Question 1

Entrepreneurs resist implementing a more deliberate organizational structure due to ________.

Accepted Answer

Entrepreneurs often resist implementing a more deliberate organizational structure because they are afraid of relinquishing decision-making and operating responsibilities. This is because entrepreneurs often started the business on their own and may have a strong attachment to controlling all aspects of the business's operations.

Question 2

For successful companies ________ matter more than R & D in enabling innovation.

Accepted Answer

While R&D is important, employee talent and knowledge are crucial for innovation. It is the employees who come up with new ideas, implement them, and refine them, leading to successful innovation. Without talented and knowledgeable employees, R&D efforts alone may not be effective.

Question 3

Research supports entrepreneurial innovation,but not all types of research are the same.Research that focuses on investigative activities that lead to discoveries which will fuel new products or procedures is known as ________.

Accepted Answer

R & D (Research and Development) involves investigative activities that lead to discoveries, which can fuel new products or procedures.

Question 4

To help retain talented employees,entrepreneurs encourage them to stay with the venture by offering ________.

Accepted Answer

Personal development funds can help employees feel valued and invested in, showing them that their employer is willing to invest in their career growth and giving them a reason to stay with the venture. Reduced work hours, uniforms, and expense accounts may not have as strong an impact on employee retention.

Question 5

Dwayne is 24 years old and has a degree in horticulture.He loves plants and wants to specialize in what he calls Optimum-Eco landscape design for condominium developments and office complexes.Optimum-Eco focuses on implementing a landscape that relies solely on local weather conditions,with less than 10 percent watering on top of natural rainfall.It also means that the plants,shrubs,grasses,and flowers that are planted are easily managed using a silent-gardening approach (i.e.,no power tools),which supports living and working in a quieter environment.
Dwayne smiles when people call him a plant geek! Where he is stuck is how to get the business off the ground.You are a friend of Dwayne's and understand what has to be done before a business gets launched.You tell him that he needs to articulate his idea clearly,on paper.He then needs to complete a feasibility study.
In a short essay,describe what a feasibility study is.What are the key elements of a feasibility study? What are the six questions that can be asked and answered by the study? Using the mini case above,provide two examples of how a feasibility study can assist Dwayne.

Accepted Answer

The answer of Dwayne is 24 years old and has...

Question 6

When entrepreneurs start hiring employees for their young ventures,they typically look for people who ________.

Accepted Answer

When entrepreneurs start hiring employees for their young ventures, they typically look for people who are self-motivated and multi-skilled. This is because young ventures require flexible employees who can wear multiple hats and adapt to the evolving needs of the business. Having family ties to the business or the same personality as the entrepreneur may not necessarily translate to being a good employee, while currently working in the same industry may limit the pool of potential candidates.

Question 7

You are having a discussion with a friend who opened a gelato shop about six months ago.She has shared that it is time for her to hire a manager and promote a couple of employees to supervisors.She is a little concerned that the added structure will affect the natural flow of operations.You reassure her that good organization structure is a balance between ________ and ________,and may require some finessing to achieve the right mix of the two.

Accepted Answer

Good organizational structure requires a balance between fluidity and flexibility. While some level of structure is necessary for efficiency and consistency, too much rigidity can stifle creativity and make it difficult to adapt to changes or unexpected situations. On the other hand, too much fluidity can lead to chaos and inconsistency. Finding the right mix of these two aspects may require some adjustments and fine-tuning over time. The other options are incorrect because mechanistic and organic structures are specific types of organizational structures, and creativity is not necessarily related to organizational structure.

Question 8

Which of the following is NOT an organizing issue for an entrepreneur when creating a new venture?

Accepted Answer

While sales management is important for the success of a new venture, it is not typically an organizing issue that an entrepreneur needs to address in the initial stages of creating a new venture. Organization design and structure, human resource management, and encouraging innovation are all critical issues that need to be addressed from the beginning of the venture creation process.

Question 9

You are the entrepreneur behind a two-year-old firm whose main business is engineering and servicing road salting equipment.You entered the field via an innovation in salt distribution technology that reduces the need for environmentally damaging road salt by 25 percent and yet provides effective coverage in icy conditions.You are continually engaging in ________ via worldwide sources to seek other,complementary innovations and developments so you can enhance your services to clients.

Accepted Answer

The answer of You are the entrepreneur behind a two-year-old...

Question 10

One of the most important roles an entrepreneur should perform is that of ________.

Accepted Answer

As an entrepreneur, one of the most important roles is that of a change agent. This involves continuously identifying new opportunities, adapting to market trends, and innovating to stay ahead of the competition. Without the ability to drive change, an entrepreneur risks becoming stagnant and losing his/her competitive edge. While stability, employee counselling, and financial control are important aspects of running a business, they are not as critical as being a change agent.

Question 11

In face of change,an entrepreneur must take into consideration how the change impacts the company and ________.

Accepted Answer

An entrepreneur should explain changes to employees to ensure they understand and can adapt to the new direction, maintaining alignment and productivity.

Question 12

Three months after launching your bike shop,business is stabilizing at a level a bit higher than you anticipated.This is good for the bottom line but is creating stress due to the extra hours you have been working to ensure the business runs properly.It is clear you need people to help you.The first thing you need to do is ________.

Accepted Answer

Before hiring additional staff or making other significant changes, it's crucial to clarify the structural arrangement of your business. This involves understanding the roles and responsibilities needed to ensure efficient operation, which will inform your hiring decisions and other management actions.

Question 13

Because organizational change of any type can be disruptive and scary,an entrepreneur must support the change efforts by ________.

Accepted Answer

Motivating employees to put forth their best efforts is the best choice as it helps to get employees on board with the changes and reduces their level of fear and resistance. Preparing a new business plan can be helpful but it is not necessarily the most crucial step in supporting change efforts. Hiring new employees may not be required if the current employees can adapt to the changes. Changing the company culture may be necessary in some cases, but it is not always feasible or the most effective way to support change efforts.

Question 14

As an entrepreneur,you need to be able to retain the good employees you have hired.The main reason is that when talented employees leave a new venture,________ can be negatively affected.

Accepted Answer

When talented employees leave, the customer service of a new venture can be negatively affected. Good employees are often responsible for providing excellent customer service and retaining them ensures that the quality of customer service remains consistent.

Question 15

Along with organization design and structure,human resource management becomes more important as employees are brought in.The two key elements that go hand in hand and that are particularly important are ________ and ________ of employees.

Accepted Answer

Recruitment is important to ensure that the organization is bringing in the right people with the necessary skills and qualifications. Retention is also important in order to keep those employees engaged and motivated to stay with the organization long-term. Together, recruitment and retention help to build a strong, capable workforce. Hiring, promotion, employee scheduling, benefits, and wage considerations are all important components of human resource management, but they are secondary to recruitment and retention in terms of priority and impact on overall organizational success.

Question 16

Research is a key contributor to the vital process of innovation.The type of research that is generating new knowledge in its purest form rather than focusing on a specific,practical objective is known as ________.

Accepted Answer

Curiosity-driven research, also known as basic research or fundamental research, is focused on generating new knowledge for its own sake, rather than for a specific practical objective. This type of research is often undertaken by universities or non-profit organizations, and may not have immediate practical applications, but can provide a foundation for future innovation. Applied research, on the other hand, involves using existing knowledge to address specific problems or challenges, and is closely linked to practical applications. Competitor intelligence refers to research focused on understanding the strategies and activities of competitors, while value-added research typically involves adding new features or capabilities to existing products or services.

Question 17

In many small firms the organizational structure tends to evolve ________.

Accepted Answer

Small firms often do not have a formal organizational structure in place at the outset and may rely on ad hoc arrangements. As the firm grows, the structure tends to evolve based on the needs of the business rather than deliberate planning.

Question 18

When hiring,entrepreneurial leaders are primarily concerned with matching the ________ of the potential employee to the ________ the organization.

Accepted Answer

Entrepreneurial leaders prioritize aligning a potential employee's characteristics with the values and culture of the organization. This ensures a good fit not just in terms of skills, but also in terms of shared beliefs and work ethic, fostering a cohesive and productive work environment.

Question 19

As the entrepreneurial venture grows and the entrepreneur finds it increasingly difficult to go it alone,the next step is usually to ________.

Accepted Answer

As the venture grows, it becomes difficult for the entrepreneur to handle all the functions alone. So, they need to hire employees to share the workload and take care of certain functions. Expanding the business or merging with other start-ups requires a lot of resources, planning, and efforts, which may not be feasible for every entrepreneur. And preparing a new business plan may not necessarily address the current problem of overwhelm and workload. Therefore, hiring employees is the best choice.

Question 20

Innovative organizations use divergent thinking and brainstorming to ________.

Accepted Answer

Innovative organizations use divergent thinking and brainstorming to gain a competitive edge by fostering creativity and innovation, which can lead to unique products, services, or business models that set them apart from competitors.

Quiz 5: Managing Entrepreneurially