Question 1

Identify and explain five of the seven criteria a small business owner should consider when selecting the state in which to locate her business.

Accepted Answer

1.Proximity to markets Locating close to markets is critical in reducing distribution costs,staying competitive and making it easy for customers to access products and services.2.Proximity to needed raw materials The value of product and service components,their material costs,transportation costs,and their function all interact in determining how close a business needs to be to its source of supplies.3.Wage rates Wages can vary significantly from state to state,affecting a company's cost of doing business.4.Labor supply needs Two factors should be considered: the number of workers available in the area and their level of education.5.Business climate Includes whether a city/state regulates restrictions on the way a company can operate,imposes inventory taxes,implements laws that prohibit certain business activities on Sundays ("blue laws"),and whether or not a state provides support programs or financial assistance.6.Tax rates Location selection must consider: state income taxes,payroll taxes sales taxes,property taxes,and any specialized taxes on the operations of their business.7.Internet access High speed and reliable service is important.DSL and T1 line availability is essential for a high-tech company and those engaging in e-commerce.8.Total operating costs The impact of a state's total cost of operation on the business venture must consider wages,taxes,electricity,industrial rent and office rent costs.

Question 2

The typical neighborhood shopping center contains from 3 to 12 stores and serves a population that lives within a 10-minute drive.

Accepted Answer

A) True 
 B)False  True

Question 3

To ensure ready access to raw materials and to customers,a manufacturer should consider the quality of an area's transportation network when choosing a location.

Accepted Answer

A) True 
 B)False  True

Question 4

The "Cost of Doing Business Index" indicates that Hawaii is the most expensive state in which to do business based on wage costs,tax burden,electricity,industrial rent,and office rent factors.

Accepted Answer

A) True 
 B)False

Question 5

Identify and describe the goal/purpose of the three types of manufacturing layouts.

Accepted Answer

Product layouts consist of an unbroken f

Question 6

Discuss the various sources of information available to the small business owner for deciding in which region of the country to locate her business.

Accepted Answer

In evaluating a region for site selectio

Question 7

Prime selling space should be reserved for items that are slow sellers so that customers will notice them.

Accepted Answer

A) True 
 B)False

Question 8

What are the advantages and disadvantages of the restaurant's current location?

Accepted Answer

Advantages: Disadvantages: - Well known

Question 9

If a business sells merchandise for which customers typically do a good deal of comparison shopping,it should choose a location as far away from competitors as possible.

Accepted Answer

A) True 
 B)False

Question 10

For some retailers,locating near competitors makes sense because similar businesses located near one another can increase traffic flow to all.

Accepted Answer

A) True 
 B)False

Question 11

Well-designed floor displays are critical to a retailer's success.

Accepted Answer

A) True 
 B)False

Question 12

The Americans with Disabilities Act of 1990 requires:

Accepted Answer

A) buildings be remodeled to accommodate any disabled customer or employee. 
B) businesses must accommodate all disabled customers or job candidates,regardless of the cost to the business. 
C) that businesses have all facilities available to physically challenged customers and employees. 
D) All of the above 
A) buildings be remodeled to accommodate any disabled customer or employee. 
B) businesses must accommodate all disabled customers or job candidates,regardless of the cost to the business. 
C) that businesses have all facilities available to physically challenged customers and employees. 
D) All of the above

Question 13

Developing a layout plan really is not essential unless an entrepreneur is able to build a new building to house the business.

Accepted Answer

A) True 
 B)False

Question 14

Products with the highest markup should be placed:

Accepted Answer

A) so as to pull customers into the store. 
B) in prime selling space. 
C) near the front of the store. 
D) anywhere since they draw their own customers. 
A) so as to pull customers into the store. 
B) in prime selling space. 
C) near the front of the store. 
D) anywhere since they draw their own customers.

Question 15

The key to finding a suitable location is identifying the characteristics that can give a company a competitive edge and then searching out potential sites that meet those criteri
a.

Accepted Answer

A) True 
 B)False

Question 16

Ergonomics,the science of adapting work and the work environment to complement employees' strengths and to suit customers' needs,is an integral part of a successful layout.

Accepted Answer

A) True 
 B)False

Question 17

Jan and Detmar Wolcinski live in a cozy house in a beautiful old neighborhood.When they bought the 152-year-old house in which they live,they began remodeling it with one goal in mind: opening a bed and breakfast inn.The Chadwick Inn has exceeded the Wolcinski's expectations in its first year of operation,but now some neighbors are starting to complain about the increased traffic in their neighborhood and the late hours some of the Inn's guests keep.The Wolcinski's greatest challenge in the near future is most likely:

Accepted Answer

A) convincing the local historical preservation board that the modifications they made to the house are in keeping with its historical character. 
B) zoning laws prohibiting commercial businesses in a residentially zoned area. 
C) major hotel chains opening competing "bed and breakfast" hotels on adjacent lots. 
D) encroaching shopping centers and malls that push up real estate prices. 
A) convincing the local historical preservation board that the modifications they made to the house are in keeping with its historical character. 
B) zoning laws prohibiting commercial businesses in a residentially zoned area. 
C) major hotel chains opening competing "bed and breakfast" hotels on adjacent lots. 
D) encroaching shopping centers and malls that push up real estate prices.

Question 18

Shopping malls typically average ________ parking spaces per 1,000 square feet of shopping while a typical central business district offers ________ spaces per 1,000 square feet of shopping space.

Accepted Answer

A) 20; 1 
B) 3; 6 
C) 5; 3.5 
D) 3; 8 
A) 20; 1 
B) 3; 6 
C) 5; 3.5 
D) 3; 8

Question 19

Entrances should invite entry.The way to accomplish this is to:

Accepted Answer

A) have wide entryways and attractive displays set back from the doorway that can lure customers into the store. 
B) offer discounts. 
C) have displays as close to the entry of the store as possible. 
D) have a big sign to attract customers. 
A) have wide entryways and attractive displays set back from the doorway that can lure customers into the store. 
B) offer discounts. 
C) have displays as close to the entry of the store as possible. 
D) have a big sign to attract customers.

Question 20

Observing customer behavior in a retail store can help a business owner identify "hot spots" where merchandise sells briskly and "cold spots" where it may sit indefinitely.

Accepted Answer

A) True 
 B)False

Identify and explain five of the seven criteria a small business owner should consider when selecting the state in which to locate her business.

The typical neighborhood shopping center contains from 3 to 12 stores and serves a population that lives within a 10-minute drive.

To ensure ready access to raw materials and to customers,a manufacturer should consider the quality of an area's transportation network when choosing a location.

The "Cost of Doing Business Index" indicates that Hawaii is the most expensive state in which to do business based on wage costs,tax burden,electricity,industrial rent,and office rent factors.

Identify and describe the goal/purpose of the three types of manufacturing layouts.

Discuss the various sources of information available to the small business owner for deciding in which region of the country to locate her business.

Prime selling space should be reserved for items that are slow sellers so that customers will notice them.

What are the advantages and disadvantages of the restaurant's current location?

If a business sells merchandise for which customers typically do a good deal of comparison shopping,it should choose a location as far away from competitors as possible.

For some retailers,locating near competitors makes sense because similar businesses located near one another can increase traffic flow to all.

Well-designed floor displays are critical to a retailer's success.

The Americans with Disabilities Act of 1990 requires:

Developing a layout plan really is not essential unless an entrepreneur is able to build a new building to house the business.

Products with the highest markup should be placed:

The key to finding a suitable location is identifying the characteristics that can give a company a competitive edge and then searching out potential sites that meet those criteri a.

Ergonomics,the science of adapting work and the work environment to complement employees' strengths and to suit customers' needs,is an integral part of a successful layout.

Shopping malls typically average parking spaces per 1,000 square feet of shopping while a typical central business district offers spaces per 1,000 square feet of shopping space.

Entrances should invite entry.The way to accomplish this is to:

Observing customer behavior in a retail store can help a business owner identify "hot spots" where merchandise sells briskly and "cold spots" where it may sit indefinitely.

The Foundations of Entrepreneurship

Inside the Entrepreneurial Mind: From Ideas to Reality

Designing a Competitive Business Model and Building a Solid Strategic Plan

Conducting a Feasibility Analysis and Crafting a Winning Business Plan

Forms of Business Ownership

Franchising and the Entrepreneur

Buying an Existing Business

Building a Powerful Marketing Plan

E-Commerce and the Entrepreneur

Pricing Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Sources of Financing: Debt and Equity

Global Opportunities

Building a Team and Management Succession

Filters

Exam 14: Choosing the Right Location and Layout

Identify and explain five of the seven criteria a small business owner should consider when selecting the state in which to locate her business.

The typical neighborhood shopping center contains from 3 to 12 stores and serves a population that lives within a 10-minute drive.

To ensure ready access to raw materials and to customers,a manufacturer should consider the quality of an area's transportation network when choosing a location.

The "Cost of Doing Business Index" indicates that Hawaii is the most expensive state in which to do business based on wage costs,tax burden,electricity,industrial rent,and office rent factors.

Identify and describe the goal/purpose of the three types of manufacturing layouts.

Discuss the various sources of information available to the small business owner for deciding in which region of the country to locate her business.

Prime selling space should be reserved for items that are slow sellers so that customers will notice them.

What are the advantages and disadvantages of the restaurant's current location?

If a business sells merchandise for which customers typically do a good deal of comparison shopping,it should choose a location as far away from competitors as possible.

For some retailers,locating near competitors makes sense because similar businesses located near one another can increase traffic flow to all.

Well-designed floor displays are critical to a retailer's success.

The Americans with Disabilities Act of 1990 requires:

Developing a layout plan really is not essential unless an entrepreneur is able to build a new building to house the business.

Products with the highest markup should be placed:

The key to finding a suitable location is identifying the characteristics that can give a company a competitive edge and then searching out potential sites that meet those criteri a.

Ergonomics,the science of adapting work and the work environment to complement employees' strengths and to suit customers' needs,is an integral part of a successful layout.

Shopping malls typically average ________ parking spaces per 1,000 square feet of shopping while a typical central business district offers ________ spaces per 1,000 square feet of shopping space.

Entrances should invite entry.The way to accomplish this is to:

Observing customer behavior in a retail store can help a business owner identify "hot spots" where merchandise sells briskly and "cold spots" where it may sit indefinitely.

The Foundations of Entrepreneurship

Inside the Entrepreneurial Mind: From Ideas to Reality

Designing a Competitive Business Model and Building a Solid Strategic Plan

Conducting a Feasibility Analysis and Crafting a Winning Business Plan

Forms of Business Ownership

Franchising and the Entrepreneur

Buying an Existing Business

Building a Powerful Marketing Plan

E-Commerce and the Entrepreneur

Pricing Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Sources of Financing: Debt and Equity

Global Opportunities

Building a Team and Management Succession

Filters

Shopping malls typically average parking spaces per 1,000 square feet of shopping while a typical central business district offers spaces per 1,000 square feet of shopping space.