Management 301: Chapter 7 Entrepreneurship

Entrepreneurs can assemble a group of people to help them learn the basics of business and build relationships with bankers, accountants, and attorneys. Such a group is called a(n)

Advisory board

Which of the following is a key difference between an entrepreneur and an intrapreneur?

An entrepreneur receives no corporate support, whereas an intrapreneur has the benefit of corporate support.

Carl, lab manager for MedEx Pharmaceuticals, told his research chemist, "Mandy, you have my blessing to use company equipment on evenings and weekends to create new products and processes of your own choosing and initiative. I know that this will result in some lost time, but I also know that it will contribute to learning and, ultimately, some profitable innovations." Carl's advice to Mandy is an example of

Bootlegging

Which of the following is a formal planning step that focuses on an entire venture and describes all the elements involved in starting it?

Business plan

Which of the following is an example of an entrepreneurial opportunity categorized under economic dislocations?

Rising oil prices

Which of the following is one of the five key factors that entrepreneurs are required to have thought through?

Context

When an enterprising individual pursues a lucrative opportunity, it is known as

Entrepreneurship

An entrepreneurial alliance between an innovator who has created at least one successful store and wants to grow the business and a partner who manages a new store of the same type in a new location is called

Franchising

Which of the following provides a way to raise capital through federally registered and underwritten sales of shares in the company?

Initial public offering

Which of the following e-commerce business models brings buyers and sellers together and charges a commission for each sale?

Intermediary model

Corporate entrepreneurs are also called

Intrapreneurs

Which of the following is true about social entrepreneurship?

It creates economic value and social benefits simultaneously.

Who among the following most likely possesses the key characteristics of a successful entrepreneur?

Juana is very innovative and knowledgeable and believes that she would be a successful entrepreneur.

One of the common challenges entrepreneurs face is

Lack of enjoyment in what they do

Renee works as a respected senior engineer for a large manufacturer of pharmaceutical process equipment. Several researchers within the company have discovered an innovative way to repackage pharmaceutical drugs. The company has given Renee the opportunity and responsibility to lead a fully funded project team for 12 months to develop this idea. She is excited to lead this ________ team.

Skunkworks

A(n) ________ differs from an entrepreneurial venture in that it is not managed aggressively, and its owners expect normal, moderate levels of sales, profits, and growth.

Small businesses

Which of the following is true of the role of the economic environment in the success of entrepreneurial ventures?

The economic environment affects the success of entrepreneurial ventures by affecting the supply of capital and prospective opportunities.

Tiyona Motors plans to introduce a fast, stylish car to its fleet that management hopes will appeal to high-end buyers and grant Tiyona entry into the luxury market. Based on this scenario, what possible outcome should Tiyona be prepared for?

The financial investment will be high, and the competition will be heavy.

Legitimacy increases the probability of success of a new business by

helping a firm acquire resources such as top managers and good employees.

Business incubators are

protected environments for new, small businesses.