Bus 001 - Ch. 5

The difference between small business owners and entrepreneurs is that small business owners: are innovators started the business to pursue their idea for a new product or service are risk takers accept the status quo and take a short-term view of the future are accurately described by all of the above

accept the status quo and take a short-term view of the future

_____ are entrepreneurs who apply their creativity, vision, and risk taking within a large corporation rather than starting a company of their own. They enjoy a high degree of autonomy while receiving a regular salary and financial backing from their employer.

Intrapreneurs

Once Arnold Patel had decided he wanted to quit working as a Web designer for a large advertising agency and go into some kind of business for himself, he did a self-assessment, which indicated that he had an entrepreneurial spirit. His next step will be to:

find the idea for his business

Hannah Li wants to quit her job as a legal secretary and start her own small business. She knows that she will be successful if she can find the right idea. Where can Li look for ideas for her new business? Problems she noticed in her old job Her interest in the history of Asian art Suggestions from her family Other businesses in other regions of the country All of the above

All of the above

All of the following are characteristics of an entrepreneurial personality EXCEPT: the willingness to take risks creativity problem solving skills a high energy level the willingness to be a follower rather than a leader

the willingness to be a follower rather than a leader

The first step in starting your own business is:

self-assessment

Michael Bronner made a fortune in the direct marketing business as the cofounder and CEO of Bronner Slosberg Humphrey, a wildly successful direct-marketing firm. His newest venture, Upromise Inc., enlists some of America's largest corporations to help families pay for college and is extremely successful. Entrepreneur Bonner would more than likely have which of the following characteristics? Ambitious Independent Self-confident Visionary All of the above

All of the above

Which of the following is a characteristic of the entrepreneurial personality? Risk-aversion Willingness to be a follower rather than a leader Dependence on others Dependence on others for motivation Ambitious

Ambitious

Gord Larose and his friend David Allan worked in Ottawa at Nortel Networks, a giant telecommunications-equipment maker. One Friday afternoon, over a few beers in Larose's kitchen, they dreamed up a scheme for renting software over the Internet. Instead of quitting their jobs, they reported to work on Monday, explained their plan to their boss, and began working to make their idea a reality. Four years later, their idea has evolved into an important division of Nortel called Channelware. Larose and Allan are examples of: interpreneurs multipreneurs intrapreneurs growth-oriented entrepreneurs Insourced entrepreneurs

Intrapreneurs (Intrapreneurs are entrepreneurs who apply their creativity, vision, and risk taking within a large corporation rather than starting a company of their own.)

_____ are entrepreneurs who start a series of companies.

Multipreneurs

Intrapreneurs: have a high degree of autonomy in spite of the fact they work for a large corporation have the characteristics of creativity, vision, and risk taking. receive regular salaries and employee benefits run mini-companies within large corporations are accurately described by all of the above

are accurately described by all of the above

The difference between the small business owner and the entrepreneur is that the entrepreneur: manages the business files taxes for the business assumes the risk of the business is responsible for the profits of the business is accurately described by all of the above

assumes the risk of the business

When he read Chicken Soup From the Soul, Joe Farmer was struck by how many of the stories mentioned the scent of the islands. So Farmer created bottles filled with Hawaiian air and some scented essence beads. When customers shake the bottles up and open the lids, they're transported back to paradise. While many marketing experts did not think that consumers would buy bottles of air, Farmer has earned more than half a million dollars of sale during his first year of operation. Farmer was an example of a _____ entrepreneur.

classic

When Art Baer read that Singapore would lift its ban on chewing gum, he thought to himself, "There has to be a market there." Baer, 26, knew if he was going to move beyond the daydreaming stage, he had to move fast. After investing $20,000 of his own money into developing a product he called Impress Gum, Baer quit his job, flew to Singapore, talked to the right people in the government, lined up a manufacturer, and hired a marketing firm to promote his gum, which fights tooth decay. Baer is an example of a(n) ______ entrepreneur. growth-oriented classic opportunistic risk-aversive debt-based

classic (Classic entrepreneurs are risk takers who start their own company based on innovative ideas.)

In 2000, Eric Baker and Jeff Fluhr came up with a concept that would do away with scalping if they had their wish, and everyone used StubHub.com. The Internet company brings people who want tickets and people who have tickets that they are not using together. The company has assisted in the sale of tens of millions dollars worth of tickets annually and is always trying to sell more. It charges a small fee for its assistance. Baker and Fluhr would be classified as: interpreneur multipreneur intrapreneur growth-oriented entrepreneur micropreneur

growth-oriented entrepreneur (Growth-oriented entrepreneurs want their businesses to grow into a major corporation.)

Lachlan Stuart is employed by International Paper, a company that values his vision and creativity. To stay ahead in a very competitive industry, International Paper gives Stuart, and his division has almost complete autonomy to develop innovative and effective communications. Stuart is an example of a(n):

intrapreneur (Intrapreneurs are entrepreneurs who apply their creativity, vision, and risk taking within a large corporation rather than starting a company of their own.)

When Allison Logue found out her children were allergic to corn, she started looking for sweets and starches that were corn-free and was dismayed to find very few such products on the market. As a result, she has started her own small business to produce and market corn-free desserts. It is a small market, and Logue plans to keep her business small. Logue is an example of a(n): interpreneur multipreneur intrapreneur growth entrepreneur micropreneur

micropreneur

When Suzanne Pogell wanted to learn to sail, but she could find no one to teach her because men were the ones who sailed, and women were their crew. She finally convinced someone to teach her to sail, and after mastering sailing, she started an all-woman sailing school called Womanship. Pogell started small and plans to stay small. She would be correctly called a(n): interpreneur multipreneur intrapreneur growth entrepreneur micropreneur

micropreneur (Micropreneurs are classic entrepreneurs that start small and plan to stay small.)

Many classic entrepreneurs are _____ who start small and plan to keep their business small.

micropreneurs

Michael Bronner made a killing in the direct marketing business as the cofounder and CEO of Bronner Slosberg Humphrey, a wildly successful direct-marketing firm. His newest venture, Upromise Inc., enlists some of America's largest corporations to help families pay for college and is extremely successful. The 40-year-old Bronner will more than likely start at least one more new company before he retires because Bonner is a(n): interpreneur multipreneur intrapreneur growth entrepreneur micropreneur

multipreneur (Multipreneurs are entrepreneurs that start a series of companies.)