Deck 6: Managing Start Ups and New Ventures

Question 1

Entrepreneurs in the juggler category like the chance a small business gives them to handle everything themselves.

Answer 1

True

Question 2

Small business owners in the idealist category like the idea of working on something that is new, creative or personally meaningful whereas those in the sustainer category enjoy putting in the long hours and dedication to build a large, more profitable business.

Answer 2

False

Question 3

Considering the story of Jeff Bezos, founder of Amazon.com, he reflects the motivation of a hard worker.

Answer 3

True

Question 4

The Global Entrepreneurship Monitor (GEM) 2012 Global Report indicated that there is a significant rise of female entrepreneurs.

Question 5

The annual Doing Business Report published by the World Bank ranked Australia as the easiest country in which to start a business in 2012.

Question 6

Innovation can sometimes occur as a single-breakthrough idea, involves taking risks, can be incremental or more radical, and can be in processes just as much as in new products.

Question 7

Innovation is not just a 'high-tech' phenomenon. It is occurring in all industries, from primary industries to pure services, and in industries with long product life cycles, from mobile phones to mining and agriculture.

Question 8

The personal characteristics of entrepreneurs as discussed in the text include tolerance for ambiguity, awareness of passing time, self-confidence, need to achieve, internal locus of control and high energy level.

Question 9

Irrespective of whether a business is a socially oriented company or a traditional for-profit small business, the first step in pursuing an entrepreneurial dream is to start with a viable idea for the new venture.

Question 10

Locus of control defines whether an individual places the primary responsibility for his or her successes and failures within himself/herself or on outside forces.

Question 11

The top reason why people engage in entrepreneurship is because they want to create something new.

Question 12

The three basic legal structures for a small-business are sole proprietorship, partnership and social entrepreneurship.

Question 13

The tactics for becoming a business owner include starting a new business, buying an existing business, buying a franchise, participating in a business incubator, and starting an online or mobile app business.

Question 14

Entrepreneurship is the process of recognising the need for innovation and promoting it within an organisation.

Question 15

A business at the survival stage is solidly based and profitable. Systems and procedures are in place to allow the owner to slow down if desired.

Question 16

The following are categories of small business owners except:

A) idealists
B) optimisers
C) sustainers
D) leaders
E) hard workers

Question 17

__________________________ is the process of developing new products or services, technologies, systems, business models and ideas.

A) Organisational innovation
B) Organisational remodelling
C) Reengineering
D) Entrepreneurship
E) Business redesigning

Question 18

A product, service, system or technology which is brand new to the industry, country or the world is termed a(n):

A) moderate innovation
B) incremental innovation
C) radical innovation
D) internet-based innovation
E) novel innovation

Question 19

The details of a business plan may vary, but successful business plans generally share several characteristics including the following except they:

A) demonstrate a clear, compelling vision that creates an air of excitement
B) provide clear and fictitious financial projection
C) give detailed information about potential customers and the target market
D) include detailed information about the industry and competitors
E) highlight critical risks that may threaten business success.

Question 20

Alhassan is a fresh graduate who wants to become a business owner. He can do so in the following ways except:

A) start a new business
B) buy an existing business
C) buy a franchise
D) participate in a business incubator
E) attending business conference

Question 21

Bake Shop is a small business and its key problem is how to grow rapidly and finance that growth. Bake Shop is in which stage of growth?

A) start-up and existence
B) survival
C) success
D) take-off
E) resource maturity

Question 22

A small business in the _________________________ stage is concerned with generating sufficient cash flow to run the business and making sure revenues exceed expenses.

A) start-up
B) survival
C) success
D) take-off
E) resource maturity

Question 23

Entrepreneurs who like the chance a small business gives them to handle everything themselves are called ___________________

Question 24

_________________________ is the process of developing new products or services, technologies, systems, business models and ideas.

Question 25

An individual's _____________________ defines whether he places his primary responsibility for his successes and failures within himself or on outside forces.

Question 26

The process of recognising the need for innovation and promoting it within an organisation is termed as ______________________________.

Question 27

At the ______________________ stage, businesses have the staff and financial resources to begin acting like a mature business with detailed planning and control systems.

Question 28

At the __________________________ stage, small businesses are concerned with finances: generating sufficient cash flow to run the business and making sure revenue exceed expenses.

Question 29

Name five of the 10 rules that provide an approach for developing an intrapreneurial atmosphere in an organisation.

Question 30

Although the steps required to start an online or mobile business are the same for starting a traditional business, several steps are required to start an online business. List these steps as discussed in the text.

Question 31

Identify the various tactics that aspiring entrepreneurs can use in becoming business owners

Question 32

List the most common sources of start-up capital for entrepreneurs.

Question 33

For an organisation's new product idea or technology to become commercially successful, it must pass a number of tests. Name these tests.

Question 34

Discuss the two (2) main ways of arranging financing for a small business.

Question 35

As the manager of the R&D Unit of your organisation, you are required to give a keynote address at a function on 'Organisational Innovation'. Your write up must clearly explain organisational innovation and detail the various characteristics of innovation.

Question 36

Define entrepreneurship and briefly explain the five (5) types of small business owners.

Question 37

Discuss the various rules that provide an approach for developing an intrapreneurial atmosphere in an organisation.