chapter 1 study guide

6 steps

define the problem gather information define solutions Evaluate solutions take action Evaluate the actions

self-assessment

evaluation of your strengths and weaknesses

Entrepreneurial businesses include retailing businesses, such as clothing and furniture stores, but do not include service businesses.

false

Entrepreneurs and employees are both directly affected by the consequences of the decisions they make.

false

There are generally four types of businesses: manufacturing, wholesaling, retailing, and franchising.

false

M

measurable goals

employees

people who are hired to work for someone else

entrepreneurs

people who own, operate, and take the risk of a business venture

opportunities

possibilities that arise from existing conditions

entrepreneurship

process of running a business of one's own

R

realistic

trade shows

special meetings where companies of the same or related industry display their products

S

specific

aptitude

the ability to learn a particular kind of job

ideas

thoughts or concepts that come from creative thinking

T

timely

An advantage of entrepreneurship is that nobody tells an entrepreneur what to do.

true

Entrepreneurs try to meet the needs of the marketplace by supplying a product or service.

true

Entrepreneurship involves risk, which is both an advantage and a disadvantage.

true

Many entrepreneurs center a business on a hobby.

true

To determine if entrepreneurship is right for you, you need to perform a self- assessment.

true

brainstorming

a creative problem-solving technique that involves generating a large number of fresh ideas

problem-solving model

a formal process used to help solve problems in a logical manner

A

attainable