MGMT 440 Final Cheek
A manufacturing firm needs to establish which of the following budgets?
material purchases budget
In principle, incumbents and entrepreneurs face the same challenges in finding new strategic positions, whereas in practice, incumbents often have an edge.
false
It is usually more expensive to gather secondary data than primary data.
false
Pricing procedures are the same for all types of ventures.
false
Sales forecasting is a process of projecting future sales through educated guesses.
false
The first step in the preparation of the cash-flow budget is the identification and timing of cash outflows.
false
The major purpose of a business plan is its utilization as a working document.
false
The patent process is neither complex nor does it require careful planning.
false
The registration of a trademark lasts for 40 years, with continuous renewal every 10 years.
false
cost that does not change in response to changes in activity for a given period of time.
fixed cost
In handling questionable costs, the cost in question is substituted first as a _____ cost and then as a _____ cost.
fixed; variable
The reason many small business managers lack expertise is that they are
generalists
Which of the following stages of venture development requires major changes in entrepreneurial strategy?
growth
Which of the following pricing models is not indicative of pricing in the social media age?
growth stage model
Sometimes consumers associate a higher price with
higher product quality
Capital budgeting is designed to show
how many projects, in total, should be selected.
Copyrights may be expressed in all of the following except
ideas
Items that can qualify for patent protection include all of the following except
ideas
From an entrepreneur's standpoint, financial statement analysis is useful because it
is a way to anticipate conditions
An indicator of the planning pitfall of "no realistic goals" is
lack of timetable to accomplish things
An infringement budget deals with
legal battles
Specific forms of partnership include _____ and _____.
limited partnerships; limited liability partnerships
group of consumers who have purchasing power and unsatisfied needs.
market
the process of identifying a specific set of characteristics that differentiate one group of consumers from the rest.
market segmentation
The key to marketing analysis is
marketing research
One type of budget used by the entrepreneur is a(n) _____ budget.
operating
The registration of a trademark has a lifetime of
10 years plus 10-year renewable periods.
Which of the following statements regarding sole proprietorships is true?
A sole proprietorship is owned and operated by one person.
Which of the following statements about entrepreneurial marketing is not true?
In entrepreneurial marketing, actions are constrained by resources currently controlled.
What is meant by product life cycle pricing?
The pricing needs to be adjusted at each stage in a product's life cycle.
A typical symptom of impending bankruptcy is when
other firms seem to be selling products that are a generation ahead.
Which of the following survey methods is the most expensive to conduct?
personal interviews
The day before the presentation, the entrepreneur should
practice the complete presentation by moving through each slide
According to the textbook author, a pitfall to avoid in planning is lack of
priorities
A patent infringer can be liable for all _____ resulting from the infringement as well as for legal fees.
profits
The comprehensive business plan should be the result of
reflections on the direction of the venture
The textbook discusses all of the following aspects that distinguish social media marketing from traditional marketing except
relevancy
Products or services that consumers make a special effort to find and purchase are _____ goods.
specialty
The text of a patent application is known as the
specification
The second stage of venture development is
start-up activities
Analysis of a firm's external and internal environments provides the firm with the information to develop
strategic intent and strategic mission
Penetration pricing is setting the price to
be below competition
Which of the following is a critical factor that should be discussed in the management segment?
board of directors and consultants
Which of the following is needed to prepare a pro forma balance sheet?
the last balance sheet prepared before the budget period began
The completed business plan provides the entrepreneur with a
tool for communicating with financial sources
A common mistake in business planning is using acronyms and technical jargon without clearly explaining them early in the business plan.
true
A patent is an intellectual property right.
true
Because of the fair use doctrine, it is sometimes difficult to establish infringement.
true
The actual need for systematic planning will vary with the nature, size, and structure of the business.
true
The first step in creating an operating budget is to prepare the sales forecast.
true
The freemium model requires new and exciting content each month to build a long-term relationship with fee-paying customers.
true
Three primary legal forms of organization are the sole proprietorship, the partnership, and the corporation.
true
Ratio analysis can be applied from which of the following directions?
vertical and horizontal
When using the internal rate of return method, the future cash flows are discounted at a rate that makes the net present value equal to
zero
Investments in which returns are expected to extend beyond one year are referred to as
capital investments
A series of short paragraphs, each of which identifies a particular feature that is protected by the patent, is known as a
claim
The part of a patent application that identifies the features that are protected is known as the
claim
Which of the following should be done to avoid the pitfall of "no market niche" (segment)?
clearly target a niche
Which of the following influences the choice of marketing philosophy?
competitive pressure
Which of the following is a marketing philosophy that focuses on research?
consumer-driven philosophy
Legal protection is granted to computer programs in which of the following forms?
copyright
A marketing information system compiles and organizes data relating to _____, revenue, and profit from the customer base.
cost
The textbook recommends that social media marketers consider which of the following three aspects of social media when using those tools for marketing purposes?
creating enabling encouraging
To an entrepreneur, one of the benefits of a business plan is that it identifies
critical risks
The emerging body of law governing cyberspace is often referred to as
cyberlaw
The owner of a copyright may not
deduct the intrinsic value of the rights from one's taxes
Which of the following is not a trademark?
description
Inhibitors to marketing research include all of the following except
distribution
New ventures are important to the economy in terms of innovation and
employment
A firm's pricing structure dictates almost no knowledge to customers.
false
Which of the following is a useful rule used to avoid pitfalls in selecting a trademark?
Never choose a trademark without first conducting a trademark search.
Which of the following falls under Chapter 7 bankruptcy?
the debtor is relieved of obligations
If infringement can be proven in court, a monetary award may be given to the trademark holder.
true
Marketing information that has already been compiled is known as secondary data.
true
Pricing for the product life cycle correlates with customer demand and sales volume.
true
Research indicates that strategic planning enhances a firm's performance.
true
Social media marketing is the application of online collaborative media for marketing purposes.
true
The pro forma income statement is prepared before the pro forma balance sheet.
true
The major thrust of the business plan, as defined in the textbook, is to
encapsulate the strategic development of the project in a comprehensive document.
In preparing a business plan for oral presentation, the entrepreneur should scan the outline once or twice.
false
For the author of creative material to obtain a copyright, the material must be in _____ form.
tangible
Babies and career are indicative of the priorities that shape the buying decisions of persons in the nest-building stage of the family life cycle.
true
Because corporate law makes it difficult for businesses to consider employee, community, and environmental interests in their decision making, the B corporation has been introduced.
true
Many research studies suggest that strategic planning influences a venture's survival.
true
Control versus communication is an important distinction between social media marketing and traditional marketing.
false
Design patents last for 20 years.
false
In conventional marketing, the role of a marketer is that of internal and external change agent.
false
In an entrepreneurial culture, strategic orientation is driven by
a perception of opportunity
The entrepreneur must be
able to handle questions from the evaluators
All of the following techniques are used in gathering primary data except
analysis of financial records
Which of the following is a psychological characteristic of consumers?
aspiration
A business plan _____ potential financial backers.
establishes a first impression of the company and its principals on
The process of trademark registration is
expensive
An entrepreneur must graph at least two numbers-total sales and total expenses-when using the graphic approach for break-even analysis.
false
Chapter 13 bankruptcy involves a reorganization of the enterprise.
false
Copyrights have to be registered with the Copyright Office.
false
The second section of a business plan is
the business description
Even after marketing research is done, many entrepreneurs are unsure of how to price their products or services.
true
Financial information pulls together all the information presented in the other segments of the business.
true
In bankruptcy terms, Chapter 7 is often called liquidation.
true
