Principles of Entrepreneurship Quiz 1

Most entrepreneurial initiatives fail. Select one: True False

'False'.

Only people who are weird and or social outcasts are crazy enough and or smart enough to be entrepreneurial. Select one: True False

'False'.

Only people who can come up with or invent stuff are worthy to be called entrepreneurs. Select one: True False

'False'.

The 1 common trait that all successful entrepreneurs have is that they had access to money prior to and during their new venture creation. Select one: True False

'False'.

Unstructured and chaotic is the norm for entrepreneurs. Select one: True False

'False'.

The statistical analysis of entrepreneurship has 3 classifications of economic development. Which one relies on industrialization & economies of scale? Select one: a. Innovation-driven b. Efficiency-driven c. Factor-driven Feedback

Efficiency-driven

Which of the following is incorrect: Select one: a. Entrepreneurs manage their businesses by expecting stable sales, profits, and growth b. Entrepreneurs focus their efforts on innovation, high profitability and sustainable growth c. Small business owners manage their businesses by expecting stable sales, profits, and growth

Entrepreneurs manage their businesses by expecting stable sales, profits, and growth

Gazelle start-up businesses in the past decade have approached nearly ______ per year. Select one: a. 600,000 b. 500,000 c. 150,000 d. 650,000

600,000

Which of the following believed that the function of an entrepreneur was to be the supplier of commodities? Select one: a. Richard Cantillon b. Jean-Baptiste Say c. Frank Knight d. Alfred Marshall

Alfred Marshall

The entrepreneurial motivations of individuals usually relate to which of the following factors? Select one: a. The environment b. The entrepreneur c. The venture d. All of the options

All of the options

Entrepreneurs themselves perceive the concept of risk in which of the following ways? Select one: a. Gambling risk b. Social risk c. Calculated risk taking d. Distorted risk taking

Calculated risk taking

Characteristics often attributed to the entrepreneur include: Select one: a. Ability to be indecisive b. Power hungry c. Determination & perseverance d. Prefers to be a loner

Determination & perseverance

Focusing on a particular loss to explain why the loss occurred is referred to as: Select one: a. Loss orientation b. Failure c. The dark side d. Restoration orientation

Loss orientation

Which of the following is not one of the stages of grief? Select one: a. Denial b. Mental instability c. Anger d. Depression

Mental instability

Prior to 1700, business ventures of any magnitude were funded by all of the following except: Select one: a. The Monarchy b. Private investors c. The Church d. The Ruling Class

Private Investors

Which of the following believed that the entrepreneur was the sole risk taker? Select one: a. Frank Knight b. Alfred Marshall c. Jean-Baptiste Say d. Richard Cantillon

Richard Cantillon

An entrepreneur that has a portfolio of opportunities in various stages of development? Select one: a. Social Entrepreneur b. Corporate Entrepreneur c. Gazelle d. Serial Entrepreneur

Serial Entrepreneur

Which of the following are the four different types of entrepreneurs? Select one: a. Serial, Social, Bulls and Corporate b. Serial, Social, Bears and Corporate c. Serial, Social, Gazelles and Corporate d. Social, Gazelles, Corporate and Intellectuals

Serial, Social, Gazelles and Corporate

Which of the following is not a characteristic of an entrepreneurial environment? Select one: a. Failure allowed. b. Short term outlook. c. Appropriate reward system.

Short term outlook

With psychic risk entrepreneurs ______________ Select one: a. fear losing money b. fear failure and thus over compensate for it or succumb to negative thoughts and feelings. c. fear adapting d. fear losing their sanity

fear failure and thus over compensate for it or succumb to negative thoughts and feelings.

On an average day in America, how many businesses fail? Select one: a. 1971 b. 1719 c. 1791 d. 1917

1917

Which of the following is not a characteristic of the Entrepreneurial Mindset? Select one: a. Initiative and Responsibility b. Creativity and Innovativeness c. High Energy Level d. External Locus of Control

External Locus of Control

The statistical analysis of entrepreneurship has 3 classifications of economic development. Which one relies on labor & natural resources? Select one: a. Factor-driven b. Efficiency-driven c. Innovation-driven

Factor-driven

Entrepreneurs are thrill seeking doers and rarely think things through or research before getting started. Select one: True False

False

Most entrepreneurial initiatives fail because of lack of money. Select one: True False

False

The 1 common trait that all successful entrepreneurs have is that they were in the right place at the right time. Select one: True False

False

The academic study of entrepreneurship has identified a profile, or set of characteristics and achievements, that can distinguish an entrepreneur from a regular person. Select one: True False

False

The decision to accept entrepreneurial motivation comes from one's Select one: a. All of the selections are correct b. Family c. Goals d. Education

Goals

Which of the following is not a characteristic of a Fixed Mindset? Select one: a. I can develop my qualities through dedication and effort. b. There is nothing I can do about what's happening or going to happen. c. I can't change my intelligence. d. I can't change my talents.

I can develop my qualities through dedication and effort.

Cognition is our mental process, and is comprised of all of the following except: Select one: a. Communicate b. Implement c. Organize d. Understand

Implement

Based on the latest GEM study, the United States outranks the rest of the world in what? Select one: a. Gross national product b. Important entrepreneurial support. c. Debt d. Manufacturing

Important entrepreneurial support

The statistical analysis of entrepreneurship has 3 classifications of economic development. Which one relies on knowledge an innovation driven by an expanding service sector need? Select one: a. Factor-driven b. Efficiency-driven c. Innovation-driven

Innovation-driven

Alfred Marshall defined an entrepreneur as: Select one: a. The sole occupation to apply knowledge to the creation of a product for human consumption b. The sole risk taker that buys at a certain price, sells at an uncertain price for potential gain c. Not being a risk taker, but willing to bear uncertainty; uses personal judgment & control to weight probability of risk vs. success; believes success comes from luck d. Supplier of commodities; provider of innovation & progress.

Supplier of commodities; provider of innovation & progress.

Frank Knight believed all of the following except Select one: a. The entrepreneur buys at a certain price, and sells at an uncertain price for potential profit b. The entrepreneur uses personal judgment and control of resources to weigh probabilities of risk and success c. The entrepreneur is not a risk taker d. The entrepreneur has a willingness to bear real uncertainty

The entrepreneur buys at a certain price, and sells at an uncertain price for potential profit

Which of the following is not a risk of entrepreneurship? Select one: a. The entrepreneur is required to risk equity. b. The entrepreneur is required to risk their career. c. The entrepreneur is required to risk their physical health. d. The entrepreneur is required to risk family and social time.

The entrepreneur is required to risk their physical health

Jean Baptiste Say defined an entrepreneur as: Select one: a. The sole risk taker that buys at a certain price, sells at an uncertain price for potential gain b. Not being a risk taker, but willing to bear uncertainty; uses personal judgment & control to weight probability of risk vs. success; believes success comes from luck c. The sole occupation to apply knowledge to the creation of a product for human consumption d. Supplier of commodities; provider of innovation & progress; seeks opportunities to minimize costs of risk to gain profits

The sole occupation to apply knowledge to the creation of a product for human consumption

According to Mark Cuban, most entrepreneurial initiatives fail because of lack of effort. Select one: True False

True

Entrepreneur is derived from the French entreprendre meaning to: Select one: a. Engage b. Undertake c. Erect d. Enter

Undertake

Frank Knight defined an entrepreneur as: Select one: a. Supplier of commodities; provider of innovation & progress; seeks opportunities to minimize costs of risk to gain profits b. Willing to bear uncertainty by using personal judgment & by using calculated probabilities to minimize uncertain results. c. The sole risk taker that buys at a certain price, sells at an uncertain price for potential gain d. The sole occupation to apply knowledge to the creation of a product for human consumption

Willing to bear uncertainty by using personal judgment & by using calculated probabilities to minimize uncertain results.

From the perspective of studying entrepreneurship as an academic, one tries to Select one: a. understand why some businesses fail and others do not. b. understand and better predict entrepreneurial activity. c. understand how to make money for themselves.

understand and better predict entrepreneurial activity.