Chapter 3 Quiz

Entrepreneurial Ecosystem

A specific configuration of the environment that reflects the components that are most central to developing a strong and active community of start-up businesses. The components are entrepreneurs, government, universities, investors, service people, mentors, and large organizations.

Billboard Principle

An ethical model that asks whether someone would be comfortable having his or her decision and name advertised on a billboard for the public to see.

Universalism

An ethical model that suggests that there is a code of right and wrong that everyone can see and follow.

Golden Rule

An ethical model that suggests you treat others in the manner you wish to be treated.

Utilitarianism

An ethical model that supports seeking the greatest good for the greatest number of people.

"Real Options" Approach

An idea in entrepreneurship popularized by McGrath and Macmillan that suggests thinking of entrepreneurial opportunities (like start-ups) in terms similar to buying a stock option, putting a small amount of money down now to let you invest more at favorable rates later.

Property/Physical

Buildings, land, equipment, raw materials (e.g. shop & bikes)

Relational

Customers, networks, distributors, social capital (e.g. Race Team, bike groups, supplier connections)

Intellectual (Human)

Employees, contractors, advisers, consultants, and the skills the business needs or has

Financial

Money, lines of credit, crowdfunding, bartering

Organizational identity

Part of the BRIE model (Boundary); composed of the name, description, and distinctive elements of a firm, such as trademarks, uniforms, logos, characters, and stories

Technological

Patents, trademarks, ideas, copyrights, licenses, access to technology or expertise networks (Bike Fit - Scott Davis, Retul Technology Master Fit Certified)

Organizational

Systems, structures, operational procedures (e.g. innovate teamwork approach & effective bike repair schedule)

Legitimacy

The belief that a firm is worthy of consideration or doing business with because of the impressions or opinions of customers, suppliers, investors, or competitors

Trade Magazines

The magazines that target specific industries and professions.

Customer Relationship Management (CRM)

The process of tracking the customer's different contacts with the firm, and using these data to help improve sales as well as the customer's experience.

Environment

The sum of all the forces outside the firm or entrepreneur

Network Mavens

people who like to gather and share their enormous networks

Personal Network

people you have encountered in your everyday life—family, friends, classmates, workmates, and others you interact with in the physical world

Green Retailing

refers to the management approach that pursues environmental protection to improve the retail value chain through eliminating waste, increasing efficiency and reducing costs.

LEED Certified

stands for Leadership in Energy and Environmental Design

Online Network (Social Network)

the people to whom your are connected through the internet

Caveat Emptor

A Latin expression that means "let the buyer beware," which has been made into a philosophy sometimes used by businesses to put the burden for consumer protection onto the customer.

ISO 14001 certification

A certification awarded to organizations for creating and implementing an environmental management system that meets the requirement of the International Organization for Standardization.

Board of Directors

A formal group within a company that is legally responsible for the decisions and actions of the company. The directors sit above the president or chief executive officer of the company.