Deck 2: The Entrepreneurial Mind-Set in Individuals: Cognition and Ethics

Question 1

Creativity was once regarded as an exclusively inherited trait.

Answer 1

True

Question 2

Immersion in business can be cured by limiting work to an eight hour day.

Answer 2

False

Question 3

Each and every person has the potential and free choice to pursue a career as an entrepreneur.

Answer 3

True

Question 4

There are many risks in entrepreneurship.

Question 5

Some of the most common entrepreneurial goals are independence, wealth, and work satisfaction.

Question 6

Entrepreneurs are fiercely independent but understand the need for a strong entrepreneurial team.

Question 7

Inexperience and incompetent management are the main reasons for failure.

Question 8

A good trait for an entrepreneur is to be a calculated risk taker.

Question 9

Entrepreneurs do not need foresight.

Question 10

Entrepreneurs typically have enough confidence to believe that they can make a difference in the final outcome of their ventures.

Question 11

Entrepreneurs are pessimists who see the cup half empty, rather than half full.

Question 12

Entrepreneurial cognition is, in part, about understanding how entrepreneurs use simplifying mental models to make assessments, judgments, and decisions about opportunities.

Question 13

Most successful entrepreneurs have failed at one time or another.

Question 14

Commitment, determination, and perseverance are the only characteristics one needs to become a successful entrepreneur.

Question 15

There is a certain psychic risk involved with entrepreneurship.

Question 16

Selfishness and a need for power are two characteristics common in entrepreneurs.

Question 17

Successful entrepreneurs fear failure the same way all people do.

Question 18

The metacognitive model of entrepreneurship fails to consider entrepreneurial motivation.

Question 19

The generation of the twenty-first century may become known as generation E because it is becoming the most entrepreneurial generation since the Industrial Revolution.

Question 20

Entrepreneurs usually have an internal locus of control.

Question 21

According to the Model of Entrepreneurship Motivation, the entrepreneur's expectations are not compared with the actual or perceived outcomes of the firm.

Question 22

A code of conduct is a statement of ethical practices or guidelines to which an enterprise adheres.

Question 23

Entrepreneurs always know that they as individuals must remain less important than the venture.

Question 24

Ethics represents a set of principles prescribing a behavioral code that does not include moral duty and obligations.

Question 25

Role distortion deals with morally questionable acts that are committed "for the firm."

Question 26

The "dark side" of entrepreneurship refers to the stress that entrepreneur's experience.

Question 27

A loss orientation toward grief recovery in dealing with failure can sometimes lessen negative emotional reactions.

Question 28

Entrepreneurs are often unrealistically optimistic.

Question 29

Entrepreneurs like to remain alert to competition, customers, and government regulations, but this continual scanning of the environment can lead to a negative sense of distrust.

Question 30

The need to achieve can be a source of stress for entrepreneurs.

Question 31

The Greek thinker, Chilon, felt that a merchant does better to take a loss than to make a dishonest profit.

Question 32

Ethics provides the basic rules or parameters for conducting any activity in an "acceptable" manner.

Question 33

Non-role acts are those acts against a firm in which the person fails to perform his or her managerial role.

Question 34

Problems can arise when people believe that laws represent morality.

Question 35

Stress on the entrepreneur can be caused both internally and by other people.

Question 36

Entrepreneurs need not be concerned with establishing strategy for ethical responsibility because they are guided by what established firms do.

Question 37

Morals and law are not synonymous but may be viewed as two circles that are partially superimposed upon each other.

Question 38

The entrepreneur is driven by a strong desire for control over their venture.

Question 39

"Ethos" means morality.

Question 40

Today's entrepreneurs are faced with few ethical decisions because the legal system imposes greater penalties on wrongdoers.

Question 41

One could correlate _____ with a high energy level.

A) creativity
B) working
C) luck
D) reading

Question 42

Entrepreneurs with a drive to achieve want to

A) compete.
B) watch others succeed.
C) take great risks.
D) control and dominate.

Question 43

Which of the following is not a trait of successful entrepreneurs?

A) initiative
B) frustration
C) perseverance
D) strategic thinking

Question 44

Institutionalization is a deliberate step to incorporate the ethical objectives of society with the economic objectives of the venture.

Question 45

A clear pattern among successful entrepreneurs is

A) setting goals that are just out of reach.
B) the fear of failure common to all people.
C) their focus on opportunity rather than resources.
D) not fitting in to traditional organizations.

Question 46

One of the most important reasons firms want to adhere to a high moral code is that doing so protects free markets and is good business.

Question 47

Firms need to be public about their ethical values and expectations.

Question 48

Which of the following is not a common characteristic of entrepreneurs?

A) vision
B) team building
C) lack of motivational drive
D) independence

Question 49

With persistent problem solving, entrepreneurs

A) must daydream all day.
B) can't multi-task.
C) think anything is possible.
D) are always working.

Question 50

Which of the following is a True statement about team building?

A) Most successful entrepreneurs have highly qualified teams that handle everything having to do with the development of the venture.
B) Compared to the owner, personnel are often more qualified to handle day-to-day implementation challenges.
C) The entrepreneur has the clearest vision in the firm.
D) The entrepreneur needs a competent team to implement an idea.

Question 51

Which is not a trait of a successful entrepreneur?

A) desire to achieve
B) initiative
C) innovation
D) trouble fitting in

Question 52

An entrepreneur can never be certain what actual ethical consequences a decision will have.

Question 53

One factor not found in high achievers is

A) responsibility.
B) failure to listen to feedback.
C) moderate risk taking.
D) high risk taking.

Question 54

Every person has the _____ and _____ to pursue a career as an entrepreneur

A) stubbornness; stupidity
B) potential; free choice
C) rights; regulations
D) obligation; duty

Question 55

Entrepreneurs

A) are driven by intense commitment and perseverance.
B) are egomaniacs.
C) loners who never fit in to typical firms.
D) are never satisfied.

Question 56

For entrepreneurs, vision describes

A) where the entrepreneur wants to go.
B) eyesight.
C) people.
D) the future.

Question 57

Which of the following is a False statement about entrepreneurs?

A) They burn with the competitive desire to excel.
B) They see the cup half full rather than half empty.
C) They do not use failure as a tool for learning.
D) They are achievers.

Question 58

Which of the following statements is False?

A) Entrepreneurs are born with the skills necessary to manage a business.
B) Their belief in their ability seldom wavers.
C) Independence is a driving force behind contemporary entrepreneurs.
D) Entrepreneurs know where they want to go.

Question 59

Characteristics often attributed to the entrepreneur include:

A) Commitment, determination, and perseverance
B) Prefers to be a loner
C) Power hungry
D) Ability to be indecisive

Question 60

Team building

A) involves including qualified people in the venture.
B) does not threaten the entrepreneur's autonomy.
C) does nothing.
D) is overrated.

Question 61

Which of the following is an aspect of the "dark side" of entrepreneurship?

A) a need for control
B) a sense of distrust
C) both a and b
D) bouts of euphoria

Question 62

With psychic risk you fear

A) losing your sanity
B) failure.
C) money
D) adapting.

Question 63

Which of the following is not a way to combat stress?

A) acknowledging its existence
B) ignoring coping mechanisms
C) probing personal unacknowledged needs
D) taking a few days off

Question 64

When entrepreneurs believe that their accomplishments and setbacks are within their own control and influence, they are exhibiting

A) persistent problem-solving.
B) internal locus of control.
C) external locus of control.
D) opportunity orientation.

Question 65

If an entrepreneur believes in himself/herself and that their accomplishments and setbacks are within their own control, they possess a (n) _____.

A) confidence level higher than most entrepreneurs
B) internal locus of control
C) cockiness level too high to be an entrepreneur
D) high energy level

Question 66

What characteristic(s) that propel entrepreneurs into success can be exhibited to the "extreme"?

A) Overbearing need for control
B) Optimism
C) High energy
D) Desire for success
E) Perseverance

Question 67

Entrepreneurial stress can be caused by having a type A personality which can be defined as

A) having a chronic sense of time urgency
B) taking too little responsibility
C) getting away from business
D) taking things personally

Question 68

One trait not common in entrepreneurs is:

A) entrepreneurs are problem solvers
B) entrepreneurs are creative and innovative
C) entrepreneurs need structure
D) entrepreneurs are independent, yet like to build strong teams

Question 69

Stress can be dealt with by:

A) networking.
B) delegating.
C) both a and b
D) working harder.

Question 70

Which of the following is not a source of stress?

A) success in business
B) immersion in business
C) people problems
D) family requirements

Question 71

Which of the following is not associated with an entrepreneur seeking feedback?

A) entrepreneurs want to belittle their competition
B) entrepreneurs seek to learn from their competitors
C) entrepreneurs want to improve
D) entrepreneurs have a strong desire to know how well they are doing

Question 72

In the Monroy-Folger Model of Risk Typology, profit-seeking activity is associated with:

A) strong desire to maximize profit
B) weaker desire to maximize profit
C) strong desire to minimize profit
D) strong desire to maximize sales revenue

Question 73

The entrepreneurial ego can cause the entrepreneur to

A) have a sense of pessimism.
B) take characteristics that usually lead to success to the extreme.
C) ignore government regulations.
D) take too few risks.

Question 74

The "dark side" of entrepreneurship refers to

A) a destructive force within the energetic drive of entrepreneurs.
B) the part of entrepreneurship that is most exciting.
C) a misunderstanding about the results of entrepreneurship.
D) another myth of entrepreneurship.

Question 75

Which of the following is not characteristic of the "dark side" of entrepreneurship?

A) an external optimism
B) a desire for success
C) knowing when to take a vacation
D) a sense of distrust

Question 76

Which of the following may be the greatest risk to the well-being of the entrepreneur?

A) social risk
B) financial risk
C) psychic risk
D) family risk

Question 77

Generally, entrepreneurial stress is due to

A) being surrounded by incompetents.
B) fear of failure.
C) the discrepancy between the entrepreneur's expectations and the ability to meet demands.
D) caused by a big ego.

Question 78

In starting or buying a new business, the higher the rewards, the

A) the more minimal the risk.
B) greater the risk.
C) greater the size of a business.
D) smaller the enjoyment.

Question 79

Areas of risk to the entrepreneur include

A) career, family, psychic.
B) family, business, social.
C) psychic, social, physical.
D) financial, product, market

Question 80

Which of the following statements is False?

A) Entrepreneurs want the authority to make important decisions.
B) Management skills are not important characteristics for entrepreneurs to possess.
C) Successful entrepreneurs strive to build a successful team around them.
D) An entrepreneur can develop the vision of the company over time.