Exam 6: Entrepreneurship and Starting a Small Business

The most common small business failures occur in businesses that are the easiest to start.

Peppy knows a lot about marketing,but not much about the legal or financial aspects of starting a new business.He wants to consult with a lawyer and accountant,but his budget is tight with all of the expenses involved in getting Peppy's Pizzazzeria up and running.Peppy should:

Samantha recently applied for a microloan from the SB A.Although several criteria are important,the Small Business Administration's decision to grant or deny the loan will largely depend upon

The Internet has slowed small businesses participation in international markets.

Which of the following statements explains one of the reasons that people in the U.S.take the entrepreneurial challenge?

Anthony is an employee of a textbook publisher.However,his desire is to establish a home-based business providing his services to a variety of publishers.Anthony's primary motivation is to escape the 9 to 5 world of corporate publishing and to enjoy the opportunity of working for himself.Anthony is an example of a micropreneur. Feedback "Micropreneur" to refers to a business owner interested in simply enjoying a better lifestyle and want the opportunity to make a living doing the kind of work they enjoy.

While Jing wants to start a small business,she has not yet uncovered an opportunity that would offer her security and the likelihood of high profits.Jing will likely find that one must risk more in order to attain high profits.

After Kate graduated from college,her grandfather created a bookkeeping position for her in his furniture retail business.Her older brother is in charge of purchasing inventory for the stores,yet often the store runs out of popular furniture or become overstocked with pieces that must be marked down to be sold.Kate is confident that her brother is more suited for handling accounting and finance,and she has a pulse on what sells and how much sells.Although she has spoken with her grandfather about it a couple of times,he seems reluctant to change.As the founder of the business,he may:

Conversations with people who start their own business often reveal that:

To be classified as a small business,a firm must have no more than 100 employees.

In order to finance The Shortbread Shack,a mobile bakery business that services several large Silicon Valley companies,Marcy demonstrated her steadfast desire to get her bakery off the ground by visiting several bankers with _____________.

Small businesses must seek advice from outside experts.In order to put together official documents such as leases,contracts,and partnership agreements,it is important to seek the advice of __________.

________ are private individuals who invest their own money in potentially hot new companies before these firms become larger,publicly traded companies.

Aside from personal savings,the only other viable source of financing for an entrepreneur would be funds available from friends and family.

While only a small percentage of small businesses export,the number has increased dramatically in the last decade.

Since entrepreneurs are starting new businesses,experience gained from working for an established business isn't particularly helpful.

Although successful entrepreneurs are more tolerant of uncertainty,

Successful entrepreneurs often make use of professional managers to introduce new ideas.

An entrepreneurial team consists of:

One of the greatest advantages that small businesses have over larger ones is the ability to know their customers better and to adapt quickly to the customers' needs.