MNGT 321- Assignment Questions
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
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: Manufacturing a new fuel additive that will increase gas mileage by 10 percent
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
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: 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
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: 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
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 newspaper's effort to win nomination support for its candidate from the state teachers union
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: Obtaining inside information from another brokerage that results in the entrepreneur netting more than $2 million
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
Unethical and illegal
Which of the following helps account for the rise of interest in corporate entrepreneurship? a. An increase in corporations losing some of their best people. b. A decrease in the number of sophisticated competitors. c. A general increase in the number of competitors. d. An increase government regulation of small entrepreneurs.
a. An increase in corporations losing some of their best people.
A "gazelle" is a business establishment with at least 20 percent sales growth every year for five years. a. True b. False
a. True
A code of conduct is a statement of ethical practices or guidelines to which an enterprise adheres. a. True b. False
a. True
Check My Work Entrepreneurial cognition is, in part, about understanding how entrepreneurs use simplifying mental models to make assessments, judgments, and decisions about opportunities. a. True b. False
a. True
Clever bootlegging of ideas refers to secretly working on new ideas on company time as well as on personal time. a. True b. False
a. True
During the past ten years, new business incorporations averaged nearly 600,000 per year. a. True b. False
a. True
Entrepreneurs are aggressive catalysts for change within the marketplace. a. True b. False
a. True
In the model of sustained corporate entrepreneurship discussed in the text, a transformational trigger can be internal or external to the company. a. True b. False
a. True
Individuals may avoid corporate entrepreneurial behavior due to the impact of traditional management techniques. a. True b. False
a. True
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Allow bootlegging of ideas. a. True b. False
a. True
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Encourage a bias for action. a. True b. False
a. True
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Encourage brainstorming. a. True b. False
a. True
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Provide feedback on performance. a. True b. False
a. True
One reason that corporate entrepreneurship has become popular is because it allows corporations to tap the innovative talents of the personnel. a. True b. False
a. True
Researchers have identified specific factors that organizations can concentrate on in helping individuals develop more entrepreneurial behavior. a. True b. False
a. True
The first step in planning a strategy of corporate entrepreneurship is sharing the vision of innovation that executives wish to achieve. a. True b. False
a. True
The macro view of entrepreneurship includes external processes that are sometimes beyond the control of the entrepreneur. a. True b. False
a. True
There is a certain psychic risk involved with entrepreneurship. a. True b. False
a. True
The macro view can be broken down into which three areas? a. environmental, financial, and displacement b. displacement, trait, and financial c. financial/capital, strategic, and opportunity d. entrepreneurial trait, opportunity, and strategic
a. environmental, financial, and displacement
A decision to sell toys that pass minimum safety standards but can often result in minor accidents to children is an example of a(n) a. legal and unethical decision. b. illegal and unethical decision. c. legal and ethical decision. d. illegal and ethical decision.
a. legal and unethical decision.
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 a. social entrepreneurs motivated by profitability with social benefits being the means. b. social entrepreneurs motivated by income from their beneficiaries. c. social entrepreneurs motivated by the environment with social benefits being the means. d. social entrepreneurs motivated by income with entrepreneurial means.
a. social entrepreneurs motivated by profitability with social benefits being the means.
Transformational triggers in a corporate entrepreneurial environment initiates the need for a. strategically adapting to change. b. achieving higher productivity standards. c. changing company location. d. laying off workers.
a. strategically adapting to change.
The entrepreneurial ego can cause the entrepreneur to a. take characteristics that usually lead to success to the extreme. b. have a sense of pessimism. c. take too few risks. d. ignore government regulations
a. take characteristics that usually lead to success to the extreme.
The decision to behave entrepreneurially is the result of the interaction of: a. the individual's personal entrepreneurial mind-set and an opportunity. b. the relevant business environment. c. a new market. d. the existence of a viable business idea
a. the individual's personal entrepreneurial mind-set and an opportunity.
The word entrepreneur is derived from the French entreprendre, which is translated as a. to undertake b. to enter and dare c. to compete d. to apprehend
a. to undertake
Which of the following is an obstacle to corporate entrepreneurship? a. traditional management techniques b. orientation to the market c. a system of feedback and positive reinforcement d. rewards based upon results
a. traditional management techniques
Which of the following would not be considered as encouraging to an entrepreneurial environment? a. uniform compensation b. promotion of entrepreneurship through experimentation c. identifying potential entrepreneurs d. top management sponsorship of entrepreneurship
a. uniform compensation
Characteristics often attributed to the entrepreneur include: a. Prefers to be a loner b. Commitment, determination, and perseverance c. Ability to be indecisive d. Power hungry
b. Commitment, determination, and perseverance
Which of the following statements is true? a. Entrepreneurship is simply obtaining financing and starting a business. b. Entrepreneurship is the ability to create and build a vision from practically nothing. c. Entrepreneurship is pure luck. d. Entrepreneurship has nothing to do with creating incremental wealth.
b. Entrepreneurship is the ability to create and build a vision from practically nothing.
A loss orientation toward grief recovery in dealing with failure can sometimes lessen negative emotional reactions. a. True b. False
b. False
According to the Model of Entrepreneurship Motivation, the entrepreneur's expectations are not compared with the actual or perceived outcomes of the firm. a. True b. False
b. False
Commitment, determination, and perseverance are the only characteristics one needs to become a successful entrepreneur. a. True b. False
b. False
Ecopreneurship is a combination of ecologically and economically sustainable development. a. True b. False
b. False
Entrepreneurs always start their business at a young age. a. True b. False
b. False
Entrepreneurs are born not made. a. True b. False
b. False
Entrepreneurs are high risk takers. a. True b. False
b. False
Ethics represents a set of principles prescribing a behavioral code that does not include moral duty and obligations. a. True b. False
b. False
Firms do not need to alter management techniques to encourage corporate entrepreneurship since it tends to occur naturally. a. True b. False
b. False
Gazelles are almost always high tech. a. True b. False
b. False
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Develop a well-defined hierarchical structure, and stick to it. a. True b. False
b. False
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Discourage joint projects and ventures among different departments. a. True b. False
b. False
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Encourage structured activity. a. True b. False
b. False
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Fire those who make mistakes as a way of creating a good example for others. a. True b. False
b. False
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Make extensive use of formal meetings. a. True b. False
b. False
Many ways of developing corporate entrepreneurship exist. Decide if the following action would help develop corporate entrepreneurship (True) or not (False). Set implicit goals. a. True b. False
b. False
Skunk works are project groups that work within the traditional lines of authority. a. True b. False
b. False
Systematic evolution of a product or service into newer or larger markets is referred to as radical innovation. a. True b. False
b. False
The "corridor principle" states that entrepreneurs often get stuck on one idea. a. True b. False
b. False
The "dark side" of entrepreneurship refers to the stress that entrepreneur's experience. a. True b. False
b. False
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. a. True b. False
b. False
The resources of the organization are irrelevant to the ability of the corporate entrepreneur to implement an idea. a. True b. False
b. False
The word entrepreneur is derived from the Spanish word entreprendre, meaning "to undertake." a. True b. False
b. False
Today's entrepreneurs are faced with few ethical decisions because the legal system imposes greater penalties on wrongdoers. a. True b. False
b. False
Which of the following statements about social entrepreneurship is not true? a. Social entrepreneurship is about having a heightened sense of accountability b. Social entrepreneurship is limited to the world of not-for-profit corporations. c. Social entrepreneurship adopts some of the same principles that have been effective in successful entrepreneurship. d. Social entrepreneurship has, in recent years, been the subject of widespread media attention.
b. Social entrepreneurship is limited to the world of not-for-profit corporations.
Areas of risk to the entrepreneur include a. psychic, social, physical. b. career, family, psychic. c. family, business, social. d. financial, product, market
b. career, family, psychic.
Entrepreneurial stress can be caused by having a type A personality which can be defined as: a. taking too little responsibility. b. having a chronic sense of time urgency. c. getting away from business. d. taking things personally.
b. having a chronic sense of time urgency.
Which of the following is not characteristic of the "dark side" of entrepreneurship? a. a desire for success b. knowing when to take a vacation c. an external optimism d. a sense of distrust
b. knowing when to take a vacation
Michael Gerber, the author of The E-Myth, explains that the failure of most small businesses is due to a. owners being more managerial rather than technical b. owners being more technical rather than entrepreneurial c. owners being more entrepreneurial rather than technical d. owners being more entrepreneurial rather than managerial
b. owners being more technical rather than entrepreneurial
In restructuring corporate thinking, top management should a. make the entrepreneur follow strict corporate guidelines. b. promote entrepreneurship through experimentation. c. create diversity and order in strategic activities. d. identify potential entrepreneurs after an innovation program is in operation.
b. promote entrepreneurship through experimentation.
Which of the following terms refers the inaugural breakthroughs launched from experimentation and determined vision? a. collective entrepreneurship b. radical innovation c. incremental innovation d. strategic management
b. radical innovation
Which of the following designations is not synonymous with social entrepreneur? a. public entrepreneur b. social impersonator c. social innovator d. civic entrepreneur
b. social impersonator
Generally, entrepreneurial stress is due to a. caused by a big ego. b. the discrepancy between the entrepreneur's expectations and the ability to meet demands. c. being surrounded by incompetents. d. fear of failure.
b. the discrepancy between the entrepreneur's expectations and the ability to meet demands.
Which of the following are specific factors identified by researchers, that organizations can concentrate on in structuring an entrepreneurial climate. a. skunk works, multiple approaches, and vision b. top management support, time, resources, rewards, and organizational boundaries c. radical innovation, incremental innovation, and vision d. rewards, resources, innovation, and vision
b. top management support, time, resources, rewards, and organizational boundaries
Entrepreneurs and gazelles have been credited with making disproportionate contributions to all but which of the following? a. job creation b. unemployment c. economic renewal d. innovation
b. unemployment
Mountain gap strategies refer to: a. unique products b. unique markets c. unique resources d. unique locations
b. unique markets
The micro view is divided into which three theories? a. strategic, environmental, and opportunity b. venture opportunity theory, entrepreneurial, strategic c. entrepreneurial, financial, displacement d. environmental, financial, and displacement
b. venture opportunity theory, entrepreneurial, strategic
Which of the following is not a common myth about entrepreneurs? a. Entrepreneurs are doers, not thinkers. b. All you need is money to be an entrepreneur. c. Entrepreneurs today are considered heroes. d. Entrepreneurs are academic and social misfits
c. Entrepreneurs today are considered heroes.
The "corridor principle" is best described by which of the following statements? a. Being in the right place at the right time. b. If at first you don't succeed, try, try, again. c. With every new venture launched, new and unintended opportunities arise. d. Luck happens when preparation meets opportunity.
c. With every new venture launched, new and unintended opportunities arise.
Throughout the years, many myths have arisen about entrepreneurship as a result of? a. a total disregard for the truth b. a lack of interest in the field c. a lack of research about entrepreneurship d. a destructive attitude by government
c. a lack of research about entrepreneurship
Entrepreneurs a. are egomaniacs. b. loners who never fit in to typical firms. c. are driven by intense commitment and perseverance. d. are never satisfied.
c. are driven by intense commitment and perseverance
Secretly working on new ideas on company time as well as on personal time is referred to as a. champion. b. interactive learning. c. bootlegging. d. skunk works.
c. bootlegging
The major thrust of corporate entrepreneurship is to a. increase morale. b. encourage greater risk taking. c. encourage innovation. d. raise profitability.
c. encourage innovation.
Which of the following is not a trait of successful entrepreneurs? a. perseverance b. initiative c. frustration d. strategic thinking
c. frustration
Which of the following terms refers to the systematic evolution of a product or service into newer or larger markets? a. radical innovation b. strategic management c. incremental innovation d. collective entrepreneurship
c. incremental innovation
When entrepreneurs believe that their accomplishments and setbacks are within their own control and influence, they are exhibiting a. persistent problem-solving. b. opportunity orientation. c. internal locus of control. d. external locus of control.
c. internal locus of control.
An L3C is a new legal form for social enterprises known as a. long-term, low-profit, low-liability companies. b. limited liability laborers. c. low-profit, limited liability companies. d. limited liability corporations.
c. low-profit, limited liability companies.
The process approach to entrepreneurship seeks to a. explain the process of obtaining patents. b. explain intrapreneurship. c. model the various factors that characterize the entrepreneurial process. d. explain the process of obtaining venture capital.
c. model the various factors that characterize the entrepreneurial process.
Every person has the _____ and _____ to pursue a career as an entrepreneur. a. rights; regulations b. obligation; duty c. potential; free choice d. stubbornness; stupidity
c. potential; free choice
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: a. strategic innovators. b. multiple approaches. c. skunk works. d. champions.
c. skunk works.
One researcher established a framework that classified social actions of corporations into distinct categories that included social responsiveness and ________? a. social utility b. social facilitation c. social obligation d. social action
c. social obligation
Which of the following statements best describes a "gazelle?" a. a business that has acquired numerous firms b. an inventor who turned business person c. a business with no sales growth d. a business with at least 20 percent growth every year
d. a business with at least 20 percent growth every year
All of the following are reasons for the growth of corporate entrepreneurship except a. a rapidly growing number of new and sophisticated competitors. b. a sense of distrust in the traditional methods of corporate management. c. an exodus of some of the best people out of corporations. d. a desire to dramatically increase profitability.
d. a desire to dramatically increase profitability.
Corporate social responsibility refers to a. environmental entrepreneurship in the United States. b. the affect of ecopreneurship only on some industries. c. the enhancement of global competition. d. actions that further some social good beyond the interests of the firm.
d. actions that further some social good beyond the interests of the firm.
A __________ is a statement of ethical practices or guidelines to which an enterprise adheres. a. code of silence b. code of honor c. code of ethics d. code of conduct
d. code of conduct
The second step in planning a strategy of entrepreneurship for the enterprise is a. sharing the vision of innovation. b. applying the exact tools of the entrepreneur. c. identifying specific objectives. d. developing and encouraging innovation.
d. developing and encouraging innovation.
The displacement school of thought can be divided into which three groups? a. political, cultural, environmental b. environmental, financial, and economic c. cultural, environmental, and financial d. economic, cultural, and political
d. economic, cultural, and political
Collective entrepreneurship, as a concept, refers to a. the joint recognition of the CEO and CFO as champions of innovation. b. the collective spirit of innovation that resides in the firm's founder. c. socialist enterprising. d. entrepreneurial thinking that is diffused throughout the company.
d. entrepreneurial thinking that is diffused throughout the company.
The macro view of entrepreneurship presents factors exhibiting a strong a. environmental locus of control. b. internal locus of control. c. contemporary locus of control. d. external locus of control.
d. external locus of control.
A decision to sell pharmaceuticals that have not been cleared with the Federal Drug Administration is an example of a(n) a. legal and unethical decision. b. legal and ethical decision. c. illegal and ethical decision. d. illegal and unethical decision
d. illegal and unethical decision
Which of the following may be the greatest risk to the well-being of the entrepreneur? a. social risk b. financial risk c. family risk d. psychic risk
d. psychic risk
The first step in planning a strategy of entrepreneurship for enterprise is a. applying the exact tools of the entrepreneur. b. developing radical innovation. c. identifying specific objectives. d. sharing the vision of innovation
d. sharing the vision of innovation
The statement, "with every new venture launched, new and unintended opportunities often arise," would be associated with: a. the entrepreneurial principle b. the Dilbert principle c. the opportunity principle d. the corridor principle
d. the corridor principle
