BUSG 129 Chapter 6 learn smart

Becoming an apprentice, talking to other business owners, and working for a successful entrepreneur are all examples of effective ways to obtain ______ for running your own business.

experience

Entrepreneurs start a business with the desire to grow the business and generate wealth while ______ start a business that will stay small, allowing them to have a balanced lifestyle and the ability to do the kind of work they want to do.

micropreneurs

Entrepreneurs must recognize that they need competent and motivated employees. Since they can't compete with larger firms' pay and benefits, they need to:

be respectful of employees' opinions, delegate more often, and provide more challenging opportunities to learn.

All organizations require the following:

capital and information management.

______ are creative people who work as entrepreneurs within corporations.

Intrapreneurs

______ want to maintain a balanced life style while doing the kind of work they want to do.

Micropreneurs

True or false: Most entrepreneurs do not get their ideas from a flash of inspiration; they come more from their passions or looking at problems.

True

An inexpensive marketing research study may help you determine which of the following?

Whom to select as your target market, where to locate, and what is an effective strategy for reaching your target market.

To keep track of daily sales, expenses, profits, inventory control, customer records, and payroll a small business needs a good ______.

accounting system.

Understanding where to locate your business, who your target market is, and how to reach them, can be accomplished through ______.

an inexpensive market research study.

A(n) ______ can benefit both the trainee and the business owner by hiring the trainee to learn small-business management while assisting the owner in getting daily work done.

apprenticeship

In 2019, online retail sales reached over $365 ______, or approximately ______ percent of all retail sales.

billion, 12

A(n) ______ is a detailed written statement that describes the nature of the business, the target market, the advantages the business will have over competition, and the resources and qualifications of the owner(s).

business plan

A(n) ______ is someone accepting the risk of starting and running a business.

entrepreneur

Individuals who possess such attributes as being self-directed, action-oriented, and tolerant of uncertainty can make excellent ______ like Bill Gates and Steve Jobs.

entrepreneurs

, keeping good business records, knowing your customers, and managing employees are what it takes to start and run a small business.

financing

As a small business grows, it is ______ to oversee every detail; entrepreneurs must train and motivate employees.

impossible

The expansion and development of the Internet has sprouted a world of small web-based businesses. This, among other reasons, may explain why online sales are rapidly:

increasing.

Managing a small business became relatively easy with the advent of inexpensive personal computers. Inexpensive computer systems and off-the-shelf or even free, open-source software make it easy for the small business manager to:

manage customer records and follow the daily sales and expenses.

The best way to define a(n) ______ is all consumers with unsatisfied wants and needs who have both resources and the willingness to buy.

market

Two advantages small firms have over large firms include more personal customer service and the ability to respond quickly to:

opportunities.

Select reasons why people become entrepreneurs.

opportunity, profit, independence.

______ businesses are businesses that are independently owned and operated, are not dominant in their field of operation, and meet certain standards of size in terms of employees or annual receipts.

small

Managerial incompetence and inadequate financial planning are two common reasons for ______ ______ failure.

small business

Among the hurdles small businesses must overcome in starting to operate globally are:

understanding cultural differences, bureaucratic paperwork and difficulty finding financing.

After working for a large auto manufacturing company for over 20 years, Silvia decided to start her own auto accessory store. While facing new challenges every day, Silvia enjoys being free to manage her company as she desires. This example illustrates:

why people take the risks of entrenpreneurship

Select the characteristics of an entrepreneurial team that will be developing and marketing a new product.

Members have complementary skills and are creative, each from different areas of business, and a group of experienced people.

Which of the following are good ways to learn how to run your own business?

Run a small business during your off hours, work for a successful entrepreneur, and talk to other business owners.

True or false: The principles of management are similar for a small neighborhood business and a giant global firm.

True

There are a few hurdles that prevent many small businesses from engaging in the global market. Which of the following are examples of such problems?

Would-be exporters do not know how to get started and financing is often difficult to find.

David opened his own bicycle shop 30 years ago, and although he enjoyed his work, he needed more free time. When Josie requested to work as an apprentice, David was very willing. Before long Josie was able to run the store without any help. This is an example of how:

apprenticeships can benefit both the business owner and the apprentice.

Mark recently started a small consulting firm. He is drafting a detailed written statement that describes the nature of the business, the target market, the advantages the business will have over competition, and the resources and qualifications of the owner(s). Mark is writing a(n) ______ ______.

business plan.

A market consists of consumers with unsatisfied wants and needs who have both resources and the willingness to:

buy.

An inexpensive ______ ______ ______ can help you determine where to locate your business, whom to select as your target market, and what is an effective strategy for reaching it.

marketing research study

A business that is independently owned and operated, is not dominant in its field of operation, and meets certain standards of size in terms of employees or annual receipts is a(n):

small business.

Learning from others is a useful way to avoid pitfalls when starting a small business. Some things you may be told would include:

starting with enough money, to hire a good lawyer and accountant, and that finding and retaining good workers is hard.

An entrepreneurial ______ is a group of experienced people from different areas of business who join together to form a ______ team with the skills needed to develop, make, and market a new product.

team; managerial

Daniel wanted to start his own small business. After spending his own money on marketing research, Daniel asked his friend Chase to be his accountant. They spent a few months writing a business plan, which then they presented to a bank. Daniel:

understands the steps needed to start a small business.

Phil invests in new businesses in exchange for partial ownership in those businesses. Phil is a(n) ______ ______.

venture capitalist.

Many ______ use their time, money, and energy to turn their passions into sustainable businesses. They are comfortable being their own bosses and are not afraid of failure.

entrepreneurs

Local community college classes are a good place to start to learn about business and ______.

entrepreneurship

According to a recent study, offering low-cost offices with basic services to new businesses in the early stages of development results in an 87% success rate of ______ graduates.

incubator

Business ______ are centers that offer businesses in the critical stage of early development low-cost offices and access to basic services such as accounting, legal advice, and secretarial help.

incubators