Entrepreneurial Problem Solving

Joint venture

A ___________ __________ is a company owned by two or more organizations

True

A code of conduct is a statement of ethical practices or guidelines to which an enterprise adheres. T/F

illegal and ethical decision

A decision to sell pharmaceuticals that have not been cleared with the Federal Drug Administration is an example of a

legal and unethical decision

A decision to sell toys that pass minimum safety standards but can often result in minor accidents to children is an example of a

A desire to dramatically increase profitability

All of the following are reasons for the growth of corporate entrepreneurship except:

the speed with which information flows across borders

Among the advantages for global entrepreneurs of diaspora networks is..

low-profit, limited liability companies

An L3C is an new legal form for social enterprises known as

the triple bottom line

An account framework that goes beyond the traditional measures of profit, return on investment, and shareholder value to include environmental and social dimensions is called..

Commitment, determination, and perseverance

Characteristics often attributed to the entrepreneur include:

True

Clever bootlegging of ideas refers to secretly working on new ideas on company time as well as on personal time. T/F

Entrepreneurial thinking that is diffused throughout the company

Collective entrepreneurship, as a concept, refers to:

False

Commitment, determination, and perseverance are the only characteristics one needs to become a successful entrepreneur. T/F

True

During the past ten years, new business incorporation's averaged nearly 600,000 per year. T/F

only with economically sustainable development

Ecopreneurs are concerned...

False

Ecopreneurship is a combination of ecologically and economically sustainable development. T/F

Eliminating the concept of "price"

Key elements in plans to create a sustainable future are likely to include which of the following?

True

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship. (Allow bootlegging of ideas.) T/F

True

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship. (Encourage a bias for action). T/F

False

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship. (Encourage structured activity)T/F

False

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship. (Make extensive use of formal meetings). T/F

foreign reclamation

Methods for going international include all of the following except:

Ethical and illegal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose which category the following action falls into: Producing and selling a drug that will reduce heart attacks but failing to complete all of the paperwork that must be filed with the government prior to selling the product

Unethical and legal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose which category the following action falls into: Publishing a newspaper story that wrongly implies but does not openly state that the governor(a political opponent of the newspaper) is deliberately withholding state funds for education in the newspapers effort to win nomination support for its candidate from the state teachers union

unique markets

Mountain gab strategies refer to:

With every new venture launched, new and unintended opportunities arise

The "corridor principle" is best described by which of the following statements?

False

The "dark side" of entrepreneurship refers to the stress that entrepreneurs experience

the individual's personal entrepreneurial mind-set and an opportunity

The decision to behave entrepreneurially is the result of the interaction of:

economic, cultural, and political

The displacement school of thought can be divided into which three groups?

conduct research

The first step taken to go international is ________ _______-

Top management support, time, resources, rewards, and organizational boundaries

Which of the following are specific factors identified by researchers, that organizations can concrete on in structuring an entrepreneurial climate.

An increase inn corporations losing some of their best people

Which of the following helps account for the rise of interest in corporate entrepreneurship?

Traditional management techniques

Which of the following is an obstacle to corporate entrepreneurship?

Entrepreneurs today are considered heroes

Which of the following is not a common myth about entrepreneurs?

frustration

Which of the following is not a trait of successful entrepreneurs

knowing when to take a vacation

Which of the following is not characteristic of the "dark side" of the entrepreneurship?

Entrepreneurship is the ability to create and build a vision from practically nothing

Which of the following statement is true:

Social entrepreneurship is limited to the world of not-for-profit corporations

Which of the following statements about social entrepreneurship is not true?

OPIC

______ can cover three types of risk: currency inconvertibility insurance, expropriation insurance, and political environment insurance

Ethical and illegal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose with category the following action falls into: Giving a gift of $50,000, to a foreign minister to secure a business contract with his country (a customary practice in his country) and then writing off the gift as a tax-deductible item

take characteristics that usually lead to success to the extreme

The entrepreneurial ego can cause the entrepreneur to:

Sharing the vision of innovation

The first step in planning a strategy of entrepreneurship for enterprise is:

A business with at least 20 percent growth every year

Which of the following statements best describes a "gazelle?"

radical innovation

Which of the following terms refers the inaugural breakthroughs launched from experimentation and determined vision?

Incremental innovation

Which of the following terms refers to the systematic evolution of a product or service into newer or larger markets?

uniform compensation

Which of the following would not be considered as encouraging to an entrepreneurial environment?

Owners being more technical rather than entrepreneurial

Michael Gerber, the author of "The E-Myth", explains that the failure of most small businesses is due to

True

One reason that corporate entrepreneurship has become popular is because it allows corporations to tap the innovative talents of the personnel. T/F

True

The first step in planning a strategy of corporate entrepreneurship is sharing the vision of innovation that executives wish to achieve. T/F

True

The generation of the twenty-first century may become known as generation E because it is becoming the most entrepreneurial generation since the industrial revolution. T/F

Environmental, financial, and displacement

The macro view can be broken down into which three areas?

True

The macro view of entrepreneurship includes external processes that are sometimes beyond the control of the entrepreneur. T/F

External local of control

The macro view of entrepreneurship presents factos exhibiting a strong:

venture opportunity theory, entrepreneurial, strategic

The micro view is divided into which three theories?

False

A loss orientation toward grief recovery in dealing with failure can sometimes lesson negative emotional reactions

False

According to the Model of Entrepreneurship Motivation, the entrepreneurs expectations are not compared with the actual or perceived outcome of the firm. T/F

False

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship.(discourage joint projects and venture among different departments.)

True

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship.(provide feedback on performance). T/F

False

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship.(set implicit goals) T/F

Encourage innovation

The major thrust of corporate entrepreneurship is to

The corridor principle

The statement, "with every new venture launched, new and unintended opportunities often arise", would be associated with:

True

A "gazelle" is a business establishment with at least 20 percent sales growth every year for five years. T/F

code of conduct

A __________ is a statement of ethical practices or guidelines to which an enterprise adheres.

are driven by intense commitment and perseverance

Entrepreneurs...

False

Ethics represents a set of principles prescribing a behavioral code that does not include moral duty and obligations. T/F

Potential; free choice

Every person has the _____and_____ to pursue a career as an entrepreneur

False

The word entrepreneur is derived from the Spanish word entreprendre, meaning "to undertake." T/F

True

There is a certain psychic risk involved with entrepreneurship. T/F

A lack of research about entrepreneurship

Throughout the years, many myths have arisen about entrepreneurship as a result of?

career, family, psychic

Areas of risk to the entrepreneur include:

global competition

Bottom-line measured of economic performance include all of the following except:

having a chronic sense of time urgency

Entrepreneurial stress can be cause by having a type A personality which can be defined as:

False

Entrepreneurs always start their business at a young age. T/F

Unemployment

Entrepreneurs and gazelles have been credited with making disproportionate contributions to all but which of the following:

True

Entrepreneurs are aggressive catalysts for change within the marketplace. T/F

False

Entrepreneurs are born not made. T/F

False

Entrepreneurs are high risk takers. T/F

support for minority-own businesses

Examples of social enterprise obligations to the environment include all of the following except

True

Firms do not need to alter management techniques to encourage corporate entrepreneurship since it tends to occur naturally. T/F

Direct foreign investment

Foreign governments sometimes grant incentives for _____ ______ ______

False

Gazelles are almost always high tech. T/F

the discrepancy between the entrepreneurs expectations and the ability to meet demands

Generally, entrepreneurial stress is due to:

skunk works

Groups that function outside traditional lines of authority permitting rapid turnaround of new ideas as well as instilling a high level of group loyalty are called:

social entrepreneurs motivated by profitability with social benefits being the means

If we accept the argument that social entrepreneurship is a continuum, at one extreme would be social entrepreneurs driven exclusively by producing social benefits; at the other would be

promote entrepreneurship through experimentation

In restructuring corporate thinking, top management should:

True

In the model of sustained corporate entrepreneurship discussed in the text, a transformational trigger can be internal or external to the company. T/F

True

Individuals may avoid corporate entrepreneurial behavior due to the impact of traditional management techniques. T/F

international alliances

Informal, formal, or joint collaborations are_____

False

International alliances rarely require the exchange of proprietary knowledge. T/F

WTO

Is the umbrella organization governing the international trading system

True

Licensing agreements can involve patents, trademarks, and technical know-how. T/F

Social obligation

One researcher established a framework that classified social action of corporations into distinct categories that included social responsiveness and _____________?

True

Purpose, accountability, and transparency are characteristics associated with socially sustainable enterprises. T/F

diaspora networks

Relationships among ethnic groups that share cultural and social norms are_______ _______

True

Researchers have identified specific factors that organizations can concrete on in helping individuals develop more entrepreneurial behavior. T/F

bootlegging

Secretly working on new ideas on company time as well as on personal time is referred to as:

False

Skunk works are project groups that work within the traditional lines of authority. T/F

True

Social entrepreneurs are known to combine resources to exploit opportunities to create social value. T/F

True

Social obligation, social responsibility, and social responsiveness are all ways firms view their interactions with society. T/F

False

Social responsibility consists of those obligations that society has to businesses. T/F

False

Successful global start-ups, or entrepreneurial businesses that are "born global," surprisingly often lack internationally experienced management. T/F

False

Systematic evolution of a product or service into newer or larger markets is referred to as radical innovation. T/F

False

The "corridor principle" states that entrepreneurs often get stuck on one idea. T/F

a social responsiveness

The most pro-active position for a corporation to take in regard to social responsibility would be termed..

Model the various factors that characterize the entrepreneurial process

The process approach to entrepreneurship seeks to:

False

The resources of the organization are irrelevant to the ability of the corporate entrepreneur to implement an idea. T/F

developing and encouraging innovation

The second step in planning a strategy of entrepreneurship for the enterprise is:

True

The three P's the triple bottom line are people, planet, and profits. T/F

False

The triple bottom line is an accounting framework that focuses on optimizing short-term financial performance. T/F

To undertake

The word entrepreneur is derived from the French entreprendre, which is translated as:

False

Today's entrepreneurs are faced with few ethical decisions because the legal system imposes greater penalties on wrongdoers. T/F

Strategically adapting to change

Transformational triggers in a corporate entrepreneurial environment initiates the need for

internal locus of control

When entrepreneurs believe that their accomplishments and setbacks are within their own control and influence, they are exhibiting:

social impersonator

Which of the following designations is not synonymous with social entrepreneur?

psychic risk

Which of the following may be the greatest risk to the well-being of the entrepreneur?

licensing

_______ is a business arrangement in which the manufacturer of a product gives permission to some group or individual to manufacture the product in return for specified royalties or other payments.

NAFTA

________ is an international agreement among Canada, Mexico, and the United States that eliminates trade barriers

Political risk

___________ ____ includes unstable government, war, regionalism, and ideological differences

actions that further some social good beyond the interests of the firm

corporate social responsibility

conducting research

the first of five steps for entering the international marketplace is..

True

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship. (encourage brainstorming). T/F

False

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship. (fire those who make mistakes as a way of creating a good example for others)

False

Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship.(develop a well-defined hierarchical structure, and stick to it). T/F

Unethical and legal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose which category the following action falls into: Knowing that 1 percent of all tires have production defects but shipping them anyway and giving mileage allowances to anyone whose tires wear out prematurely

Ethical and legal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose which category the following action falls into: Manufacturing a new fuel additive that will increase gas mileage by 10 percent

Unethical and illegal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose which category the following action falls into: Offering a member of the city council $100,000 to vote to give the entrepreneur the local cable television franchise

Ethical and legal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. Choose which category the following action falls into: Producing a vaccine, already approved by the Food and Drug Administration, that will retard the growth of bone cancer

Unethical and illegal

Most entrepreneurial actions are ethical and legal. Sometimes, however, they are unethical and/or illegal. choose which category the following action falls into: Obtaining inside information from another brokerage that results in the entrepreneur netting more that $2 million