Deck 5: Opportunity Recognition

Question 1

The most successful entrepreneurs are content with a lack of clarity and accept confusion, ambiguity, and uncertainty as unchangeable.

Answer 1

False

Question 2

Which of the following is not a characteristic of an entrepreneurial start-up?

A) Creativity
B) Collaboration within the firm
C) Shrinking need for resources
D) Opportunity focus
E) Informal, fluid organization structure

Answer 2

C

Question 3

What is the most difficult stage for the founding entrepreneur in terms of power and control?

A) R&D
B) Start-up
C) High-growth
D) Maturity
E) Stable

Answer 3

C

Question 4

In what stage of development are the critical mass of people, market and financial results, and competitive resiliency established?

A) R&D
B) Start-up
C) High-growth
D) Mature
E) Stable

Question 5

The nascent stage can be as short as a few months or can last years.

Question 6

Most important and most challenging for the founding entrepreneur or a chief executive officer is:

A) Delegating tasks correctly.
B) Due to succession issues, the founder's tenure will typically be shorter in family-dominated firms.
C) Coping with crucial transitions and the change in management tasks.
D) Lacking the necessary skill and experience to grow a large, multi-faceted enterprise.
E) Not to quit.

Question 7

The most effective entrepreneurial leaders seem to thrive on the hectic, and at times chaotic, pace and find it challenging and stimulating, rather than frustrating or overwhelming.

Question 8

Successful entrepreneurs are interpersonally supporting and nurturing, but also interpersonally competitive.

Question 9

It has been thought for long that entrepreneurs who cling to the lead role too long will limit or impede company growth.

Question 10

One form of entrepreneurial influence has to do with encouraging creativity and innovation, and with taking calculated risks.

Question 11

At what stage of entrepreneurial transition is there a need for organization and operating policies?

A) Planning
B) Doing
C) Leading
D) Leading leaders
E) Succession

Question 12

An entrepreneurial firm that is in the maturity stage is characterized by which of the following?

A) High degree of change
B) Opportunity focus
C) Product focus
D) Focus on quarterly profits
E) Decreasing marketing expenditures

Question 13

Research indicates that if an idea is not turned into a going concern within a year, the chances of a start-up fall dramatically.

Question 14

Lead entrepreneurs need a sound foundation in what are considered traditional business disciplines.

Question 15

What stage of entrepreneurial transition is characterized by an erosion of founders' creativity?

A) Planning
B) Doing
C) Leading
D) Leading leaders
E) Succession

Question 16

In what stage do new ventures exhibit a failure rate exceeding 60 percent; that is, in what stage do the lemons ripen?

A) R&D
B) Start-up
C) High-growth
D) Maturity
E) Stable

Question 17

Growing a higher potential venture requires leadership skills above and beyond what is required to start an entrepreneurial enterprise.

Question 18

At what stage of entrepreneurial transition do conflicts between founders most often arise?

A) Planning
B) Doing
C) Leading
D) Leading leaders
E) Succession

Question 19

Mature entrepreneurial and managerial firms are both characterized by resource ownership.

Question 20

What stage of entrepreneurial transition is characterized by counterintuitive decision making and structure?

A) Planning
B) Doing
C) Leading
D) Leading leaders
E) Succession

Question 21

List the main competencies that need to be addressed as a company grows to exceed $10 million in revenue.

Question 22

Discuss the concept of exerting influence without formal power.

Question 23

The research and development stage of growth is sometimes referred to as the ________ stage.

Question 24

The research and development stage is sometimes referred to as what stage?

Question 25

Companies, whether they are new, growing, or mature, occupy a place in either a managerial or an entrepreneurial domain, an area influenced by certain principal forces and characterized by ways of acting, called ________.

Question 26

What would be your strategy for changing and creating an entrepreneurial culture in a large, non-entrepreneurial firm? Is it possible? Why or why not? (Note: this question is also a Mind Stretcher in the chapter)

Question 27

In the corporate setting, this ability is identified as an essential attribute of successful entrepreneurial leaders. It involves making the pie bigger and better, rather than jealously guarding a tiny pie that is all theirs.

Question 28

_________ is derived from keeping the overall goals in mind, from resolving differences, and from developing a reputation as a person who gets results, can lead others, and grows leadership talent as well.

Question 29

The _________ stage is by far the most perilous stage and is characterized by the direct and exhaustive drive, energy, and entrepreneurial talent of a lead entrepreneur and a key team member or two.

Question 30

Can you compare and describe the principal differences in the leadership, management, and organization between the best growing companies of which you are aware, and large, established companies? Why are there differences?

Question 31

Companies, whether they are new, growing, or mature, occupy a place in which of the two domains?