Entrepreneurship

A small business is one that is independently owned and does not engage in many new or innovative practices

False

____________are those in which 40% or more of human resources are professionals, technicians or other knowledge workers

High knowledge industries.

The __________--- is entering a business in order to make a profit, which is the reward for taking risks -- such as investing funds in an untried business and an uncertain market

Profit motive

_________is the redesign of operations, starting from scratch

Reengineering

Which of the following statements regarding small businesses is(are) true?

Small businesses create about two out of three of all new American jobs

While proprietorships are the most popular form, they account for only a small share of total revenues

True

an effective method of time management is to select a competent person to sort out unimportant mail and screen incoming calls

True

one characteristic of a small business is that the firm is small in comparison with its largest competitors in its industyr

True

the board of directors represents the stockholders in managing the company

True

Which of the following laws extended anti-discrimination laws to include commercial and personal credit for women

Women's Business ownership act

Every year about ____ people in the US start a business

750,000

Corporations usually receive about _____ percent of the total revenue

88

African American owned businesses are primarily mom and pop businesses such as grocery stores

False

An entrepreneurial venture is characterized more by its family nature than by the desire for growth and profits

False

Because of their size small businesses are less vulnerable to technical and environmental changes.

False

Cultural factors alone explain the outstanding success of Asian entrepreneurs in this country

False

Most women entrepreneurs inherited family businesses.

False

Once you choose one form of business ownership, it is impossible to change to another form.

False

Small business owners are usually very willing to delegate duties to their employees

False

Small business owners have no problem with obtaining sufficient investment capital

False

Small businesses are not particularly good source of jobs for older workers

False

The major advantage of a corporation is limitation of owners' liability

False

The objectives of owners of small businesses are identical to those of managers in large firms - security, power, and prestige

False

The objectives of owners of small businesses are identical to those of managers in large firms -- security, power, and prestige

False

The partnership form of ownership has an unlimited life because as long as any one of the partners is alive the partnership is continued

False

The personal liability of the general partners is limited to the amount of capital they have contributed

False

Unless all partners agree on an issue, the individual partners cannot be held financially

False

the limited liability company is identical to the joint venture form of ownership

False

In a ___________ the owners have limited liability and avoid double taxation

Limited liability company, S Corporation (B & C)

The ____________ form of ownership helps entrepreneurs gain some shield from personal liability with the tax advantages of partnership.

Limited liability corporation

Which of the following ethnic groups has NOT experienced success in the small business area?

Native Americans

Which of the following is(are) a problem area for small businesses?

Poorly planned growth A shortage of working capital inadequate management government regulations all of the above!

Which of the following statements best describes the changes taking place in the US workforce

The work force is becoming older

An owner's primary motive can usually be summarized by one word - independence

True

As an economic power, American small business ranks third in the world

True

If a firm becomes large enough to require outside capital for future success and growth the owner/manager may lose autonomy over the company

True

Owners tend to lose some of their independence if their business is growing

True

Small businesses account for over half of the US gross domestic product

True

The flood of Asian immigrants into the US in recent decades has resulted in a wave of mom-and-pop entrepreneurships

True

The proprietorship is the most popular form of business in the United States

True

A __________ partner is known to the public and has unlimited ability for the firm's debts

general

___________ are the ends toward which all activities of the business will be aimed

objectives

Small business:

originated over half of today's technological developments.

Which of the following is NOT a unique contribution of small business?

reduces the need for management

A person who aspires to operate a small business must set _______ as the primary objective, with _________ as a natural consequence

service/profit

Small business is a good source of jobs for

teenagers college students olders a and c only ALL OF THE ABOVE

Which of the following is(are) a characteristic of small busienss according to the Committee for Economic Development?

the area of operations is local although the market isn't necessarily local. Management is independent since the manager owns the firm. One, or a few individuals supply capital and hold ownership. ALL OF THE ABOVE

the first electronic computer was produced by:

the firm owned by John Mauchly and J. Presper Eckert