ENTR 187, Sec. 01 Exam 1_Chapter 2

The competency suggested by _____ relates to the organizational and business processes of a firm.

Boundary

The challenge of _____ refers to when woman or minority-owned businesses are simply excluded from the opportunities offered to firms owned by white males.

Access

In family-owned businesses, the board of directors can only be comprised of family members.

False

Most businesses run by teams are not family related.

False

With over 8.3 million businesses owned by women, they account for a quarter of small business revenue nationally.

False

What statement about certification with regard to women- or minority-owned small business is true?

For those businesses that qualify, certification provides a ready means of access to opportunity and to networks of businesses and government agencies.

The two fastest growing minority groups that represent the largest segments of minority business owners are:

Hispanics and African Americans.

Which of the following is one of the prime challenges faced by most second career entrepreneurs?

Keeping personal finances out of the business

Martin runs a successful house painting business. He runs his business out of his garage, which he converted into office space. Martin, who had previously worked as a house painter in another company had good knowledge of how to run a house-painting business. After a storm destroyed public properties in his neighboring town, he contracted with the mayor of that town to fulfill any painting jobs required during the town's reconstruction. In order to meet this demand and expand business, he hired more house painters. According to the BRIE model, which of the following is an example of Martin's opportunity competency?

Martin contracting with the mayor to help paint during reconstruction

Which of the following statements about entrepreneurial teams is true?

Most entrepreneurial teams are family related.

Which of the following challenges is typical to family businesses?

Role conflict and succession

Which of the following is true with regard to minimalized business professionalization?

The entrepreneur does nearly everything in the simplest way possible.

Which of the following is true with regard to minorities in small businesses?

The establishment of both public and private funding and networking initiatives has helped to level the business playing field for minority entrepreneurs.

This stage of the business life cycle is characterized by a stable level of sales and profits over several years. The functional areas, the market, and the products or services are all being dealt with consistently and efficiently.

The resource maturity stage.

Which of the following stages of the business life cycle do most small business never go through?

The takeoff stage.

Entrepreneurs get used to a do-it-yourself approach, which can be especially trying for second career entrepreneurs.

True

Succession plans deal with the people who will take over, what roles they will fill, and what supports they will receive.

True