Exam 5: Entrepreneurship: Starting and Managing Your Own Business

An advantage of a small manufacturer over a large manufacturer is the speed with which new products can be introduced to the marketplace.

Which of the following is NOT one of the advantages of owning a small business?

Which of the following is NOT a reason why small business thrives in the United States?

Mark Ghermizian had quit his job and was looking to start a small business so he could be his own boss.When he read that people spend up to fifteen minutes every day staring at a bathroom stall door, he decided he would find advertisers who wanted to pay to have their advertising messages on bathroom stall doors.Since he has his idea, Ghermizian's next step is to:

A _____ is a formal written statement that describes in detail the idea for a new business and how it will be carried out.

A well-written business plan should contain:

List the three categories of entrepreneurs.

Kathy Elliot has decided that she will start an Internet company to sell reliable used cars to customers nationwide.She has decided to use the sole proprietorship business format.Elliot's next step is to write a formal _____ before she applies for a business loan.

An entrepreneur is a person who _____ a business.

Jeff Arnold and Reggie Bradford created WebMD, an Internet provider of health care information.Early in the development of this high-growth company, Arnold and Bradford attracted a group of investors who provided them with money needed to acquire other Internet companies with similar missions.The investment group is called:

Which of the following is a characteristic of the entrepreneurial personality?

The _____ is the main government agency that assists small businesses with advice and financial assistance.

_____ are privately owned and managed investment companies that are licensed by the Small Business Administration to provide long-term financing for small businesses.

Export management companies:

Hawaiian-born Jon P.Farmer is the founder of Kolopua Hawaii LLC, a company that markets Pure Hawaiian Air.Bottles of Pure Hawaiian Air contain air that smells like the floral bouquet that greets tourists as they get off the plane in Hawaii.Which of the following federal agencies should Farmer contact if he needs management assistance?

Once the business plan is finished, the next step is to:

_____ financing is a form of financing consisting of funds raised through the sale of stock in a business.

List four common causes for business failure.

Entrepreneurs are people with vision, drive, and creativity, who are willing to take the risk of starting and managing a business to make a profit.

Jon P.Farmer is the founder of Kolopua Hawaii LLC, a company that markets Pure Hawaiian Air.Bottles of Pure Hawaiian Air contain air that smells like the floral bouquet that greets tourists as they get off the plane in Hawaii.Retailing for about $5 apiece, the bottles are sold at gift shops in Hawaii, as well as to travel agents nationwide who give them to clients.As a(n) _____, Farmer's annual income exceeds $100,000 annually.