepreneurial discovery? -It ensures that start-up businesses have continuous funding. -It provides entrepreneurs with professional development training. -It's a way to determine the long-term profit that a start-up company can generate. -It's an ongoing process that facilitates a business's success rate.
It's an ongoing process that facilitates a business's success rate.
Which of the following is an example of a demographic trend? -A concern for fitness and health -Shifting political climates -The aging of the population -Rising interest rates
The aging of the population
Which of the following examples illustrates how environmental factors are interrelated? -The economy affects what competitors are doing. -New legislation will be written in the future. -Low investor confidence heavily impacts financial planners. -The economy affects banking institutions.
The economy affects what competitors are doing.
Which of the following is an example of a sociocultural trend that has encouraged entrepreneurial discovery? -industry deregulation -dual income families -technological advancements -interest rate fluctuations
dual income family
When conducting an environmental scan, which of the following is an economic factor that a business should consider? -consumer spending habits -restricted sales territories -local demographics -global trade regulations
consumer spending habits
Jessica asks customers what flavors of cupcakes they would be interested in purchasing. Jessica is in which stage of the entrepreneurial process? -exploitation -discovery -planning -evaluation
discovery
Which of the following is an example of a demographic trend that has encouraged entrepreneurial discovery? -interest rate fluctuations -increased cultural diversity -technological advances -industry deregulation
increased cultural diversity
Henry Ford's invention of the assembly line to aid in producing vehicles is an example of which area of entrepreneurial discovery? -the conquest of a new source of supply of raw materials or components -introduction of a new production method -the opening of a new market -introduction of a new product or an improved product
introduction of a new production method
Which of the following is a true statement about a business's environment? -it consists of the economy and technology -it may not affect the business, depending on the industry -it can be avoided -it is always changing
it is always changing
Entrepreneurial discovery is an important process in a free-enterprise economic system because an entrepreneur or small-business owner can ___. -change legal requirements -form a technological monopoly -improve economic sanctions -satisfy unment demand
satisfy unment demand
