Entrepreneurship Unit 2

When determining venture-creation opportunities, entrepreneurs must first A. obtain financing. B. conduct research. C. identify staffing needs. D. select a location.

B

Which of the following is a global trend that might encourage an entrepreneur to consider international business opportunities: A. Higher allowances B. Lower tariffs C. Enforceable trade agreements D. Flexible currency rates

B

Which of the following is a true statement about a business's environment: A. It can be avoided. B. It is always changing. C. It consists of the economy and technology. D. It may not affect the business, depending on the industry.

B

Which of the following is an example of a demographic trend that has encouraged entrepreneurial discovery: A. Interest rate fluctuations B. Increased cultural diversity C. Industry deregulation D. Technological advancements

B

Which of the following statements is true about entrepreneurial discovery: A. It ensures that start-up businesses have continuous funding. B. It's an ongoing process that facilitates a business's success rate. C. It provides entrepreneurs with professional development training. D. It's a way to determine the long-term profit that a start-up company can generate.

B

For a prospective entrepreneur, what is necessary to determine the existence of goods and services? A. Demographic changes B. Product standards C. Entrepreneurial discovery D. Raw materials

C

Identifying new product opportunities usually requires a person to be A. decisive. B. emotional. C. aware. D. indifferent.

C

People who are naturally creative often are A. highly educated. B. physically active. C. mentally flexible. D. emotionally controlled.

C

The entrepreneurial discovery process requires knowledge and the recognition of a(n) A. economic crisis. B. preventable accident. C. market need. D. creative observation.

C

Which of the following statements is true regarding the use of group creative-thinking techniques to facilitate the idea-generation process: A. The brainstorming technique usually generates the best ideas. B. Groups are usually more effective when each member uses mind-mapping techniques. C. Group members most often generate new ideas by altering or building upon another idea. D. The Six Thinking Hats technique is generally the most effective idea-generation technique.

C

3. After a Korean auto manufacturer built a plant in Ames, Iowa, Kwan noticed a substantial growth of Korean residents in the area, many of whom were relocated to Ames to work for the plant. Kwan decided to import Korean goods and sell them in a small Korean specialty store near town. This is an example of a product opportunity resulting from A. advancements in technology. B. changes in travel habits. C. differences in priority. D. shifts in popularity ethnicity.

D

Jessica's hobby is making jewelry. There is potential to sell her bracelets and earrings on eBay. This is an example of identifying a product opportunity by considering A. demographic changes. B. business processes. C. consumer attitudes. D. personal experiences.

D

Which of the following personality traits is often associated with creative people: A. Shunning recognition and praise B. Exhibiting low energy levels C. Preferring routine activities D. Acting independently

D

Entrepreneurial discovery is an important process in a free-enterprise economic system because an entrepreneur or small-business owner can A. satisfy an unmet demand. B. form a technological monopoly. C. improve economic sanctions. D. change legal requirements.

A

One factor that an entrepreneur should consider while assessing a venture opportunity is whether it will: A. lead to more opportunities. B. require employee loyalty. C. involve complicated paperwork. D. satisfy vendors' needs.

A

The primary goal during the brainstorming process is to: A. come up with as many ideas as possible. B. analyze each idea as it is presented. C. rate each idea in relation to one another. D. come up with a set number of ideas within a certain time.

A

When conducting an environmental scan, which of the following is an economic factor that a business should consider: A. Consumer spending habits B. Global trade regulations C. Local demographics D. Restricted sales territories

A

When using mind mapping to generate product ideas, you begin by writing down the main problem or: A. market opportunity. B. supporting facts. C. primary associations. D. situation analysis.

A

Which of the following examples illustrates how environmental factors are interrelated: A. The economy affects what competitors are doing. B. New legislation will be written in the future. C. Low investor confidence heavily impacts financial planners. D. The economy affects banking institutions.

A

Which of the following is an example of a demographic trend: A. The aging of the population B. Shifting political climates C. Rising interest rates D. A concern for fitness and health

A