CH 13 HW Entrep

Unique managerial concerns of growing ventures encompass all of the following except: a. community pressures b. the one-man-band syndrome c. time-management issues d. agency problems

agency problems

In the strategy matrix model, innovation is defined as a. something new and different. b. an invention. c. using practical milestones. d. copying and improving on competitor's products.

something new and different

The entrepreneurial strategy matrix measures risk and innovation. a. True b. False

T

Formation of long-range plans for effective management in light of a venture's strengths and weaknesses is referred to as a. dimensional planning. b. operational planning. c. tactical planning. d. strategic planning.

Strategic Planning

Research has shown a distinct lack of planning on the part of new ventures. a. True b. False

T

The "best" strategic plan will be influenced by the abilities of the entrepreneur, the complexity of the venture, and the nature of the industry. a. True b. False

T

All of the following are characteristic of entrepreneurial cultures except: a. episodic use of required resources b. hierarchy c. action orientation d. multiple informal networks

hierarchy

Many research studies suggest that strategic planning influences a venture's survival. a. True b. False

T

In administrative cultures, there is a need for clearly defined authority and responsibility. a. True b. False

T

Misunderstanding industry attractiveness can be a fatal flaw in strategic planning. a. True b. False

T

Small business owners are often guarded about their businesses, which leads to a. distrust of others when formulating a strategic plan. b. misunderstanding of the economic environment. c. lack of attention to the competition. d. a myopic viewpoint.

distrust of others when formulating a strategic plan.

What is the one-person-band syndrome? a. an invention b. failure to delegate c. effective time management d. following a competitor's lead

failure to delegate

A reason new venture managers lack knowledge in the strategic planning process is because a. they are overconfident. b. they have minimal exposure to the planning process. c. they attempt to implement actions too quickly. d. they refuse to learn new things.

they have minimal exposure to the planning process.

Which of the following is not a reason for the lack of planning in new ventures? a. time scarcity b. lack of trust c. lack of dominance d. lack of knowledge

lack of dominance

A reason for lack of strategic planning has been found to be a. lack of preference. b. lack of dominance. c. lack of expertise. d. time sharing.

lack of expertise

Which of the following would be considered fatal mistakes in strategic planning, according to researcher Michael E. Porter? a. pursuing a solid competitive position b. compromising strategy for profits c. no real competitive advantage d. venture's strategy is too rigid

no real competitive advantage

The entrepreneurial strategy matrix measures: a. risk and security. b. commitment and time. c. risk and innovation. d. opportunity and time.

risk and innovation.

Which of the following factors would not be considered a key dimension that shapes the strategic management activities of a growing firm? a. speed of decision making b. internal political problems c. environmental uncertainty d. lack of knowledge

Lack of knowledge

Lack of expertise has never been considered a reason for the lack of strategic planning in new ventures. a. True b. False

F

Participation by subordinates in a strategic plan is never appropriate. a. True b. False

F

Analysis of a firm's external and internal environments provides the firm with the information to develop a. administrative experience. b. strategic intent and strategic mission. c. a degree of uncertainty. d. competitive strengths

strategic intent and strategic mission.

A "SWOT" analysis refers to a. strength, weaknesses, opportunities, threats. b. small, weak, ordinary, tact. c. none of these. d. sound warnings of takeovers.

strength, weaknesses, opportunities, threats.

A "SWOT" analysis refers to analyzing strengths, weaknesses, opportunities, and threats. a. True b. False

T

During the growth stage of a venture, entrepreneurs shift into a managerial style. a. True b. False

T

Emerging ventures that are rapidly expanding with constantly increasing personnel size and market operations will need a. to formalize planning because there is a great deal of complexity. b. less formal planning because of constant changes. c. to establish a pattern of subordinate participation. d. to evaluate company strengths and weaknesses.

to formalize planning because there is a great deal of complexity.