Entrepreneurship Review Chapter 1
Disadvantages of entrepreneurship include
- uncertain income - risk - long working hours
Trade shows are special meetings where entrepreneurs learn how to set financial goals
False
Manufacturing businesses
produce the products they sell
Researchers have determined that successful entrepreneurs
want to make their own decisions
An employee
works for someone else
In the United States today, small companies
- can be more creative - have innovative ideas that lead to technology change - contribute billions of dollars to the US economy
Entrepreneurs try to
- identify the needs of the marketplace - meet the needs of the marketplace - make a profit
To determine if a business opportunity is realistic, you should find out
- money needed to start business - rate of failure of business - how many hours a week you need to work
To determine your suitability for entrepreneurship, you should assess your
- strengths and weaknesses - interest - aptitude
The percentage of businesses in the United States that employ fewer than 20 people is
90%
A florist shop is an example of a service business
False
A travel agency is a retailing business because it sells airline and train tickets
False
Although there have been many important entrepreneurs in the twentieth century, none existed before 1900
False
An advantage of entrepreneurship is that business owners make all decisions by themselves
False
An entrepreneur can expect to earn large profits immediately after starting a business
False
Aptitude is the ability to assess your interests and past experiences
False
Aptitude is the ability to evaluate your strengths and weaknesses
False
Determining your aptitudes is the first step in performing a self-assessment
False
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
Everyone has the qualities and aptitude needed to become a successful entrepreneur
False
Ninety percent of all U.S. businesses employ fewer than ten people
False
Non-financial goals are important for an entrepreneur because they help set prices for products and services
False
Retailing businesses sell services directly to the people who use them
False
Small companies cannot take as many risks as large companies, so small companies are less likely to be innovative
False
Successful employees will see their businesses flourish and make large profits
False
Successful entrepreneurs need to be self-confident because they must make decisions alone, but they do not need to be creative because they can hire creative people
False
Successful entrepreneurs need to set new goals every time a poor decision is made
False
What innovative entrepreneur was the first to provide employees with paid sick leave
Rose Knox
Entrepreneurs who were leaders in the food industry were
Rose Knox and Clarence Birdseye
John D. Rockefeller became the richest man in the world by controlling almost all oil distribution in the United States
True
Manufacturing businesses produce the products they sell
True
Running your own business is difficult, and many companies started by entrepreneurs go out of business
True
Small businesses contribute billions of dollars to the United States economy every year
True
Successful entrepreneurs are confident and able to make quick decisions when necessary
True
Successful entrepreneurs need to be able to make quick decisions because today's business world is very competitive
True
The Model-T automobile, developed by entrepreneur Henry Ford, was sold at a price most Americans could afford
True
The Small Business Administration can provide information that may be helpful in investigating business opportunities
True
The creativity of entrepreneurs has led to technological change and increased productivity
True
The specific risks associated with a business are important in determining if a business opportunity is realistic
True
To determine if entrepreneurship is right for you, you need to perform a self-assessment
True
Your hobbies, interests, and past experiences are key factors in determining your commitment to a business
True
During the colonial years in America, entrepreneurs were
bankers
Risk is
both an advantage and a disadvantage of entrepreneurship
Which of the following is a retailing business? - auto repair shop - grocery store - gold mine - farm
grocery store
An assessment of your interests is
helpful in deciding what business is right for you
Characteristics of successful entrepreneurs include
independence
Two key factors that aid an entrepreneur's commitment to a business are
interests and past experiences
Which of the following is a retailing business? - jewelry store - paper mill - appliance repair shop - orange grower
jewelry store
Aptitude is the ability to
learn a particular kind of job
A self-assessment is an evaluation of your
strengths and weaknesses
Information about business opportunities is available from
the Small Business Administration
An advantage of entrepreneurship is that entrepreneurs
can work in a field that interests them
Although entrepreneurship is risky, entrepreneurs can make a lot of money
True
An advantage of entrepreneurship is that nobody tells an entrepreneur what to do
True
An entrepreneur owns, operates, and takes the risk of a business venture
True
Assessing your background and experience can help you determine whether you are prepared to run a specific business
True
Before starting a business, it is important to identify the kinds of entrepreneurial opportunities that match your aptitudes and interests
True
Entrepreneurs constantly change American business and contribute to the overall good of the nation
True
Entrepreneurs have changed American business throughout the history of the United States
True
Entrepreneurs try to meet the needs of the marketplace by supplying a service or product
True
Entrepreneurship involves risk, which is both an advantage and a disadvantage
True
A person who works for someone else is
an employee
John D. Rockefeller was a nineteenth century entrepreneur who
controlled almost all oil distribution in the United States
Which of the following is not a characteristic of a successful entrepreneur? - determination - creativity - dependence - self-confidence
dependence
Setting specific financial goals before starting a business
ensures the business is able to earn the profits you want