1. Olde's startup, which is in the electronics industry, was launched on January 1, 2019. However, prior to it formal launch, Olele spent many hours working on his business, particularly during the feasibility analysi: stage. The time and effort that entrepreneurs put into their venture, that can't be easily measured from a financial point of view, is referred to as: A) effort equity B) intangible equity Or sweat equity D) worty equity 2. Cedicel is a company that was started to produce cell phones for older people. Many cell phones are too complicated and the buttons are too small for older people to effectively use. Which of the following approaches to identifying an opportunity was most likely the impetus for Cedicel? A) observing trends B) studying industry teports Q. solving a problem D) talking to consumers 3. Which of the following is an example of how to encourage creativity at the organizational level? A) Maintain a "stif" organizational culture with no room for different behaviors. B. Elevate creativity's importance throughout the organization. C) Pigeorihole employees; keep them in the same job for years. D) Make no attempt to hire creative people. 4. Which of the following selections is an example of how to discourage creativity at the individual level? A) Protect people who make honest mistakes and are willing to learn from them. B) Speculate, be open, and build on others' ideas. D) Deal with employees as equals to show that status isn't very important. 5. The process of perceiving the possibility of a profitable new business, product or service idea is referred to as: B) opportunity recognition B) inspired defection C) creative recognition D) idea confirmation 6. Which of the following statements is incorrect regarding the pensonal characteristics of entrepreneurs? D) Creativily is the process of generating novel or useful ideas. A) cogritive alertness B) eognitive awareness C) managerial alertness D) entreprencurial alertness 8. Which of the following staternents is incoitret in regard to entreprencurial alernness? A) The research findings on entreprenciral alcress are conclusive. B) Alertness is largely a ficamed skill. C) People who have more knowledge of an area tend to he more alcrt to opportumities in that area thats others. D) The terin "enarepreneurial alertnes" is often asseciated witin a "xivh sertse" that seerns fo allows some people to see opporturtities that athers inise. 9. Which of the following is not an element of a new ventiare foami? A) board of adtuinors. B) suppliers and venstors C) key entiloyos D) ienders and invertors 10. A sitilis protile is a chart that depicts the: A) preterable shifls and abilitios of the members of a finm's bourd of advisons 3) ireferable skills and abilitice of the members of a firmis bourd of directors C) inoer important sioils that are nesded in a busipess itartup and where skilt gapor exist D) the skills of a compuny s customers and hov those vkills impact the product and services a company 11. The panel of individuais who are electod by a corporaticd s shancholders to orersec the manageruent of the firm are called the. A) boand of dinectors B) board of advisors. C) accotumability pancl D) adviresy teami 12. Abibirnan Enterprise is a fira that is proactive, innovative and risk-Lhing. From this description, we cu? most acetiately conclude that Abibiman Enterprisc has a high ficiel of: A) intentive real B) inDovative intensity C) eratrepreneurial intensity D) Eencrail zeal 13. The thece primary reasons that peoplo nowcene entrcprenezir and start their own limis are to: A) putsue theit own ideas, realies finaticial rewards, and eleminate risk in theit lives. B) do what thoy were "born" to do, be their ourn boss, and capture more of the spotight D) be their own boss. purste their own iders, and realize firincial rewards 14. The nurnaber one reison that people became cnitrepecieurs is toe A) realice fin.thicial rowards B) reduce the risk in their lives: ()) be their anJ bons D) plarsue their own ideas! 15. Edem is sterting a fim in the fachiod indastry primarily to pursac finauciad rewards. Accordingly, starting a busineis to ausice a fot of mancy A) ofter fails to live up to is egually as satisfying as other rensons for starting a buribces (D) is the number one reason poople start theit own busines. 1)) does not rank artiong the top three reasons that people stat theit own buinisis 16. The four charsereristics of swncessfol enteepreneus are: A) passice for the busings is on the cutting edge of technological change, it very chatiunatic, and. tensity despite faiture B) is youmg and cnengutics passion for the business, product customer focut, and icelis recegnition. C) passion for the basiness, tenacity despite failiars, pcoduct custemer focin, annt cuecuion inteltigence D) is on the cutting edge of teshnologital change, is forward thinking. tenacity deipite failure, and prodictcusiomer focus 17. The number one characteristic shared by successful catrepreneuts is: A) acharismatic personality. B) paswion for the business C) a desire to fulfill a lifetime dream D) being on the cutting edge of tochnological chapige 18. Which of the following is not a cost that is typically absociated with berying a franshisc? A) intalloctud capital foes B) continuing royalty payment C) Buvertising foes D) duitial franchitec foe 19. Which of the following is not a fecumancnded guideline for writiug a business pham? A) To make the best impression, a business plan shouid follow an unconventiocal structure and stand one in sothe drathatic way. B) For most plans, 25 to 35 pages is sufficient, C) A bailiess plan should lock sharp, bat not a lot of money shoud be spert on the plysical appearance of the nlara. D) Sity away ftom using a lot of boldficed type, italics, clip art, and different font sices and colors when preparinj a basiness plan: 20. Which of the following staferments is incorrect regarding equity funding? A) Equiry invertors expect to get theit moncy back, along with a substantial capital gain, throught the sale of thair stock. B) Feaity investors fumad the majority uf the plans they cocbidcr C) Anzel itventors are a common yource of cquity funding. D) Equaty fundiags is toot a lours. 21. A bricf carefuly consirucled stutement that outlines the merits of a business oppoctumity. is called a(an): A) sutoway mesch B) clevitar specch (C) sway spoech D) bootatrap speccla 22. Venture-capital firtas are growing firens. N) limifed partnicrsilips B) Linance assoclations (C) collatiors D) strategie partacrshipg 23. A commany's A) tactical analysis B) business mission C) Productimariset scops D) fupplier buyer scope 24. Joojo, who is at heart a craflepersoa, tecenely sarted a firm to inimefactore what be believes in the safost and A) prodicticuntomer focia B) execuicon intelligence. C) a desire to be youe own bons. D) tenicity despine tailure 25. Which of ahe followeng is not one of the five comanae iay tha about entrepretieurs? A) Entreypencun are netwuickers. B) Finitepeneurs should be young and energetic. C) Entropencurs love the spothight. D) Eipteepreneuts are borm not miade. 26. Which of the following was not identilied as one or the main dharacteristies of succestial entrepreneurs? A) excciabion intelligence B) seeks rocognition C) pussion for the besineis D) ternacity despite fatilure 27. Which of the following stateasen is correct? A) Stadies shory that people with parents who wers self-enployed are more likely to become entrepenetirs. B) Entrepecneurs love the spotight. C) The najor attributes that ienders and ventere capitalisis look for in entreprenetirs favor youmger rather than otder enteprencurx. D) Eatnefiencurs are bora not made. 28. Imestars otten cite the A) Iirancial position of the new veriture B) strangh of the ind isdry the now fime be endering (C) strength of the entreprencur (D) strength of the encrepreticur 24. There are three types of startup firms: A) Lifeatyle firms, pencral fimis, and entrepreneurial fims B) standurd-of-living fums, statutory finms, and gencral firms C) efiteprefeurial finms, standerd-of-living firms, and statutory firms D) lifentyle firnis, ialary osubstitute fimns, and cntrepreicurial finms 30. Which of the foilowing satement is incoried regarding the economic ispact of entreprencurial firms? A) Small bosincsies creaie ahout orie-thind of all new in B) Senall firms are more ininovative than latge fitms. D) Eeonoenic activity is moving increaingly in the dircction of small rather than latge firms. 31. Which of the follonsifig is the corset soquicnse for the four steps in the entreprencurial process? A) deciding to beconie an cutreprencer, developing succevstul beeiness idcas, moving fromat an idea fo an cuirepreneuriaf firm, asatlaging and growing ine entrepreasurial tinn become an catfepreneur, thanasing anit ioving ifoer aa idea to an ontrepreneurial finm, deciding to D) deciding to become in cutreprencie, inoving fing the entrepreneurial firm sucecesful busincss ideas, thangeing and growing the cintsp to an coitrepreneurial firma, developitig: 32. A firm's is a plan for bow it competes, uses its resources, strictures its refationships, interfaces with customers, and creates value to sustain itseif on ihe hasis of the value it creates: A) biasiness plan B) business incodel C) tactical model D) strufegie plan 33. Which of the following is corect reganding ophertumitles and iecas'? A) An ofportunity and an ideci are essentialty the satie thing. B) I's imporant to diseen whether a particular idea mects the tests of an opportinity. C) An lolea ainnost always inests the criteria of an cpportieity. D) An opportunity is a thought, an inpression, of a tontion. 34. Franchising. Is a form of busimss anmership in which a finm that afready hats a successful product or service bicenses its teademaik and method of doing business to ether business in exchange for: A) an initial franchise fee and an oryoding royalty B) as initial franchise foe C) an equity position in the new businass D) an initial franchise fee and an equity position in the new business 33. There are two distinclly different types of franchise sy stems: A) peoduct trademark franchise, businest arrangenent franchise B) prodact plus franchise, busincas forrat franchise C) busincss design franchise, prodied improveanent franchise D) product trademari, franchise, business format franchisc 36. The most important issucs to comvider in fiancial feasibility azalysis are: financial performance of similar businerses, overall financial aftrictiveness of the proposed venture, and: A) identifention of a niche market B) market timeliness. C) inamagernent prowess: D) total atirt-ap cash neeceed 37. The Finst Scroen feasibility analysis temalate is called First Sereen" because: A) is is the first feasibitity analysis 1emplate created B) it is the first and most importans step in the opportunity recognition process C) it in the fint step in 1 sequence of soveral seps that magt be coqnpleted before a business idea is deemed to be feasible. D) fensibelity analysis is an entrepreticur's initial or firs pass at determining the feasibility of a business ideal 33. Whict of the followieg iv the main purpese for writing it business plan? A) The plazt helps the corrpany develog a "road map" to follow. B) The plan introduces pertential investons and other stakcholders to the busineis oppartuatity. C) Bofh A and it are equally important. D) Neither A nor 13 captures the true jurpose of a business plan. 39. A business plan is impaetaint for two reisons: it forces the foudding thain to systematically think throtgeh every: aspoct of their new venture and: C) it is a publle relations document ifut can be sied to penanote the firma D) it is a contract thas is signed by the founders of sha finm 40. The peorle who buy franchises from mester framchises are ty ricatiy called: A) secondary franchisees B) mini-framchises (1) subordinate tranchuses. 41. Franchising is approptiate wherit A) a firm s busincss methods are not polished, it has a desire to grow, and it is trying to coenencecialize a technolocy product B) a firm has a strong trodemath, at desire to grow, and a well-designed business method C) a firm is to ing to comancreialine it techiology product, it is well-funded, and it has a decire to grow D) a firm has a weak, tadeatark, it is well fanded, and it has a desire to grow 42. Froe the tranchesor's point of view, the primary doadvantage of fraschisiag' is that: A) it is not lcgal in Il states. B) an organization allows others to prodit frous its trademark and businest method C) framkhise enganizations couzsistently makes less bionoy than altemative forms of besiness ownership D) the framehioces, nuther than the fianchisor, typically ieakes most of money. 43. Akosua is thinkine sbvut atarting a clain of fitness ceners for people who are 50 years old of older. Which of the following ts not an approgriate criteria for Akosea to test leer idea against? A) Determine whether the "window of opportanity" is egei. B) Decermine whethor a fitness center for people who are 50 y eas or older mects the threshold of being a pood ides. C) Detennine the extent to which the notion takec adviatage of an ervirontenental trend, solves a problem, or fills a gap in the markerplice D) Deternine whether opening a fitness center for people 50 years old of older is timely. 44. The these ways to identify an opportunify include. A) observing trends, solving a problera, and finding gaps in the makkesplace. B) studyine indistry trade founals, talking to corsamers, and solving a peoblena C) obaerving trends, alkine to consamers, tnd finding yaps in the marketplace D) reading book, notving a problem, and findings gaps in the marketplace 45. Eeonomic forves impact the opportanities availabie to entroprencurs. Wlich of the followind altematives retlecas a set of ecemoinic forcos that woald he of interest to entreprencurs? A) Icvel of disposathe incornes nevy uses of old iechnologies, and new laws and regulations B) new tecluologies, convimer spending patlens and icw laiva C) level of tisposable income, esumer spending patcems, and level of iuterest rates D) nocial and culmural treadx, level of interest rafes, and what people think is " 46. Which ot the following is not an example of social rorce? A) charyes in interest metes. it) incented interer in becitigy fooils C) tetirement of tuby bocenels D) incteased afiver tity of the Wratarce 47. The increasing pumber of wpos operinit in the Ghana is antibused to a jump in the namber of pcople try inge to wellthess in Cibana is an insportant: A) politicel trend B) Bsooomic trenid C) cepal trend D) aocial trend C) Moderare-1ic relationships D) Stronkelie relatiosships 49. Matib is a vecy creative person. Otten, when irying, to gencrate a novel or useful idea, she spends several days "melling over" the idea, which is her way of thinking it through, at beth the conscious and unconscious level. The stage of the creative process that Matie is in while she is mulling oyer an idea is referred to as: A) issight B) evaluation C) claboration D) incubatica 50. The number one not for a brainstorming ressions is: A) ne criticism is alloned. B) 50 treewhoeling is allowed C) no leapfrogging is allowed D) Ho wild or unrealistic ideas are allowed 51. Whicl of the following is not one of the four arcess of feasibility analysin discussed in the course? A) product/service favibility H) financial feasibllity C) inguiturional feasibility D) organtirional fexsibility 52. Does it make sense? Is it reasonable? Is if something consumers will get excited abour? Does it take advantige of an environmental trend, solve a problent, or fill a gap in the marketplace? These are the types of questions asked during the A) financtal feasibility B) organizational feasibtlity C) concept feasibility D) productservice feasibility 53. Which of the following is not a part of assessing the productisetvice feasibility of a business idea? A. byyine intentions survey B) Gimstae research C) fithrary research D) assessment of total start-te cash necded 54. The two components of product rervice feasibility analy sis are: A) product/service desirability and product/service dernasd for simailar products B) product service demand and total start-ip east needed C) product/service desirability and management provess D) product/service desirabiility and product/service demand 55. Which of the following jemems is typically not lucluded in a concept stutement? A) a descriptian of the product of service beisg offered B) a deseription of how the product of service will be sold and distributed C) a descrimtion of how much moncy the ack ventire ncads D) the beriffits of the preduct of service 56. Brobbey is in the process of developing an excaing new product in the electronic pames industry, Hed like to A) concept statemertht B) perception staterncnt C) usability staterient D) carly adopter statement 57. A biying ietentions survey is typically administered us pur of A) financisi B) prodict/service C) organazational 58. The two components of industryftarget market feasibility utalysis aret A) industry status/tur get market status B) industry attractivenes turget market attractiveness C) industry sufficiency threet market dermand D) industry attractiveness product/service dematid 59. Which of the foliowing issues should be consldered in industry/target market foasibility analysis? A) gaps in the marketplace B) financial rate of return C) resource sufficiency D) industry atuactiveness 60. Which of the foilowing is not an attribute of an attractive industry? A) is large and growing B) is not crouded C) is fairly old rather than young and less mature D) has high operating margins 61. The two primary issues to consider in organizational feasibility analysis are: A) target market attractiveness and financial rate of return B) manugernent prowess and resource sufficiency. C) capital requirements and indistry attractiveness D) concept festing and financini rate of retura 62. Which of the following is an example of a resource that normally would not be evaluated as part of the. "rebource suffioiency" stuge of organizational feasibility analysis? A) the avaitability of office space B) financial resources C) the quality of the labor pool in the area where the business will be located D) the possibility of tocating in a university or community sponsored incubator 63. The most important issetes to consider in tinanciai feastbility aralysis are: A) resource sutticlency, industry atractiveness; and total start-up cash needed B) tofal start-up cash needed, financial pcrfornance of similar businesses, and the overall financial aftractiveness of the proponed venture C) target market attractiveness, resojerce sufficiency, and productservice demand D) total start-up cash needed, inanagemeant prowess, and productiservice deanand 64. Which of the followitvg is not an individual, group or institution that normally reads a company's business. plan? A) board of directors B) potentialalliance pertuers and major customers. C) state and local government officials D) rank-and-file crnployees 65. Which of the following statcments is incorrect regarding business plans? 1) A firm's b B) To make the best inpression- a businesu in stand out. D) A company's business plan is typically written by its foumeers. 66. Amina just opencd a soup and salad restaurant at Miotio Campets. Raaker than borrow numey or fuise funds. from investors. Amima ised her creativity and ingenuity and figkifed out how to got her busities up and. A) networking B) reaching C) prospecting D) bootstrapping 67. Araba has decided to write a business plan that is intended to be read primarily by her staff, which will p a blueprint for her company's entire operation and will provide guidance to operational managers. Araba should write a(an): A) operational business plan B) tactical business plan C) deliberate business plan D) summary business plan 68. Which of the following statements is incorrect regarding the executive summary of a business plan? A) it is a short overview of the entire business plan. B) In many instances an investor will first ask for a copy of a firm's executive summary and will a copy of the full business plan only if the executive summary is sufficiently convincing. C) It is arguably the most important section of the business plan. D) The exccutive summary is the first thing that should be written in preparing a business plan. 69. A company's mission statement should be placed in the section of its business plan. A) marketing plan B) management team and company structure C) company description D) market analysis 70. A competitor analysis should be included in the section of a business plan. A) market analysis B) industry analysis C) company description D) management team and company structure