Question 1

Entrepreneurs who claim that they "do not have competition" do not truly understand the nature of their business.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following is not related to Dickson's eight primary means to expand globally?

Accepted Answer

A)  Technology Licensing 
B)  Outsourcing 
C)  Foreign Direct Investment 
D)  Mergers and Acquisitions 
E)  Initial Public Offering 
A)  Technology Licensing 
B)  Outsourcing 
C)  Foreign Direct Investment 
D)  Mergers and Acquisitions 
E)  Initial Public Offering

Question 3

What risks does the company take when expanding its product mix?

Accepted Answer

A)  The company may incur unwieldy development expenses. 
B)  The market may not accept the new product. 
C)  Unsuccessful products can damage the brand. 
D)  All of the above 
E)  None of the above 
A)  The company may incur unwieldy development expenses. 
B)  The market may not accept the new product. 
C)  Unsuccessful products can damage the brand. 
D)  All of the above 
E)  None of the above

Question 4

Hiring a corporate lifer who is used to working in one functional area and has experience with comprehensive administrative support is always the right strategy for a startup firm.

Accepted Answer

A) True 
 B)False

Question 5

Venture capital funding rarely leads to mergers and acquisitions with foreign companies.

Accepted Answer

A) True 
 B)False

Question 6

According to the chapter, what portion of all firms receives venture capital?

Accepted Answer

A)  Less than 0.01% 
B)  Less than 0.1% 
C)  Between 1% and 5% 
D)  Between 5% and 10% 
E)  More than 10% 
A)  Less than 0.01% 
B)  Less than 0.1% 
C)  Between 1% and 5% 
D)  Between 5% and 10% 
E)  More than 10%

Question 7

What opportunity do you lose when choosing to use Technology Licensing as a means to grow?

Accepted Answer

A)  Generate more revenue 
B)  Conserve resources 
C)  Increase your brand name recognition 
D)  None of the above 
E)  All of the above 
A)  Generate more revenue 
B)  Conserve resources 
C)  Increase your brand name recognition 
D)  None of the above 
E)  All of the above

Question 8

Developing a market test schedule can not only guide your learning, but it can also help you better understand when, how and how much it will cost to meet the next milestone.

Accepted Answer

A) True 
 B)False

Question 9

By merging different revenue sources into as few categories as possible, you make your business model more comprehensive.

Accepted Answer

A) True 
 B)False

Question 10

Entrepreneurs benefit from developing and following a coherent geographic expansion strategy.

Accepted Answer

A) True 
 B)False

Question 11

What is the revenue strategy of both Walmart and Amazon?

Accepted Answer

A)  low costs, high margins 
B)  low margins, high volumes 
C)  high margins, high volumes 
D)  high costs, low volumes 
E)  none of the above 
A)  low costs, high margins 
B)  low margins, high volumes 
C)  high margins, high volumes 
D)  high costs, low volumes 
E)  none of the above

Question 12

Companies should not outsource an activity if it is critical to its competitive advantage.

Accepted Answer

A) True 
 B)False

Question 13

Non-profit organizations do not need revenue to operate.

Accepted Answer

A) True 
 B)False

Question 14

Franchising requires you to find extensive capital to support growth.

Accepted Answer

A) True 
 B)False

Question 15

Some advantages to going global through merger and acquisition are

Accepted Answer

A)  Instant presence 
B)  Rapid growth and expansion 
C)  Low capital requirements 
D)  A and B 
E)  B and C 
A)  Instant presence 
B)  Rapid growth and expansion 
C)  Low capital requirements 
D)  A and B 
E)  B and C

Question 16

Approximately what share of all new products are failures?

Accepted Answer

A)  Less than 30% 
B)  40 % 
C)  50-60% 
D)  80% 
E)  Over 90% 
A)  Less than 30% 
B)  40 % 
C)  50-60% 
D)  80% 
E)  Over 90%

Question 17

Amazon uses a "long-tail" business model.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is not mentioned in the chapter as a factor you need to weigh when planning geographic expansion?

Accepted Answer

A)  Do the customers differ between the existing and the new location? 
B)  Can you continue to use the same vendors? 
C)  Can you use the same distribution channels? 
D)  Is your brand name well-known in the new location? 
E)  None of the above 
A)  Do the customers differ between the existing and the new location? 
B)  Can you continue to use the same vendors? 
C)  Can you use the same distribution channels? 
D)  Is your brand name well-known in the new location? 
E)  None of the above

Question 19

Outsourcing is a powerful tool that can reduce a venture's upfront fixed costs.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is the main component of a business model?

Accepted Answer

A)  The revenue model 
B)  The net income model 
C)  The cost model 
D)  The cash flow mode 
E)  Both A and C 
A)  The revenue model 
B)  The net income model 
C)  The cost model 
D)  The cash flow mode 
E)  Both A and C

Entrepreneurs who claim that they "do not have competition" do not truly understand the nature of their business.

Which of the following is not related to Dickson's eight primary means to expand globally?

What risks does the company take when expanding its product mix?

Hiring a corporate lifer who is used to working in one functional area and has experience with comprehensive administrative support is always the right strategy for a startup firm.

Venture capital funding rarely leads to mergers and acquisitions with foreign companies.

According to the chapter, what portion of all firms receives venture capital?

What opportunity do you lose when choosing to use Technology Licensing as a means to grow?

Developing a market test schedule can not only guide your learning, but it can also help you better understand when, how and how much it will cost to meet the next milestone.

By merging different revenue sources into as few categories as possible, you make your business model more comprehensive.

Entrepreneurs benefit from developing and following a coherent geographic expansion strategy.

What is the revenue strategy of both Walmart and Amazon?

Companies should not outsource an activity if it is critical to its competitive advantage.

Non-profit organizations do not need revenue to operate.

Franchising requires you to find extensive capital to support growth.

Some advantages to going global through merger and acquisition are

Approximately what share of all new products are failures?

Amazon uses a "long-tail" business model.

Which of the following is not mentioned in the chapter as a factor you need to weigh when planning geographic expansion?

Outsourcing is a powerful tool that can reduce a venture's upfront fixed costs.

Which of the following is the main component of a business model?

The Power of Entrepreneurship

The Entrepreneurial Process

Opportunity Recognition, Shaping, and Reshaping

Prototyping Your Ideas

Entrepreneurial Marketing

Building the Founding Team

The Business Planning Process

Building Your Pro Forma Financial Statements

Financing Entrepreneurial Ventures Worldwide

Raising Money for Starting and Growing Businesses

Debt and Other Forms of Financing

Legal and Tax Issues, Including Intellectual Property

Entrepreneurial Growth

Social Entrepreneurship

Filters

Exam 5: Understanding Your Business Model and Developing Your Strategy

Entrepreneurs who claim that they "do not have competition" do not truly understand the nature of their business.

Which of the following is not related to Dickson's eight primary means to expand globally?

What risks does the company take when expanding its product mix?

Hiring a corporate lifer who is used to working in one functional area and has experience with comprehensive administrative support is always the right strategy for a startup firm.

Venture capital funding rarely leads to mergers and acquisitions with foreign companies.

According to the chapter, what portion of all firms receives venture capital?

What opportunity do you lose when choosing to use Technology Licensing as a means to grow?

Developing a market test schedule can not only guide your learning, but it can also help you better understand when, how and how much it will cost to meet the next milestone.

By merging different revenue sources into as few categories as possible, you make your business model more comprehensive.

Entrepreneurs benefit from developing and following a coherent geographic expansion strategy.

What is the revenue strategy of both Walmart and Amazon?

Companies should not outsource an activity if it is critical to its competitive advantage.

Non-profit organizations do not need revenue to operate.

Franchising requires you to find extensive capital to support growth.

Some advantages to going global through merger and acquisition are

Approximately what share of all new products are failures?

Amazon uses a "long-tail" business model.

Which of the following is not mentioned in the chapter as a factor you need to weigh when planning geographic expansion?

Outsourcing is a powerful tool that can reduce a venture's upfront fixed costs.

Which of the following is the main component of a business model?

The Power of Entrepreneurship

The Entrepreneurial Process

Opportunity Recognition, Shaping, and Reshaping

Prototyping Your Ideas

Entrepreneurial Marketing

Building the Founding Team

The Business Planning Process

Building Your Pro Forma Financial Statements

Financing Entrepreneurial Ventures Worldwide

Raising Money for Starting and Growing Businesses

Debt and Other Forms of Financing

Legal and Tax Issues, Including Intellectual Property

Entrepreneurial Growth

Social Entrepreneurship

Filters