Entrepreneurship Final

Entrepreneurs themselves perceive the concept of risk in which of the following ways?

Calculated risk taking

Most entrepreneurial initiatives fail because of lack of money

False

Which of the following is not one of the stages of grief?

Mental instability

Entrepreneurial motivation requires persistence. Which of the following is not a way that one stays persistent?

Desire to take from society

Only people who can come up with or invent stuff are worthy to be called entrepreneurs

False

Which of the following is not a characteristic of an entrepreneurial environment?

Short term outlook

Which of the following is not a characteristic of the entrepreneurial mindset?

External locus of control

The 1 common trait that all successful entrepreneurs have is that they were in the right place at the right time

False

Focusing on a particular loss to explain why the loss occurred is referred to as…

Loss orientation

Which of the following is not a characteristic of small business owners?

Wealth creation is rapid

Entrepreneurs are thrill seeking doers and rarely think things through or research before getting started

False

Jean Baptiste Say defined an entrepreneur as:

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

The entrepreneurial motivations of individuals usually relate to which of the following factors?

All of the options

The statistical analysis of entrepreneurship has 3 classification of economic development. Which one relies on labor & natural resources?

Factor-driven

Only people who are weird and/or social outcasts are crazy enough and/or smart enough to be entrepreneurial

False

With psychic risk entrepreneurs ______

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

Unstructured and chaotic is the norm for entrepreneurs

False

From the perspective of studying entrepreneurship as an academic, one tries to

Understand and better predict entrepreneurial activity

The academic study of entrepreneurship has identified a profile, or set of characteristics and achievements, that can distinguish an entrepreneur from a regular person

False

You are nervously anticipating the first quiz in your entrepreneurship class and are waiting outside of the classroom for the class scheduled before yours to exit. As the students begin to leave, you see a student crying and being comforted by another as they walk out. An overwhelming feeling of doom comes over you as you take your seat.

The metacognitive process that you just experienced is called ____

Framing

Cognition is our mental process, and is comprised of all of the following except

Implement

Which of the following believed that the entrepreneur was the sole risk taker?

Richard Cantillon

Which of the following is incorrect:

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

Which of the following is not a characteristic of a fixed minsdset?

I can develop my qualities through dedication and effort

Richard Cantillon defined an entrepreneur as:

The sole risk taker that buys at a certain price, sells at an uncertain price for a potential gain

Prior to 1700, business ventures of any magnitude were funded by all of the following except:

Private investors

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?

Innovation-driven

Frank Knight believed all of the following except

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

An entrepreneur that has a portfolio of opportunities in various stages of development?

Serial entrepreneur

Characteristics often attributed to the entrepreneur include

Determination & perseverance

People born with the right traits and who find themselves in optimal circumstances will become entrepreneurs and those that don't will be their employees.

False

Failure is necessary for all of the following reasons except:

Failure restricts your ability to think

Most entrepreneurial initiatives fail

False

Entrepreneur is derived from the French entreprendre meaning to:

Undertake

Frank Knight Defined entrepreneur as:

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

Alfred Marshall defined an entrepreneur as:

Supplier of commodities; provider of innovation & progress

Which of the following is not a reason for exceptional entrepreneurial activity in the United States?

America’s willingness to exploit third world nations and anyone else weaker than us

The decision to accept entrepreneurial motivation comes from one’s

Goals

Based on the latest GEM study, the United States outranks the rest of the world in what?

Important entrepreneurial support

Which of the following is not a risk of entrepreneurship?

The entrepreneur is required to risk their physical health

Once seen as a niche product only consumed by vegans and vegetarians, plant-based meats have gained mainstream acceptance among traditionally carnivorous foodies in the coming year. The market is predicted to grow by 28% each year until it reaches a whopping $85 billion by 2030, thanks to an increasing number of consumers with health, environmental, and animal welfare concerns. Impossible Foods and Beyond Meat are leading the charge, producing alt-meats for grocery store shoppers and partnering with chain restaurants like Burger King, KFC, and Subway to bring affordable options to the masses. It is believed that even more restaurants will introduce plant-based meat menu items that go beyond (pun semi-intended) beef-free burgers.

This type of societal change and acceptance is known as:

A trend

TCPalm, a subsidiary of the USA Today Network, reporter Melissa E. Holsman wrote in her December 18, 2019 article "Former Indiantown Nonprofit Housing director Donna Carman blames money thefts on gambling" that Donna Carman, the former executive director of Indiantown Nonprofit Housing pleaded guilty to “siphoning” up to $50,000 from the not-for-profit corporation. During the trial, her attorney, Michael B. Cohen, argued that his client’s illegal actions to a gambling addiction. Her criminal conduct, he wrote, “represented aberrant behavior.”

Which of the following best described Donna Carman’s actions?

Her gambling addiction created pressure that led to her perceiving that stealing the money was the right thing to do

Which of the following is not an impediment to creativity?

Problem thinking

Which of the following ethical rationalizations are used to justify questionable conduct?

All of the selections are correct

As the population that uses cars grew, parking became problematic and sparse. The Smart car, a small car capable of fitting in to tiny spaces was created so that more cars could be fit in to the existing spaces. The Smart car really didn't catch on as a solution to the problem. This is an example of what form of innovation?

Incongruities

Information has always been plentiful and the need to access sufficient amounts of it led to established libraries, such as the famed Library of Alexandria and more recently the New York Public Library. The creation of the World Wide Web gave rise to a search engines like Google. 

The creation of search engines is an example of what?

Industry & market changes

Paintings from antiquity show us that famous people of that time carried a few extra pounds on them than what we would today call healthy. Researchers tell us that this is because having some extra fat on a person meant that they were healthy and that rich people could afford to eat. However, today, people who are carrying around noticeable fat are seen as obese and unhealthy. This has led to a flood of diet trends and fads as well as businesses providing meal options geared toward reducing fat intake.

This is an example of what?

Perceptual changes

The unethical practice of “cooking the books” is an ethical issue affecting

Shareholders and investors

A code of ethics is:

A written statement of ethical practices or guidelines to which an entity adheres

Aging demographics indicate which type of trend?

Societal

Which of the following is not a method of generating new ideas?

Mindtapping

On March 22, 2019 New York Daily News reporters Elizabeth Keogh, Thomas Tracy, and Stephen Rex Brown published the story "Charity volunteer for slain NYPD officers embezzled $410,000 and spent it on dentistry, landscaping, Barbra Streisand tickets: prosecutors". In the story, the journalist trio report on Lorraine Shanley, who served as volunteer treasurer for the Survivors of the Shield from 2010 to 2017. The article details how during her tenure, she spent $410,000 in donations on personal expenses including her son’s legal bills, her grandchild’s private school tuition, dentistry, landscaping for her Staten Island home and Barbra Streisand tickets. 

“Lorraine Shanley allegedly capitalized on tragedy and monetized people’s generosity," Manhattan U.S. Attorney Geoffrey Berman said. “As alleged, Shanley stole over 20% of the donations to a charity whose sole mission is to help the families of NYPD officers killed in the line of duty.”

Which of the below best explain Lorraine Shanley's unethical choices: 

Lorraine Shanley perceived an opportunity to help her family and herself out of some financial barriers

Paintings from antiquity show us that famous people of that time carried a few extra pounds on them than what we would today call healthy. Researchers tell us that this is because having some extra fat on a person meant that they were healthy because rich people could afford to eat. However, today, people who are carrying around noticeable fat are seen as obese and unhealthy. This has led to a flood of diet trends and fads as well as businesses providing meal options geared toward reducing fat intake.

This is an example of what?

Perceptual changes

Most innovations result from:

A conscious & purposeful search for new opportunities

The entrepreneur becomes creative by:

All of the selections are correct

The phase of the creative process when the idea or solution the individual is seeking is discovered is referred to as:

Idea experience

During the evaluation/implementation phase of the creative process, a great deal of _____ is needed?

All of the selections are correct

A bank in a small US town close to the border of Canada read a census report that the number of people who speak French as their first language has gone up 30% in the past 10-years. The bank decides to begin advertising their services in French in an attempt to gain some of the French speaking people in the town as patrons. 

This innovation in doing business was likely caused by?

Demographic changes

Psy’s Gangham Style music video is an example of a societal acceptance and enjoyment best known as a ____

A fad

Why do we need ethics?

It is our means of deciding a course of action

When Henry Ford decided to switch to a moving assembly line instead of building cars 1 at a time. This not only simplified vehicle assembly but shortened the time necessary to produce a single vehicle from 12 hours to 90 minutes. 

This is an example of what form of innovation?

Process needs

Code of ethics issues that impact employees may include

Honesty, health & safety, harassment, discrimination, & drug screenings

On January 27, 2018 Boston Globe ran the following article; "Employee theft ‘shockingly common’ at nonprofits", in which reporter Todd Wallack reported that a board member of the Somerville Homeless Coalition was reviewing the nonprofit’s annual financial documents in 2015 when he spotted something odd. The forms said the chief operating officer, the No. 2 executive, earned $12,000 more than the organization’s top executive the previous year. Could that really be correct, he asked?

Turns out it wasn’t a typo. It was theft.

Somerville Homeless soon discovered that the COO — who handled all the finances — allegedly embezzled approximately $108,000 over 18 months. The charity said he brazenly added some of the money directly into his paycheck — where it showed up on the group’s annual financial forms — used the organization’s credit card for personal expenses, and added his middle-aged son to the group’s health insurance.

The COO's unethical behavior was caused by which of the following:

Rationalization that they should earn as much or more than the CEO since they handled the money

Which of the following questions concerning innovation is not relevant?

“When should the product go to market?”

Which of the following is not one of the four phases of the creative process?

Post-mortem analysis

Which of the following is not a principle of innovation?

Start big

Successful entrepreneurs are able to identify & implement ideas that:

Are workable & that they have the skills to implement

The combination of existing concepts & factors into a new formulation would define which of the following terms?

Synthesis

Which of the following statements is true about creativity?

People can learn to be creative

Which of the following is not a source of innovative ideas for entrepreneurs?

Waiting and or wishing someone else will do it for you

Which of the following statements is true about innovation?

Innovation blends imaginative and creative thinking with a systematic, logical process in order to recognize and create opportunity where others find only problems

Ethics is defined as:

A set of moral principle & values that defines right & wrong

Code of ethics issues that impact society may include:

Environmental issues, political issues, & social responsibility

What are the four sectors we look to for the seed of a fad or trend?

Societal, technology, economic, and governmental

Factors that influence organizational managerial ethics include:

Philosophy of top management, reward systems, & job dimensions

When entrepreneurs rely on existing solutions, techniques, or products to try to do things better, they are utilizing what type of creative process?

Adaptive

A person can develop their own creativity by:

Seeing new & different relationship in people, objects, & places around them

Which of the following is not a type of innovation?

Adaptation

Creativity to the entrepreneur is:

The generation of ideas that results in the improved efficiency or effectiveness of a system

The incubation process involves which of the following?

Letting the subconscious work

Which of the following is not one of Porter’s 5 Forces?

Threat of global influence

Factors in choosing a marketing philosophy include which statement?

All options

In Dr. Michael Porter’s framework of forces on an industry or business, power of customers is best described as ____?

This force occurs when customers can easily choose between business, thus causing businesses to have to adapt to keep customers coming back

Products that consumers will take time to examine carefully & compare for quality & price are:

Shopping goods

Which of the following is not a factor in choosing a marketing philosophy?

Long-term focus

In Dr. Michael Porter’s framework of forces on an industry or business, power of suppliers is best described as ______?

This force describes the situation when other companies that are needed in the supply chain can affect your company

A short opportunity window means that the product most likely will not be in demand for very long. We studied trends and fads in a previous module. Do you think a short opportunity window would indicate that the product/service is a trend or a fad?

Fad

An error of omission occurs when there is a negative outcome from:

Not acting on a new entry opportunity

All of the following techniques are used in gathering primary data except

Analysis of financial records published by others

Why do companies use target marketing?

All of the options are correct

Telling your potential customers about your product is called

Advertising

A laptop is a

Shopping good

In Dr. Michael Porter’s framework of forces on an industry or business, competitive rivalry is best described as:

This force tries to determine if lower profits will occur because too many competitors are in the market and thus customers can freely move between competitors. A concern with this force is that if it is severe, it can lead to competitive moves including price cutting, increased advertising expenditures, or spending on service/product improvements and innovation.

A meaningful characteristic of an effective target market for purposes of selling minivans is

Whether the person has children

The purpose of marketing research is _____

To identify customers & fulfill customers’ needs

Which of the following is not a factor that leads to increased competition among businesses?

Bankruptcies

Which of the following would be considered a shopping goods?

A car

The promotional pyramid includes all of the following except:

Sales tactics

Items and services that a consumer wants but will not spend a lot of time shopping for are called

Convenience goods

True or false, failure to anticipate the technical difficulties related to developing or producing can sink a new venture

True