Question 1

An opportunity assessment plan has four sections-two major sections and two minor sections.

Accepted Answer

An opportunity assessment plan typically includes two major sections - market analysis and organizational capabilities analysis, and two minor sections - risk analysis and financial analysis.

Question 2

Only the pricing element in the business strategy of an international entrepreneur has the potential to be affected by the multiplicity of legal environments.

Accepted Answer

Other elements of a business strategy, such as product adaptation, distribution channels, and marketing strategies, can also be affected by the multiplicity of legal environments in different countries.

Question 3

The Small Business Association provides Business Development Centers but also has a Women's Business Center and a Minority Business Center.

Accepted Answer

The Small Business Association (SBA) does provide Business Development Centers, Women's Business Centers, and Minority Business Centers. These centers offer various resources and services to support the growth and development of small businesses owned by women, minorities, and other underserved communities.

Question 4

International entrepreneurial decisions are more complex than domestic decisions due to uncontrollable factors such as economic development and stage of economic development.

Accepted Answer

International entrepreneurial decisions involve dealing with more uncontrollable factors, such as political stability, cultural differences, and legal considerations, as compared to domestic decisions. Economic development and the stage of economic development of a country are also important factors that need to be considered in international entrepreneurship. Domestic decisions are relatively simpler as the entrepreneur does not have to deal with such uncontrollable external factors.

Question 5

The laws governing business arrangements have been standardized over 150 international legal systems.

Accepted Answer

The laws governing business arrangements vary significantly across different jurisdictions and have not been standardized over 150 international legal systems. Each country has its own set of laws and regulations that govern business operations.

Question 6

Transfer risk is the risk in attempting to shift assets or other funds out of the country.

Accepted Answer

Transfer risk is the risk involved in moving assets or funds from one country to another. It can be due to various factors such as regulatory restrictions, political instability, exchange rate fluctuations, etc. Therefore, attempting to shift assets or funds out of the country poses a transfer risk.

Question 7

Contract law varies significantly from country to country,in part reflecting the two types of legal tradition-commercial law and civil law.

Accepted Answer

Contract law varies significantly from country to country, reflecting the two main legal traditions: common law and civil law, not commercial law and civil law.

Question 8

Entrepreneurs doing business in the former U.S.S.R.should be aware that barter,or third-party arrangements,are commonplace.

Accepted Answer

Barter and third-party arrangements are indeed common in the former U.S.S.R., and entrepreneurs should be aware of this fact when conducting business in the region.

Question 9

Nonverbal or hidden language of a culture accounts for a small percentage of all understood communication.

Accepted Answer

Nonverbal or hidden language accounts for a significant portion of cultural communication, estimated to be around 70-90%.

Question 10

SCORE is a for-profit organization that provides online and in-person assistance in about 100 locations throughout the United States.

Accepted Answer

SCORE is a non-profit organization that provides free and confidential business advice to small business owners through online and in-person mentoring, as well as workshops and webinars. They have over 300 locations throughout the United States.

Question 11

Gartner provides information on technology markets.

Accepted Answer

Gartner is a well-known research and advisory company that provides information, insights, and analysis on various technology markets.

Question 12

The key to successful entrepreneurship is to develop an idea that has a large,reachable market.

Accepted Answer

A large and reachable market for the idea is important because without customers, a business cannot succeed. Identifying a market size and demand for the product or service before launching it is crucial to ensure success in entrepreneurship.

Question 13

If the legal system of the country the global entrepreneur is dealing with does not have a good track record,it is not possible for the contract to contain any agreement that contract disputes will be heard in the courts of a different country or home country.

Accepted Answer

It is possible for the contract to contain an agreement that contract disputes will be heard in the courts of a different country or home country, regardless of the legal system of the country the global entrepreneur is dealing with. However, it may be difficult to enforce such an agreement if the local legal system is not reliable or efficient.

Question 14

For a global entrepreneur,technological environment variations are minimal since firms produce mostly standardized,relatively uniform products that can be sorted to meet industry standards.

Accepted Answer

Technological environment variations can have a significant impact on global entrepreneurs, as technology affects not only the production of products but also communication and distribution channels, among other factors. Additionally, while some industries may have standardized products, others may require customization or adaptation for different markets, which may be influenced by technological differences.

Question 15

Useful government sources of information include Business Source Complete and Mergent.

Accepted Answer

While Business Source Complete and Mergent are both sources of business information, they are not considered government sources of information. Useful government sources of information may include websites such as the U.S. Census Bureau or the Bureau of Labor Statistics.

Question 16

Three major types of political risks that might be present are operating risk,transfer risk,and ownership risk.

Accepted Answer

Operating risk refers to the risk of losses or disruptions that a company may face due to changes in laws, policies, or regulations. Transfer risk refers to the risk of restrictions or limitations on the movement of funds, which may affect the ability of a company to pay its debts or repatriate its profits. Ownership risk refers to the risk of expropriation, nationalization, or confiscation of assets by the government or other political actors. All of these types of political risks can be present in international business operations.

Question 17

Culture encompasses a wide variety of elements,including language,social structure,religion,political philosophy,economic philosophy,education,and manners and customs.

Accepted Answer

Culture is a broad and complex concept that includes diverse components such as language, social structure, religion, political philosophy, economic philosophy, education, manners, and customs. These elements shape the way people perceive and interact with the world, and they vary greatly across different societies and historical periods. Therefore, it is true that culture encompasses a wide variety of elements.

Question 18

The Euromonitor provides very industry-specific information on companies in the European Union.

Accepted Answer

Euromonitor International provides global market research and data analysis on industries, economies, and consumers worldwide, not just specific to the European Union or solely focused on companies.

Question 19

An opportunity assessment plan is basically the same thing as a business plan.

Accepted Answer

While an opportunity assessment plan includes many elements similar to a business plan, such as market analysis and financial projections, it is typically focused on a specific opportunity or idea rather than a comprehensive plan for starting or growing a business.

Question 20

International entrepreneurship is the process of an entrepreneur conducting business activities across national boundaries.

Accepted Answer

This statement defines international entrepreneurship as conducting business activities across national boundaries.

Quiz 5: Identifying and Analyzing Domestic and International Opportunities