Entrepreneurship Exam 1

The window of opportunity is part of:

A: assessing the attractiveness of a new entry opportunity.

All of the following statements are true of sustainable entrepreneurship except:

A: entrepreneurships with a positive attitude toward the natural environment never disengage these values to exploit an opportunity.

Concerns regarding roads, electricity, banking facilities, communication, and educational systems have to do with a country's:

A: infrastructure

Having an entrepreneurial orientation toward the control of resources means:

A: that one focuses on accessing others' resources.

____ is the process of an entrepreneur conducting business activities across national borders.

B: International entrepreneurship

Which among the following political risks is considered the biggest risk of all?

B: Ownership risk

First movers:

B: are better positioned to satisfy customers.

On the education background, entrepreneurs:

B: cite an educational need in the areas of finance, strategic planning, marketing, and management

To be the basis of a firm's superior performance over competitors for an extended period of times, valuable and rare resources need to be:

B: fully utilized

Trends for the next decade include all of the following except:

B: new age music

Which of the following is most effective in grief-recovery?

C: Dual process

Which of the following is not a leadership characteristic of a corporate entrepreneur according to the text?

D: encourages colleagues to follow hierarchy

With regard to thinking structurally, superficial similarities:

D: exist when the basic (relatively easy to observe) elements of the technology resemble the basic elements of the market.

Which of the following statements is true:

D: potential entrepreneurs should establish a formal method for monitoring and evaluating competitive products and services on the market.

The first step in establishing corporate entrepreneurship in an organization is:

D: securing commitment from top management.

Which among the following aspects most affects an entrepreneurship's perception of feasibility?

D: self-efficacy

A highly skilled workforce represents an important resource, but the impact of this resource on performance is reduced when it is combined with an organizational culture that enhances communication, teamwork, and innovativeness.

False

An entrepreneurial strategy is the set of decisions, actions, and reactions that protect the firm from new entrants.

False

Brainstorming is an unstructured process used for generating possible ideas about a problem within a limited time frame through the spontaneous contributions of participants. The key to success is to critique ideas when they first surface.

False

Competition within an industry always has a negative effect on industry growth.

False

Entrepreneurial activities tend to immediately affect the bottom line, and hence are seldom overlooked and receive extensive funding and support.

False

Entrepreneurial endeavors consist of new business venturing, innovativeness, self-renewal, and reactiveness.

False

For a global entrepreneur, technological environment variations are minimal since firms produce mostly standardized, relatively uniform products that can be sorted to meet industry standards.

False

Members of the distribution channel are usually a bad source of ideas for new products.

False

Nonverbal or hidden language of a culture accounts for a small percentage of all understood communication

False

Only the pricing element in the business strategy of an international entrepreneur has the potential to be affected by the multiplicity of legal environments

False

Results from product inventory analysis need minimal evaluation as they most likely reflect a new business opportunity.

False

Sustainable entrepreneurship provides only environmental gains for others.

False

The drawback with problem inventory analysis is that it is not effect in relating known products to suggested problems.

False

An opportunity assessment plan has five sections- 3 major sections and 2 minor sections

False (2 & 2)

An entrepreneurial strategy has 3 key stages- 1. generation of a new entry opportunity, 2. the exploitation of a new entry opportunity, 3. feedback loop back to the first stage

True

Corporate entrepreneurship is most strongly reflected in entrepreneurial activities as well as in top management orientations in organizations.

True

Creativity tends to decrease with age.

True

Developing a spirit of entrepreneurship within the existing organization, called corporate entrepreneurship, can lower resistance to flexibility, growth, and diversification.

True

Entrepreneurial opportunities are those situations in which new goods, services, raw materials, and organizing methods can be sold at greater than their production cost.

True

Entrepreneurial thinking is partly a mental process of recognizing a signal and then deciding if the signal represents an opportunity for someone.

True

Entrepreneurially managed firm structure is usually flat with multiple informal networks.

True

Entrepreneurs focus on how to minimize resources needed whereas traditional firms focus on accumulating resources.

True

International entrepreneurial decisions are more complex than domestic decisions due to uncontrollable factors such as economic development and stage of economic development

True

Knowledge is the basis of the entrepreneurial resource.

True

Profits and tax benefits are common motivations for going global

True

Role models can include family members as well as industry professionals.

True

Structural similarities exist when the underlying mechanisms of the technology resemble, or match, the underlying mechanisms of the market.

True

The effectuation process starts with what one has and selects among possible outcomes.

True

The focus group is an excellent method for initially screening ideas and concepts.

True

The key to successful entrepreneurship is to develop an idea that has a large, reachable market.

True

The knowledge needed to generate innovation cannot be easily learned from a textbook.

True

The period of time when the environment is favorable for entrepreneurs to exploit a particular new entry is called the window of opportunity.

True

Trends often provide one of the greatest opportunities for starting a new venture.

True

Creativity declines with:

age, education, lack of use, and bureaucracy