intro to entrepreneurship exam 1

the number of seniors (those 50 years of age and older) starting businesses is ___.

substantial

which of the following is NOT a primary element of core strategy

finances

a dry-cleaning business is an example of a(n) _____ firm.

salary-substitute

which of the following is NOT a characteristic of an attractive industry?

is concentrated rather than fragmented

the aging of the population, increased use of social networks, increased use of mobile devices, and more attention on health and wellness are examples of:

social trends

according to the textbook, the four characteristics of successful entrepreneurs are:

passion for business (select this option for all of the above)

what is not a primary element of core strategy?

business plan

feasibility analysis is ___ in nature

opportunity analysis

threat of ___ integration increases the bargaining power of buyers

backward

because entrepreneurs are trying something __, the possibility of failure exists

new

“Click here to buy a Maui vacation” is an example of a(n) _____ page

landing

to be an entrepreneur, you have to be young and energetic. true or false?

false

true or false? a detailed analysis of a firm’s competition is a competitor analysis

true

in the DVD-by-mail business, Netflix’s core competency was in ___

supply chain management

what characteristics should be displayed by any good entrepreneur

passion, tenacity, customer focus

a popular technique used in classrooms to teach brainstorming is called the ___ report

bug

according to the textbook, the number one reason that people become entrepreneurs is to

realize financial rewards

to test resource sufficient, a firm should list the __ most critical non financial resources that it will need to move its business idea forward and determine whether those resources are available

6-12

a ___ is a firm’s plan or recipe for how it creates, delivers, and captures value for its stakeholders

business model

Maggie opens an upscale clothing boutique that carries hard-to-find designer labels. her prices are high because she knows someone will pay those prices, specifically for those brands, such as $1200 for a purse. this is an example of ___ pricing.

value-driven

once a firm decides to enter an industry and chooses a market in which to compete, it must gain an understanding of its ____ environment

competitive

in today’s world, people find an increasing need to connect and communicate with each other. this is an example of a(n) ____ force where one can spot opportunities

social

what did the word entrepreneur describe originally

people who took risks

an idea may or may not meet the criteria of a(n) _____.

opportunity

Warby Parker with regard to eyewear is an example of ____

creative destruction

what are the three main reasons people decide to become entrepreneurs?

financial rewards, pursue their own ideas, be their own boss

a technique to generate a large number of ideas, without evaluation or criticism, where free thinking is encouraged is called:

brainstorming

Southwest Airlines’ point-to-point, no-frills business model is an example of ___ market disruption

low-end

mitch johnson, age 22, and dawn faircloth, age 21, are assessing the resources of their educational toys start-up, Edu Venture. what is NOT a typical critical non financial resource for Eduventure

the age of the founders

weak-tie relationships are not very likely to be between ___ individuals

like-minded

a firms business model represents the ___ aspects of its business

core

someone who starts a business in order to pursue a certain lifestyle, such as a [personal trainer or a bed and breakfast is said to have what kind of business?

lifestyle business

bud smith and John Knowles, college dorm mates identified their business idea through social contacts. bus and John are called ___ entrepreneurs.

network

entrepreneurship is defined as the process by which individuals pursue ___ without regard to resources they currently control for the purpose of exploiting future goods and services

opportunities

Jennifer wants to start a business where customers sign up online and get a box of dog treats and dog toys delivered to their house each month for $15.95 per month. her business model is a ___ model

subscription 

the consumer milk industry in the US over the last few years is characterized by slow growth repeat (rather than new) customers, and limited produce innovation. this industry is an example of a(n) ____ industry

mature

entrepreneurs create their own business because their can’t handle working for someone else. true or false?

false

what is not an industry type?

creating

Nathan green is starting a firm int he organic produce industry. Nathan developed a statement - “Helping make your life better ,healthier, and fuller” - that describe the reason his company exists and what his business model is supposed to accomplish. in the terminology used in the barring/ireland business model template, Nathan’s statement is referred to as his:

mission statement

geoffrey and Micheal founded SafetyWeb, and online business that created a web-based service that helps parents protect their children’s online reputation. SafetyWeb found its business opportunity in ___.

a problem

Feasibility analysis is ___ in natue

investigative

a leadership strategy in which a firm tries to become the dominant player in the industry is a strategy that works in __ industries

declining

the price that consumers are willing to pay depends in part on the availability of substitute products. true or false

true

the five forces model looks at forces that determine ___ profitability

industry

there are two general categories of business models: standard and ___ business models

disruptive

if Birchbox has 400,000 subscribers and loses 40,000 each month, its churn rate is __ percent

10

in contemplating the launch of her seafood restaurant, Paige Graham concluded the suppliers of seafood had an advantage in bargaining power over restaurant owners in her market. Paige’s conclusion is likely to have happened because there were __ suppliers to provide a critical product to a large number of restaurants. 

only a few

in estimating projected rate of return, an individual who is thinking about leaving a $150,000-per-year job to start a new firm required a higher rate of return than the person thinking of leaving a $__-per-year job

$100,000

a(n) ___ is a favorable set of circumstances that creates a need for a new product, service, or business

opportunity 

why should an entrepreneur use the five forces model?

it helps determine whether. firm should enter an industry.