Exam 9: Growing and Internationalizing the Entrepreneurial Firm

Founders and/or owners of new businesses or managers of existing firms who identify and exploit new opportunities are called _____.

SMEs tend to be less entrepreneurial than large firms.

Firms that are first to introduce new goods or services are likely to earn "monopoly profits" until competitors emerge.

Relative to licensing and franchising,_____ allow a firm to have better control of how its proprietary technology is used while entering foreign markets.

Foreign acquisitions are an example of an FDI entry into foreign markets.

Becoming a licensee or franchisee of a foreign brand does not internationalize the licensee or franchisee firm.

Discuss direct exporting,licensing,and franchising as strategies for entering a foreign market.Explain each,and detail strengths and weaknesses.

International entrepreneurship is defined as "a combination of innovative,proactive,and risk-seeking behavior that crosses national borders and is intended to create wealth in organizations."

Whether entrepreneurship is facilitated or retarded significantly depends on formal institutions governing how entrepreneurs start up new firms.

It is impossible to internationalize without venturing abroad.

Owners,managers,and employees at large firms tend to be more innovative and take more risks than those at entrepreneurial firms.

Entrepreneurs selling an equity stake or the entire firm to foreign entrants are using a(n)____ strategy to internationalize.

The growth of an entrepreneurial firm can be viewed as an attempt to more fully use currently underutilized resources and capabilities.

Explain the concept of microfinance.

In a manufacturing industry,_____ refers to firm A's agreement to give firm B the rights to use A's proprietary technology (such as a patent)or trademark (such as a corporate logo)for a royalty fee paid to A by B.

Identify the three advantages offered by the innovation strategy used in a growing entrepreneurial firm.

With regard to investment in start-ups,investment by _____ is considered as informal investment.

Among developed countries,_____ has the lowest rate of start-ups.

Which of the following types of contracts are used between exporters and importers to reduce transaction risks?

____ is the sale of products made by entrepreneurial firms in their home country to customers in other countries.