Quiz midterm

The second industrial revolution

-The "Golden age for entrepreneurship'" -Were instrumental in changing the way people lived.

Through data from the 2015/16 Global Entrepreneurship Monitor report, it is estimated that there are ______ entrepreneurs worldwide. 1 billion 100 million 400 million 40 million

400 million

How do the authors of the textbook define entrepreneurship? Creation of a new business enterprise. Exploitation of opportunity aimed toward venture creation. Actions taken by an individual or a group to create something new. Practices engaged in by an individual or a group to create business enterprise.

Actions taken by an individual or a group to create something new.

Which step occurs early in the scientific process of experimentation? Asking lots of questions Developing hypotheses Using statistical software Writing up the results

Asking lots of questions

This type of plan is often used by entrepreneurs in the early stages of planning. Detailed outline Software package plan Formal business plan Back of a napkin

Back of a napkin

BMC stands for: Best Model Customer Business Model Canvas Business Market Challenge Benefit Management Chart

Business Model Canvas

First Industrial Revolution

Constitution was the launching pad for creativity and innovation Everyone had a fairly equal chance of being an entrepreneur

Which of the following best categorizes entrepreneurial activity in the era which followed the second industrial revolution? The entrepreneurs of this era were instrumental in changing the way people lived. Corporate entrepreneurship increased. Individual entrepreneurs represented the vast majority of new venture creation. It is often referred to as the "Golden Age of entrepreneurship."

Corporate entrepreneurship increased

This part of the business model requires entrepreneurs to focus on a target market. Offering Customers Infrastructure Financial viability

Customers

These types of thinking are part of the design-thinking process. Primary and secondary Intrinsic and extrinsic Internal and external Divergent and convergent

Divergent and convergent

This type of nonprofit is required to channel profits back into the organization. Enterprising nonprofits Social ventures Financial ventures Small businesses

Enterprising nonprofits

Which of the following is a common myth surrounding entrepreneurship? Most successful entrepreneurs have spent a long time in their industry. Entrepreneurs more frequently collaborate than compete. Entrepreneurs are risk takers. Entrepreneurship is an innate set of skills, it cannot be taught.

Entrepreneurship is an innate set of skills, it cannot be taught.

This part of the business plan occurs early in the plan: Marketing plan Executive summary Critical risks Financial plan

Executive summary

All business plans need to follow the same format to lead to business success.

False

CVP stands for customer value program

False

Creativity is innate, meaning it is something you are either born with or not, it is not able to be developed.

False

Entrepreneurship can be learned passively.

False

Interviewing skills cannot generally be improved with practice.

False

Studies indicate that entrepreneurs with preexisting knowledge of a market or industry recognize the same number of opportunities as those with no such knowledge.

False

The implementation phase focuses on late stage, high-cost testing, and experimentation to strengthen ideas.

False

The majority of successful entrepreneurs complete formal business plans.

False

The method approach is a new concept that has been developed by entrepreneurship scholars.

False

Revenues and cost structures are a part of this aspect of the business model. Offering Customers Infrastructure Financial viability

Financial viability

This approach to opportunity identification assumes that opportunities exist independent of entrepreneurs and are waiting to be found. Primary approach Secondary approach Initial approach Finding approach

Finding approach

Which of the following statements is an example of a desire statement? I have a desire to create a video game I have a desire to own the newest iPhone I have a desire to help first-generation students attend college I have a desire to start a business

I have a desire to help first-generation students attend college

______ is the art of spontaneously creating something without preparation Creativity Innovation Improvisation Instinct

Improvisation

______ is a process of creating new products, ventures, processes, or renewal within large organizations. Entrepreneurs inside Tech entrepreneurship Intrapreneurship Social entrepreneurship

Intrapreneurship

______ are entrepreneurs who start a business as a means of economic survival. Necessity-based entrepreneurs Social entrepreneurs Opportunity-based entrepreneurs Corporate entrepreneurs

Necessity-based entrepreneurs

In the business model canvas, how many components are listed? Three Five Nine Ten

Nine

______ is the action of closely monitoring the behavior and activities of users/potential customers in their own environment. Focused listening Observation Insight Opportunity searching

Observation

The chapter refers to this process to increase deep understanding during an interview. Peel the onion Take off the gloves Remove the coat Open your eyes

Peel the onion

This is one piece of advice from the chapter about writing business plans. Be as brief as possible Take as long as is needed Remove any of the fluff Use a software package

Remove any of the fluff

The question "What are your startup costs?" refers to this part of the TRIM framework. Idea Market Resources Team

Resources

______ are people who start several businesses, sometimes concurrently, sometimes consecutively. Social entrepreneurs Effectual entrepreneurs Serial entrepreneurs Cognitive entrepreneurs

Serial entrepreneurs

This type of plan requires illustrations, graphs, and drawings to make the entrepreneur's plan come to life. Sketches on a page Mindmapping Introduction Body of the document

Sketches on a page

Social entrepreneurs can raise capital from their for-profit or non-profit organizations through ____________. Nonprofit Entrepreneurship Resources (NER) Enterprise Funding Groups (EFG) Venture Capitalists for Society (VCS) Social Venture Capitalists (SVC)

Social Venture Capitalists (SVC)

______ allows entrepreneurs to make a profit while simultaneously addressing specific problems facing the general public Social entrepreneurship Corporate entrepreneurship A franchise A family enterprise

Social entrepreneurship

For entrepreneurs, an active search for opportunities involves this type of search: Informal Limited Systematic Random

Systematic

TRIM stands for: Team, Resources, Idea, Market taking revenue in markets test reply invest manufacture touch reach inform multiply

Team, Resources, Idea, Market

Which of the following is not a characteristic of a wicked problem? The problem is not understood until after the formulation of a solution. The problem is created by lawmakers whose intentions are money-driven rather than socially driven. Solutions to a wicked problem are not right or wrong. Every solution to a wicked problem is a "one shot" operation

The problem is created by lawmakers whose intentions are money-driven rather than socially driven.

Which of the following is considered one of the five core skills of entrepreneurship? The skill of preparation The skill of organization The skill of innovation The skill of play

The skill of play

Deliberate practice requires high levels of focus, attention, and concentration.

True

Leading innovation and design firm IDEO has popularized design thinking.

True

Many successful entrepreneurial ideas include a product or service innovation.

True

Planning includes what you plan to do and how you plan to do it.

True

Self-efficacy can change over time.

True

Social entrepreneurs are taking an inclusive approach to resolving problems in developing countries.

True

The first part of the business model is the offering.

True

The scientific process of experimentation can be very useful to entrepreneurs.

True

The authors define entrepreneurship as ______. a. a discipline that seeks to understand how opportunities are discovered, created, and exploited, by whom, and with what consequences b. starting a small business by finding investors and launching a product c. developing a new market by creating a product that does not currently exist d. a mindset that compels people to start multiple ventures throughout a lifetime.

a. a discipline that seeks to understand how opportunities are discovered, created, and exploited, by whom, and with what consequences

8. Contemporary researchers focus on how entrepreneurs________ a. think and act b. develop a desire for achievement c. build a tolerance for uncertainty d. develop an affinity for taking risks

a. think and act

n order to discover opportunities, entrepreneurs must be ______ their environment. closed to alert to located outside of none of these

alert to

The business plan debate includes this argument: business plans are valuable business plans are all about timing business plans may not be necessary all of these

all of these

This is a reason why some entrepreneurial firms choose not to experiment. it is seen as risky it may require a tradeoff between short-term loss and long-term gain fear of failure all of these

all of these

In the context of social entrepreneurship, stakeholders refer to: all the people or groups affected by or involved with the social enterprise's objectives only the customers of the social enterprise only the investors supporting the social enterprise only the board members involved with the social enterprise

all the people or groups affected by or involved with the social enterprise's objectives

An apparent way of generating value through unique, novel, or desirable products or services that have not been previously exploited is the definition of: a risk an opportunity a profit a nonprofit

an opportunity

This approach to opportunity identification assumes that opportunities do not exist independent of entrepreneurs, but are instead a product of the mind. ground floor approach intellectual approach internal approach building approach

building approach

A ______ is a conceptual framework that describes how a company creates, delivers, and extracts value. strategic plan business model business plan annual report

business model

A ______ is a formal document that provides background and financial information about the company, outlines your goals for the business, and describes how you intend to reach them. strategic plan business model business plan annual report

business plan

Effectuation is the theory that: a. businesses should have a positive impact on people's lives. b. the effects of ideas can be studied over time. c. the future is unpredictable yet controllable. d. emotions can influence decision-making.

c. the future is unpredictable yet controllable.

This is the discipline that seeks to understand how opportunities are discovered, created, and exploited, by whom, and with what consequences. a. imagineering b. storyboarding c. social engineering d. entrepreneurship

d. entrepreneurship

Design thinking is used to do all of the following except: solve complex problems decide between 2 equal alternatives navigate uncertain environments create something new

decide between 2 equal alternatives

To achieve high levels of performance, high performers follow a process called ______, which involves carrying out carefully focused efforts to improve current performance. deliberate practice method-based training iterative repetition weakness ideation

deliberate practice

In addition to creating social value, social entrepreneurs must also create: financial value economic value net present value implicit value

economic value

Design thinking requires: spatial understanding engineering knowledge empathy mathematical skills

empathy

A venture that has a social venture mission and a social primary market impact is referred to as: enterprising nonprofits social consequence traditional social purpose

enterprising nonprofits

Because working in uncertain environments "goes with the territory" in entrepreneurship, the ______ mind-set requires constant thinking and rethinking, adaptability, and self-regulation. entrepreneurial growth prospective inventive

entrepreneurial

Taking action, trying something new, and building that learning into the next iteration is a description of: previewing actualization experimentation implementation

experimentation

The skill of ______ can best be described as acting in order to learn: trying something, learning from the attempt, and building that learning into the next iteration. creativity empathy experimentation reflection

experimentation

Entrepreneurs should remember this about failure: failure causes bankruptcy failure results in valuable learning failure will turn off customers failure ruins company morale

failure results in valuable learning

WISE stands for work influence standard environment

false

The CVP is about finding a ______ and then proposing a way to fulfill it. goal deficit debt desire

goal

People with a ______ mind-set believe their abilities can be developed through dedication, effort, and hard work. fixed innovative growth creative

growth

Resiliency is a feature of the ______ mind-set. fixed innovative growth creative

growth

Four questions that are useful to ask during the design-thinking process include all of the following except: what is? what if? how does it happen? what works?

how does it happen?

For entrepreneurs, the concept of mind-set is important in: knowing the external environment being self-confident identifying opportunities looking inward

identifying opportunities

The habit of ______ allows entrepreneurs to quickly find a way to adapt to their circumstances, think on their feet, and create new plans to realize their vision. self-leadership creativity improvisation persistence

improvisation

The three types of value propositions listed in the chapter include all of the following except: all benefits favorable points of difference internal and external analysis just what the customer values

internal and external analysis

The I's associated with design thinking include all of the following except: intuition inspiration ideation implementation

intuition

This type of experimentation can test the validity of an idea with little impact on the bottom line. large scale experiments limited, low cost experimentation nationwide test marketing prototype testing in key large cities

limited, low cost experimentation

Part of the practice of entrepreneurship is being in the right ______ to start and grow a business. location industry market mind-set

mind-set

Entrepreneurs who identify links or connections between seemingly unrelated things or events are picking up on this phenomenon. pattern recognition mindfulness natural trends drift towards the mean

pattern recognition

From an entrepreneurial perspective, ______ is a description of the future you envision for your business. controlling planning organizing leading

planning

The ______ approach works best in times of relative certainty and when there is access to existing information and data upon which to base decisions process prediction learning creation

prediction

The two main perspectives on entrepreneurship are the ______ approach and the ______ approach active, passive learning, doing prediction, creation process, method

prediction, creation

The traditional approach to entrepreneurship has been to view entrepreneurship as a(n) ______. process method emotion experience

process

Social entrepreneurship is said to be ______ driven, while corporate social responsibility is said to be ______ driven. vision/mission mission/vision consequence/purpose purpose/consequence

purpose/consequence

Working at the practice of self-leadership, creativity, and improvisation helps build higher levels of ______. confidence intuition self-efficacy creativity

self-efficacy

In the context of entrepreneurship, ______ is a process whereby people can influence and control their own behavior, actions, and thinking to achieve the self-direction and self-motivation necessary to build their entrepreneurial business ventures. creativity self-leadership mind-set habit

self-leadership

The Stanford Design School Five Phases of Design Thinking include all of the following except: empathy define ideate simplify

simplify

The practice of entrepreneurship emphasizes ______ over ______. iterative learning, action smart action, planning research, experimentation conservatism, openness

smart action, planning

Storyboarding is a creative way for entrepreneurs to: globally expand the company reduce taxes increase profits solve customer problems

solve customer problems

The definition of social entrepreneurship involves: reinventing the wheel sourcing innovative solutions creating demand for products starting a business with a social mission

sourcing innovative solutions

In the suggested rules of experimentation, the focus should be on the: owners employees stakeholders customers

stakeholders

This is an early form of prototyping that provides a high-level view of thoughts and ideas arranged in sequence in the form of drawings, sketches, or illustrations. storyboarding story telling miniaturization caricatures

storyboarding

Entrepreneurs typically have a knack for looking at the ______ and seeing the ______. usual/unusual unusual/usual normal/extreme extreme/normal

usual/unusual