Test Bank For Management 14th Global Edition By Stephen Robbins

Test Bank For Management 14th Global Edition By Stephen Robbins

Chapter 10 Fostering Entrepreneurship

1) Arthur has an idea. After performing a SWOT, he has identified a market that is not being served so he is planning to start a new business and introduce a new product. Arthur is a(n) ________.

A) strategist

B) dreamer

C) entrepreneur

D) independent business developer

Answer: C

Diff: 2

AACSB: Application of knowledge

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Application

2) People who engage in ________ take advantage of opportunities to create new products or services, or change existing ones.

A) social responsibility

B) social engineering

C) venture capitalism

D) entrepreneurship

Answer: D

Diff: 2

AACSB: Reflective thinking

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Concept

3) Annabel operates a local hardware store that she inherited from her parents. When she took over, she updated the point-of-sale equipment and installed a customer database. Annabel is a(n) ________

A) entrepreneur

B) opportunist

C) venture capitalist

D) small business owner

Answer: D

Diff: 2

AACSB: Application of knowledge

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Application

4) Rob is a CPA who works out of an office in his home. His business is named “Friendly Accounting Services.” Eventually Rob would like to grow his business to include partners and bookkeepers. We would classify Rob as ________.

A) self-employed

B) an entrepreneur

C) an employee

D) a franchisee

Answer: A

Diff: 3

AACSB: Application of knowledge

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Application

5) ________ is a process of changing, experimenting, transforming, and revolutionizing.

A) Developing

B) Research

C) Innovating

D) Inventing

Answer: C

Diff: 2

AACSB: Reflective thinking

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Concept

6) Brandon is examining the state of the economy, the regulatory situation, social trends, and the local labor supply. This would indicate Brandon is ________.

A) performing a SWOT analysis

B) exploring the entrepreneurial context

C) self-employed

D) a small business owner

Answer: B

Diff: 3

AACSB: Application of knowledge

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Application

7) The purpose of examining the state of the economy, the regulatory situation, social trends, and the local labor supply is to ________.

A) identify possible customers and employees

B) locate resources for use in the new business

C) determine who are the major players in the market

D) identify opportunities and possible competitive advantages

Answer: D

Diff: 2

AACSB: Reflective thinking

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Concept

8) Belinda has found a business opportunity she believes will be successful, but there are already a couple companies in that market. To be successful, Belinda will need to ________.

A) pinpoint a competitive advantage

B) patent her idea

C) pursue a joint venture with them

D) write her mission statement

Answer: A

Diff: 2

AACSB: Application of knowledge

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Application

9) To demonstrate social responsibility, entrepreneurs are encouraged to ________.

A) consider community goals in their business plans

B) use recycled materials in their production processes

C) participate in community organizations such as Kiwanis and Rotary

D) sponsor youth sports teams

Answer: A

Diff: 2

AACSB: Reflective thinking

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Concept

10) If Camden wants his new business to be a good corporate citizen, he should ________.

A) hire only union labor

B) minimize the risks his business takes

C) consider community goals in his business plan

D) observe all the local ordinances and employment laws

Answer: C

Diff: 2

AACSB: Application of knowledge

Learning Obj: LO 10.1: Define entrepreneurship and explain why it is important

Classification: Application