Question 1

Google is a firm that is proactive, innovative and risk-taking. From this description, we can most accurately conclude that Google has a high level of ________.
A) enterprise focus
B) innovative intensity
C) entrepreneurial intensity
D) creative intensity
E) innovative concentration

Accepted Answer

The description of Google as proactive, innovative and risk-taking is indicative of a high level of entrepreneurial intensity. This implies that the company is focused on generating and implementing new ideas, taking calculated risks and seizing opportunities for growth and innovation.

Question 2

According to the opening feature on Pure Fix Cycles, one of the biggest challenges the startup now faces is an increasingly competitive marketplace.

Accepted Answer

The opening feature on Pure Fix Cycles mentions that one of the biggest challenges they face is the increasingly competitive marketplace, indicating that the statement is true.

Question 3

Kasey Stevenson is starting a firm in the women's clothing industry primarily to pursue financial rewards. According to the textbook, starting a business to make a lot of money ________.
A) often fails to live up to its hype
B) is equally as satisfying as other reasons for starting a business
C) is the number one reason people start their own business
D) is the number two reason that people start their own business, right behind the lack of better career prospects
E) does not rank among the top three reasons that people start their own business

Accepted Answer

According to the textbook, starting a business to make a lot of money often fails to live up to its hype.

Question 4

According to the textbook, the number one reason that people become entrepreneurs is to ________.
A) realize financial rewards
B) gain prestige
C) be their own boss
D) continue a family tradition
E) pursue their own ideas

Accepted Answer

According to the textbook, the number one reason that people become entrepreneurs is to be their own boss. While financial rewards and pursuing their own ideas may be motivations for some entrepreneurs, being in charge and having autonomy is the most common reason cited.

Question 5

According to the textbook, the four characteristics of successful entrepreneurs are ________.
A) passion for the business, on the cutting edge of technological change, very charismatic, and tenacity despite failure
B) young and energetic, passion for the business, product/customer focus, and seeks recognition
C) passion for the business, tenacity despite failure, product/customer focus, and execution intelligence
D) on the cutting edge of technological change, forward thinking, tenacity despite failure, and product/customer focus
E) passion for the business, seeks recognition, young and energetic, and execution intelligence

Accepted Answer

According to the textbook, the four characteristics of successful entrepreneurs are passion for the business, tenacity despite failure, product/customer focus, and execution intelligence. Option C includes all these characteristics while options A, B, D, and E include some of these characteristics but not all.

Question 6

Entrepreneurship is the process by which individuals pursue opportunities within the constraints of the resources they control.

Accepted Answer

The answer of Entrepreneurship is the process by which individuals...

Question 7

Established firms with an entrepreneurial emphasis are proactive, innovative, and risk-taking.

Accepted Answer

Established firms with an entrepreneurial emphasis are often characterized by their proactive approach to identifying and pursuing new opportunities, their innovative spirit, and their willingness to take calculated risks in order to achieve success. They may also prioritize flexibility, creativity, and adaptability in their operations in order to stay ahead of the competition and continue to drive growth and innovation within their industry.

Question 8

The three primary reasons that people become entrepreneurs and start their own firms are to ________.
A) gain prestige, realize financial rewards, and eliminate risk in their lives
B) do what they were "born" to do, be their own boss, and gain prestige
C) take big risks, be their own boss, and do what they were "born" to do
D) be their own boss, pursue their own ideas, and realize financial rewards
E) take advantage of government subsidies, pursue their own ideas, and realize financial rewards

Accepted Answer

The three primary reasons cited in the passage are to be their own boss, pursue their own ideas, and realize financial rewards. Option D accurately summarizes these reasons. Option A and C are too broad and do not specifically relate to entrepreneurship. Option B is only partially correct as gaining prestige is not listed as a primary reason in the passage. Option E is completely inaccurate as there is no mention of government subsidies.

Question 9

According to the Global Entrepreneurship Monitor (GEM) 2013 survey, about ________ percent of adults in the United States are either starting a business or are running a business that has been in existence for less than 3 1/2 years.
A) 3.8
B) 5.5
C) 7.6
D) 9.0
E) 12.7

Accepted Answer

According to the Global Entrepreneurship Monitor (GEM) 2013 survey, about 12.7 percent of adults in the United States are either starting a business or are running a business that has been in existence for less than 3 1/2 years.

Question 10

Which of the following statements regarding survival rates of entrepreneurial firms in the United States is correct?
A) As high as 50 percent after four years
B) As high as 60 percent after four years
C) As high as 70 percent after four years
D) As high as 80 percent after four years
E) As high as 90 percent after four years

Accepted Answer

The correct statement regarding survival rates of entrepreneurial firms in the United States is that they can be as high as 50 percent after four years. While survival rates may vary depending on various factors, this is the highest percentage given in the answer choices.

Question 11

Apple is an established firm that encourages and emphasizes entrepreneurial behavior throughout its various divisions. According to the textbook, Apple practices ________ entrepreneurship.
A) tactical
B) corporate
C) strategic
D) business
E) enterprise

Accepted Answer

Corporate entrepreneurship refers to the practice of fostering an entrepreneurial spirit within an established company, encouraging innovation and new business opportunities within the framework of the organization. Apple's emphasis on entrepreneurial behavior across its divisions aligns with the concept of corporate entrepreneurship.

Question 12

Pure Fix Cycles, the company profiled in the opening feature of Chapter 1, was launched by four co-founders and sells ________.
A) fixed gear, single speed bikes
B) entry level bikes that sell in the $100 price range
C) bikes the are durable enough that they almost never need to be fixed
D) high quality bikes that sell in the $1,000+ price range
E) multiple gear, multiple speed bikes

Accepted Answer

The opening feature of Chapter 1 profiles Pure Fix Cycles as a company that sells fixed gear, single speed bikes.

Question 13

According to the results of the GEM 2013 survey, about 1 out of every 8 American adults is actively engaged in starting a business or is the owner/manager of a business that is less than 3 1/2 years old.

Accepted Answer

The statement accurately reflects the findings of the GEM 2013 survey.

Question 14

What is entrepreneurship? What is the essence of entrepreneurial behavior?

Accepted Answer

The answer of What is entrepreneurship? What is the essence...

Question 15

The number one reason that people become entrepreneurs is to pursue financial rewards.

Accepted Answer

While financial rewards can be a motivator, the primary reason many people become entrepreneurs is to pursue their passion, have autonomy in their work, and create something new or innovative.

Question 16

According to reliable statistics, 9 out of 10 businesses fail in their first few years of existence.

Accepted Answer

This statement is a common myth. While it is true that many businesses fail in their first few years, the actual failure rate varies depending on the industry and other factors. In fact, according to the U.S. Bureau of Labor Statistics, about 20% of small businesses fail in their first year, and about 50% fail by their fifth year. While these numbers may still seem high, it's important to remember that many businesses do succeed and thrive.

Question 17

According to the Global Entrepreneurship Monitor (GEM) 2013 study, the majority of people in high-income countries are drawn to entrepreneurship ________.
A) to take advantage of an attractive opportunity
B) due to lack of career prospects
C) as a result of government incentives
D) because an important role model was an entrepreneur
E) to gain prestige

Accepted Answer

The GEM 2013 study found that in high-income countries, the majority of individuals are motivated to become entrepreneurs in order to take advantage of an attractive opportunity.

Question 18

Cody Rodgers is the founder of a company named Extreme Sports Apparel. The company makes apparel products for extreme sports enthusiasts such as rock climbers, triathletes, skateboarders, and BMX bikers. Cody wants his company to pursue a high level of corporate entrepreneurship. To achieve that goal, Cody's firm should be ________.
A) innovative, risk averse, and take a "wait and see" posture
B) taking a "wait and see" posture, innovative, and risk taking
C) proactive, not innovative, and risk taking
D) taking a "wait and see" posture, not innovative, and risk averse
E) proactive, innovative, and risk taking

Accepted Answer

Pursuing a high level of corporate entrepreneurship requires an organization to be proactive in identifying opportunities and taking risks to capitalize on those opportunities. Additionally, innovation is a key component of entrepreneurship and is necessary for companies to stay ahead of their competitors in the marketplace. Therefore, to achieve its goal, Cody's firm should be proactive, innovative, and risk taking.

Question 19

Which of the following is an accurate characterization of interest in entrepreneurship?
A) There is minimal interest in entrepreneurship across the world.
B) There is minimal interest in entrepreneurship in North America and Europe, but significant interest in Asia and Australia.
C) There is significant interest in entrepreneurship in North America and Europe, but minimal interest in Asia and Australia.
D) While interest in entrepreneurship was once high, it is waning in popularity across the world.
E) There is tremendous interest in entrepreneurship across the world.

Accepted Answer

The article does not provide any evidence to suggest that interest in entrepreneurship is minimal in any region of the world. In fact, it specifically states that there is tremendous interest in entrepreneurship across the world.

Question 20

Describe the three primary reasons that people become entrepreneurs and start their own firms.

Accepted Answer

The answer of Describe the three primary reasons that people...

Quiz 1: Introduction to Entrepreneurship

Google is a firm that is proactive, innovative and risk-taking. From this description, we can most accurately conclude that Google has a high level of ________.

According to the opening feature on Pure Fix Cycles, one of the biggest challenges the startup now faces is an increasingly competitive marketplace.

Kasey Stevenson is starting a firm in the women's clothing industry primarily to pursue financial rewards. According to the textbook, starting a business to make a lot of money ________.

According to the textbook, the number one reason that people become entrepreneurs is to ________.

According to the textbook, the four characteristics of successful entrepreneurs are ________.

Entrepreneurship is the process by which individuals pursue opportunities within the constraints of the resources they control.

Established firms with an entrepreneurial emphasis are proactive, innovative, and risk-taking.

The three primary reasons that people become entrepreneurs and start their own firms are to ________.

According to the Global Entrepreneurship Monitor (GEM) 2013 survey, about ________ percent of adults in the United States are either starting a business or are running a business that has been in existence for less than 3 1/2 years.

Which of the following statements regarding survival rates of entrepreneurial firms in the United States is correct?

Apple is an established firm that encourages and emphasizes entrepreneurial behavior throughout its various divisions. According to the textbook, Apple practices ________ entrepreneurship.

Pure Fix Cycles, the company profiled in the opening feature of Chapter 1, was launched by four co-founders and sells ________.

According to the results of the GEM 2013 survey, about 1 out of every 8 American adults is actively engaged in starting a business or is the owner/manager of a business that is less than 3 1/2 years old.

What is entrepreneurship? What is the essence of entrepreneurial behavior?

The number one reason that people become entrepreneurs is to pursue financial rewards.

According to reliable statistics, 9 out of 10 businesses fail in their first few years of existence.

According to the Global Entrepreneurship Monitor (GEM) 2013 study, the majority of people in high-income countries are drawn to entrepreneurship ________.

Which of the following is an accurate characterization of interest in entrepreneurship?

Describe the three primary reasons that people become entrepreneurs and start their own firms.