Exam 7: Small Business Entrepreneurship: Economic Rocket Fuel

Xavi develops a cell phone battery that can be charged by a solar panel and can run efficiently for up to three hours. His friends point out that it would be difficult to get cell phone manufacturers to adopt this new technology and that it could take a long time for people to start relying on it. However, Xavi is convinced that he can make his idea popular and successful. He plans to start a new company called EnerMob Inc. that would promote and sell the cell phone battery to the public. In this scenario, which of the following entrepreneurial characteristics is Xavi demonstrating?

Which of the following categories of people is most likely to step into entrepreneurship?

Melissa runs a small restaurant that specializes in serving continental cuisine. Every Sunday, she visits the farmers' market to buy the ingredients for her dishes. She handpicks each item to maintain the quality of her food. Which entrepreneurial characteristic is highlighted in the given scenario?

Small businesses generate 50% of total employment in American inner cities.

Mauve starts a business that specializes in procuring and selling antique items. Her business caters specifically to individuals who have high-income jobs and who like collecting unique artifacts. Mauve does not have much competition and can decide the prices of her products without any external influence. The opportunity of _____ is highlighted in the given scenario.

Technological tools such as the Internet and email have:

Which of the following is a powerful contribution made by small businesses to the U.S. economy?

Charles owns a restaurant that is thematically modeled into representing the pop culture of the 1980s. While setting up the restaurant, Charles took care of everything himself, from interior decoration to menu and music. He even got the permit for the restaurant himself. Which entrepreneurial characteristic is highlighted in the given scenario?

Brian had started a new business venture using majority of his savings. However, his divorce affected him monetarily because of which he had to shut down his business. Which of the following threats is highlighted in the given scenario?

Raoul is an illiterate who does not have proper skills for any job. As a result, he is unable to find permanent employment. As a last resort, Raoul starts a diner in his home to earn a regular income for his family. In the given scenario, Raoul most likely started the diner because it offered _____.

Lois wants to start an art gallery. However, because of lack of adequate funds, she decides to borrow money from a bank. The bank is hesitant to give money to Lois because it cannot verify whether her business would be able to earn enough profit to repay the borrowed amount within the stipulated period. However, after a thorough research, the bank grants her the money. In the given scenario, Lois uses _____ to fund her business.

Based on statistics from the U.S. Small Business Administration, small businesses comprise 49.9% of all businesses in the United States.

Which of the following statements is true of a business plan?

Identify a true statement about angel investors.

Michael wants to launch a new product. He creates a website specifically for this on the Internet and uploads a short video demonstration of his product on the website. He also appeals to the viewers to make donations to help him start production. People respond well to his idea and help him collect enough financial resources to start his business. The opportunity of _____ is highlighted in the given scenario.

Natalie is a professional baker who dreams of owning her own cake business. She does not have any ideas or concepts for starting a cake shop, but her wealthy uncle is ready to fund her initial capital. Natalie's risk appetite is low and she wants to run a business that has less than 10 percent chances of first-year failure. Which of the following could be the best solution for Natalie to pursue her dream of owning a cake shop?

Timothy wanted to start a coffeehouse. However, he could not buy a space to start his business because of lack of funds. Which of the following threats is highlighted in the given scenario?

The primary reason people choose to become entrepreneurs is to:

In the context of protecting your start-up, _____ means using metrics, creative strategies, and state-of-the-art technology to accelerate the advancement of your brand, service, or product far beyond the norm.

In the context of self-reliance, when things go well, people with an internal locus of control feel that the actions of other people have led to their success.