MGMT 320- Exam 1: Ch.1-5

Entrepreneur

one who undertakes to organize, manage, and assume the risks of a business

a. the speed with which information flows across borders

Among the advantages for global entrepreneurs of diaspora networks is: a. the speed with which information flows across borders b. the distrust among traditional trading partners c. the creation of places where anything can happen d. the decline in political risks across ethnic communities

b. low-profit, limited liability companies

An L3C is a new legal form for social enterprises known as: a. limited liability corporations b. low-profit, limited liability companies c. long-term, low-profit, low-liability companies d. limited liability laborers

c. 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: a. the shared bottom line b. the value proposition c. the triple bottom line d. the twin bottom line

a. commitment, determination, and perseverance

Characteristics often attributed to the entrepreneur include: a. commitment, determination, and perseverance b. prefers to be a loner c. power hungry d. ability to be indecisive

b. potential; free choice

Every person has the ________ and ________ to pursue a career as an entrepreneur a. stubbornness; stupidity b. potential; free choice c. rights; regulations d. obligation; duty

Management must fully understand how to encourage a healthy environment that fosters entrepreneurship and creativity.

Explain some of the disadvantages that may occur in firms that are trying to incorporate entrepreneurship into their organizations.

c. the discrepancy between the entrepreneur's expectations and the ability to meet demands

Generally, entrepreneurial stress is due to: a. being surrounded by incompetents b. fear of failure c. the discrepancy between the entrepreneur's expectations and the ability to meet demands d. caused by a big ego

d. foreign reclamation

Methods for going international include all of the following except: a. importing b. exporting c. licensing d. foreign reclamation

c. bootlegging

Secretly working on new ideas on company time as well as on personal time is referred to as: a. skunk works b. champion c. bootlegging d. interactive learning

True

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

True

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

True

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

b. letting the subconscious work

The incubation process involves which of the following? a. working harder b. letting the subconscious work c. talking with friends d. changing jobs

b. internal locus of control

When entrepreneurs believe that their accomplishments and setbacks are within their own control and influence, they are exhibiting: a. persistent problem-solving b. internal locus of control c. external locus of control d. opportunity orientation

b. traditional management techniques

Which of the following is an obstacle to corporate entrepreneurship? a. orientation to the market b. traditional management techniques c. a system of feedback and positive reinforcement d. rewards based upon results

b. frustration

Which of the following is not a trait of successful entrepreneurs? a. initiative b. frustration c. perseverance d. strategic thinking

d. preliminary investigation

Which of the following is not one of the phases in the creative process? a. background or knowledge accumulation b. evaluation and implementation c. the incubation process d. preliminary investigation

a. radical innovation

Which of the following terms refers to the inaugural breakthroughs launched from experimentation and determined vision? a. radical innovation b. incremental innovation c. collective entrepreneurship d. strategic management

a. uniform compensation

Which of the following would not be considered as encouraging to an entrepreneurial environment? a. uniform compensation b. identifying potential entrepreneurs c. top management sponsorship of entrepreneurship d. promotion of entrepreneurship through experimentation

It allows them to reach different populations all across the world. Today's entrepreneurs can create new products/ ideas for consumers across the world, with the help of importing and exporting of goods.

Why is global thinking important to today's entrepreneurs?

True

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

False

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

True

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

True

T/F: Entrepreneurial cognition is, in part, about understanding how entrepreneurs use simplifying mental models to make assessments, judgments, and decisions about opportunities.

False

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

False

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

True

T/F: Innovation is the process by which entrepreneurs convert opportunities into marketable ideas.

False

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

True

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

True

T/F: Many inventions and innovations are a result of inventors seeing new and different relationships among object, processes, materials, technologies, and people.

False

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

False

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

True

T/F: The four phases of the creative process are knowledge accumulation, incubation, idea experience, and evaluation.

True

T/F: The left hemisphere of the brain is responsible for logical and analytical skills.

False

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

a. Innovation is the specific function of entrepreneurship.

Which of the following statements is true? a. Innovation is the specific function of entrepreneurship. b. Innovation is the process by which entrepreneurs consume marketable ideas. c. Innovation does not involve change. d. Innovation is the government's responsibility.

c. Both sides are important to the creative process.

Which of the following statements is true? a. The right brain is more important in the creative process than the left brain. b. The left brain is more important in the creative process than the right brain. c. Both sides are important to the creative process. d. Motivation, not the brain is the key to the creative process.

All businesses strive for this. A business wants to achieve success while ensuring that the planet is also being taken care of at the same time.

Why has sustainable development, perhaps, become the most prominent topic of our time?