Deck 3: The Entrepreneurial Mind-Set in Organizations: Corporate Entrepreneurship

Question 1

Clever bootlegging of ideas refers to secretly working on new ideas on company time as well as on personal time.

Answer 1

True

Question 2

The first step in planning a strategy of corporate entrepreneurship is sharing the vision of innovation that executives wish to achieve.

Answer 2

True

Question 3

Secretly working on new ideas on company time as well as on personal time is referred to as

A)skunk works.
B)champion.
C)bootlegging.
D)interactive learning.

Answer 3

C

Question 4

The second step in planning a strategy of entrepreneurship for the enterprise is

A)identifying specific objectives.
B)sharing the vision of innovation.
C)applying the exact tools of the entrepreneur.
D)developing and encouraging innovation.

Question 5

All of the following are reasons for the growth of corporate entrepreneurship except

A)a desire to dramatically increase profitability.
B)a rapidly growing number of new and sophisticated competitors.
C)a sense of distrust in the traditional methods of corporate management.
D)an exodus of some of the best people out of corporations.

Question 6

The resources of the organization are irrelevant to the ability of the corporate entrepreneur to implement an idea.

Question 7

The first step in planning a strategy of entrepreneurship for enterprise is

A)identifying specific objectives.
B)sharing the vision of innovation.
C)applying the exact tools of the entrepreneur.
D)developing radical innovation.

Question 8

Firms do not need to alter management techniques to encourage corporate entrepreneurship since it tends to occur naturally.

Question 9

The major thrust of corporate entrepreneurship is to

A)encourage greater risk taking.
B)raise profitability.
C)encourage innovation.
D)increase morale.

Question 10

Systematic evolution of a product or service into newer or larger markets is referred to as radical innovation.

Question 11

Individuals may avoid corporate entrepreneurial behavior due to the impact of traditional management techniques.

Question 12

Which of the following would not be considered as encouraging to an entrepreneurial environment?

A)uniform compensation
B)identifying potential entrepreneurs
C)top management sponsorship of entrepreneurship
D)promotion of entrepreneurship through experimentation

Question 13

Skunk works are project groups that work within the traditional lines of authority.

Question 14

In restructuring corporate thinking,top management should

A)identify potential entrepreneurs after an innovation program is in operation.
B)make the entrepreneur follow strict corporate guidelines.
C)promote entrepreneurship through experimentation.
D)create diversity and order in strategic activities.

Question 15

One reason that corporate entrepreneurship has become popular is because it allows corporations to tap the innovative talents of the personnel.

Question 16

Researchers have identified specific factors that organizations can concentrate on in helping individuals develop more entrepreneurial behavior.

Question 17

Groups that function outside traditional lines of authority permitting rapid turnaround of new ideas as well as instilling a high level of group loyalty are called:

A)skunk works.
B)multiple approaches.
C)champions.
D)strategic innovators.

Question 18

Which of the following is an obstacle to corporate entrepreneurship?

A)orientation to the market
B)a system of feedback and positive reinforcement
C)traditional management techniques
D)rewards based upon results

Question 19

Which of the following helps account for the rise of interest in corporate entrepreneurship?

A)A decrease in the number of sophisticated competitors.
B)An increase government regulation of small entrepreneurs.
C)An increase in corporations losing some of their best people.
D)A general increase in the number of competitors.

Question 20

In the model of sustained corporate entrepreneurship discussed in the text,a transformational trigger can be internal or external to the company.

Question 21

Which of the following terms refers the inaugural breakthroughs launched from experimentation and determined vision?

A)radical innovation
B)incremental innovation
C)collective entrepreneurship
D)strategic management

Question 22

Not all corporate entrepreneurial behavior is good for the organization. Why?

Question 23

Using the Signode's V-Teams example from the text,explain how some programs may succeed or fail using this approach.

Question 24

Transformational triggers in a corporate entrepreneurial environment initiates the need for

A)laying off workers.
B)strategically adapting to change.
C)changing company location.
D)achieving higher productivity standards.

Question 25

Explain some of the disadvantages that may occur in firms that are trying to incorporate entrepreneurship into their organizations.

Question 26

Which of the following are specific factors identified by researchers,that organizations can concentrate on in structuring an entrepreneurial climate.

A)radical innovation, incremental innovation, and vision
B)skunk works, multiple approaches, and vision
C)top management support, time, resources, rewards, and organizational boundaries
D)rewards, resources, innovation, and vision

Question 27

Which of the following terms refers to the systematic evolution of a product or service into newer or larger markets?

A)radical innovation
B)incremental innovation
C)collective entrepreneurship
D)strategic management

Question 28

Collective entrepreneurship,as a concept,refers to

A)the collective spirit of innovation that resides in the firm's founder
B)the joint recognition of the CEO and CFO as champions of innovation
C)entrepreneurial thinking that is diffused throughout the company
D)socialist enterprising