business chapter 6

The business plan will include

an analysis of the competition

Entrepreneurs seeking financial support from bankers and potential investors should:

create a detailed business plan to help the bankers and investors understand why this business will succeed

Small businesses create about ________ of the new jobs in the United States.

65 percent

intrapreneur

A creative person working within a corporation to launch new products and generate new profits

venture capitalist

A firm or individual providing financial capital to small businesses in exchange for an ownership stake in the company

affiliate marketing

A successful web-based strategy that helps a business spread the word about its website and products

micropreneurs

Business owners who prefer to maintain their businesses at a manageable size

Which of the following best describes the difference between an intrapreneur and an entrepreneur?

Intrapreneurs work within existing corporations while entrepreneurs assume the risks of starting their own business

Which of the following government agencies is responsible for encouraging the development of small business?

Small Business Administration

the Service Corps of Retired Executives

The Small Business Administration sponsors volunteers from industry, trade associations, and education who offer advice to small business owners. These volunteers are called:

entrepreneurial team

a group of experienced professionals from different areas of business who join together to develop, make, and market a new product.

insurance agent

a valuable source of information regarding techniques to reduce a firm's exposure to risk.

business plan

a written document that details the business idea, the target market and the business's competitive advantage, financial resources available for the business, and the qualification of the management.

Entrepreneurship is:

accepting the risk of starting and running a business.

Enterprise zones are specific geographic areas that:

attract business investment by offering lower taxes and government support for development.

angel investors

private individuals who invest their own money in potentially hot new companies before these firms become larger, publicly traded companies.

A Small Business Investment Company (SBIC)

private investment company that is licensed by the SBA to make loans to small businesses.

market

refers to people with unsatisfied wants and needs who are willing and able to buy a product or service.

One of the best places for young entrepreneurs to start shopping for an SBA loan is a:

small business development center