Question 1

The shift to a service economy has not had a significant impact on entrepreneurial opportunities.

Accepted Answer

A) True 
 B)False

Question 2

Because of their size and limited resources, small businesses rarely create innovations that are important to the U.S. economy.

Accepted Answer

A) True 
 B)False

Question 3

The majority of new business owners devote more than 40 hours per week to their companies.

Accepted Answer

A) True 
 B)False

Question 4

Entrepreneurs who start businesses because they cannot find work any other way are ________.

Accepted Answer

A)  necessity entrepreneurs 
B)  serial entrepreneurs 
C)  opportunity entrepreneurs 
D)  corporate cast-offs 
A)  necessity entrepreneurs 
B)  serial entrepreneurs 
C)  opportunity entrepreneurs 
D)  corporate cast-offs

Question 5

Which of the following is a benefit of entrepreneurship?

Accepted Answer

A)  The opportunity to gain control over your own destiny. 
B)  The opportunity to reach your full potential. 
C)  The opportunity to do what you enjoy. 
D)  All of the above 
A)  The opportunity to gain control over your own destiny. 
B)  The opportunity to reach your full potential. 
C)  The opportunity to do what you enjoy. 
D)  All of the above

Question 6

Potential drawbacks of entrepreneurship may include ________.

Accepted Answer

A)  uncertainty of income, risk, long hours, and high stress 
B)  uncertainty of income, risk, easy hours, and frequent vacations 
C)  uncertainty of income, risk, long hours, and the immediate accumulation of wealth 
D)  certainty of income, risk, long hours, and high stress 
A)  uncertainty of income, risk, long hours, and high stress 
B)  uncertainty of income, risk, easy hours, and frequent vacations 
C)  uncertainty of income, risk, long hours, and the immediate accumulation of wealth 
D)  certainty of income, risk, long hours, and high stress

Question 7

Small businesses actually create more jobs than the number of jobs big businesses create.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following statements is not true regarding the diversity of entrepreneurs?

Accepted Answer

A)  Minority-owned businesses have come a long way in the past decade, and their success rate is climbing. 
B)  Minority-owned businesses now account for approximately 22 percent of all businesses in the U.S. 
C)  Immigrants with more education and experience than those of the past are coming to the U.S. and succeeding in entrepreneurial ventures. 
D)  The numbers of part-time and home-based entrepreneurs are rising. 
A)  Minority-owned businesses have come a long way in the past decade, and their success rate is climbing. 
B)  Minority-owned businesses now account for approximately 22 percent of all businesses in the U.S. 
C)  Immigrants with more education and experience than those of the past are coming to the U.S. and succeeding in entrepreneurial ventures. 
D)  The numbers of part-time and home-based entrepreneurs are rising.

Question 9

Entrepreneurs realize that failure is a possibility, but are not paralyzed by that fear.

Accepted Answer

A) True 
 B)False

Question 10

The nation's small businesses ________.

Accepted Answer

A)  employ more than 49 percent of the nation's private sector workforce 
B)  create more jobs than do big businesses 
C)  account for 47 percent of business sales 
D)  All of the above 
A)  employ more than 49 percent of the nation's private sector workforce 
B)  create more jobs than do big businesses 
C)  account for 47 percent of business sales 
D)  All of the above

Question 11

Large companies create significantly more patents and other forms of innovations per research and development dollars spent than small firms.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following is not a characteristic of a successful working relationship between copreneurs?

Accepted Answer

A)  A clear definition of one partner as "boss" and the other as "subordinate". 
B)  Compatible business and life goals. 
C)  Complementary business skills. 
D)  A clear division of roles and authority based on each partner's skills and abilities. 
A)  A clear definition of one partner as "boss" and the other as "subordinate". 
B)  Compatible business and life goals. 
C)  Complementary business skills. 
D)  A clear division of roles and authority based on each partner's skills and abilities.

Question 13

Surveys show that small business owners believe that, as entrepreneurs, they work harder, earn more money, and are happier than if they worked for a large company.

Accepted Answer

A) True 
 B)False

Question 14

It is estimated that ________ percent of new businesses fail within two years, while ________ percent fail within five years.

Accepted Answer

A)  21; 51 
B)  51; 64 
C)  35; 41 
D)  51; 31 
A)  21; 51 
B)  51; 64 
C)  35; 41 
D)  51; 31

Question 15

Which of the following statements concerning small businesses and international markets is false?

Accepted Answer

A)  Although terrorism and global recession have slowed the growth of international trade somewhat, global opportunities for small businesses have a long-term positive outlook. 
B)  Although the U.S. is an attractive market, approximately 95 percent of the world's population lives outside its borders. 
C)  Because exporting is so complex and requires a company to have so many international experts on staff, exporting is not feasible for small businesses. 
D)  Small companies comprise 97 percent of all businesses engaged in exporting, yet they account for only 30 percent of the nation's export sales. 
A)  Although terrorism and global recession have slowed the growth of international trade somewhat, global opportunities for small businesses have a long-term positive outlook. 
B)  Although the U.S. is an attractive market, approximately 95 percent of the world's population lives outside its borders. 
C)  Because exporting is so complex and requires a company to have so many international experts on staff, exporting is not feasible for small businesses. 
D)  Small companies comprise 97 percent of all businesses engaged in exporting, yet they account for only 30 percent of the nation's export sales.

Question 16

Not all family-owned businesses are small; in fact, approximately one-third of the Fortune 500 companies are family businesses.

Accepted Answer

A) True 
 B)False

Question 17

The majority of new business owners work ________.

Accepted Answer

A)  fewer than 40 hours per week 
B)  more than 40 hours per week 
C)  more than 70 hours per week 
D)  more than 80 hours per week 
A)  fewer than 40 hours per week 
B)  more than 40 hours per week 
C)  more than 70 hours per week 
D)  more than 80 hours per week

Question 18

Discuss the role that the following groups are playing in leading the ongoing surge in entrepreneurial activity:
∙ women
∙ minorities
∙ immigrants
∙ part-time entrepreneurs
∙ home-based entrepreneurs
∙ family businesses
∙ copreneurs
∙ corporate castoffs
∙ corporate dropouts

Accepted Answer

Women often face discrimination in the w

Question 19

Which of the following is NOT one of the forces driving the entrepreneurial trend in our country?

Accepted Answer

A)  Shift away from a service economy. 
B)  Independent lifestyle. 
C)  International opportunities. 
D)  E-commerce and the World Wide Web. 
A)  Shift away from a service economy. 
B)  Independent lifestyle. 
C)  International opportunities. 
D)  E-commerce and the World Wide Web.

Question 20

Describe the factors that are driving the current entrepreneurial trend in the U.S. economy.

Accepted Answer

∙ A more positive attitude toward entrep

The shift to a service economy has not had a significant impact on entrepreneurial opportunities.

Because of their size and limited resources, small businesses rarely create innovations that are important to the U.S. economy.

The majority of new business owners devote more than 40 hours per week to their companies.

Entrepreneurs who start businesses because they cannot find work any other way are ________.

Which of the following is a benefit of entrepreneurship?

Potential drawbacks of entrepreneurship may include ________.

Small businesses actually create more jobs than the number of jobs big businesses create.

Which of the following statements is not true regarding the diversity of entrepreneurs?

Entrepreneurs realize that failure is a possibility, but are not paralyzed by that fear.

The nation's small businesses ________.

Large companies create significantly more patents and other forms of innovations per research and development dollars spent than small firms.

Which of the following is not a characteristic of a successful working relationship between copreneurs?

Surveys show that small business owners believe that, as entrepreneurs, they work harder, earn more money, and are happier than if they worked for a large company.

It is estimated that percent of new businesses fail within two years, while percent fail within five years.

Which of the following statements concerning small businesses and international markets is false?

Not all family-owned businesses are small; in fact, approximately one-third of the Fortune 500 companies are family businesses.

The majority of new business owners work ________.

Discuss the role that the following groups are playing in leading the ongoing surge in entrepreneurial activity: ∙ women ∙ minorities ∙ immigrants ∙ part-time entrepreneurs ∙ home-based entrepreneurs ∙ family businesses ∙ copreneurs ∙ corporate castoffs ∙ corporate dropouts

Which of the following is NOT one of the forces driving the entrepreneurial trend in our country?

Describe the factors that are driving the current entrepreneurial trend in the U.S. economy.

Ethics and Social Responsibility: Doing the Right Thing

Inside the Entrepreneurial Mind: From Ideas to Reality

Conducting a Feasibility Analysis and Designing a Business Model

Crafting a Business Plan and Building a Solid Strategic Plan

Forms of Business Ownership and Buying an Existing Business

Franchising and the Entrepreneur

Building a Powerful Bootstrap Marketing Plan

E-Commerce and the Entrepreneur

Pricing and Credit Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Sources of Financing: Debt and Equity

Choosing the Right Location and Layout

Global Opportunities

Building a Team and Management Succession

Filters

Exam 1: The Foundations of Entrepreneurship

The shift to a service economy has not had a significant impact on entrepreneurial opportunities.

Because of their size and limited resources, small businesses rarely create innovations that are important to the U.S. economy.

The majority of new business owners devote more than 40 hours per week to their companies.

Entrepreneurs who start businesses because they cannot find work any other way are ________.

Which of the following is a benefit of entrepreneurship?

Potential drawbacks of entrepreneurship may include ________.

Small businesses actually create more jobs than the number of jobs big businesses create.

Which of the following statements is not true regarding the diversity of entrepreneurs?

Entrepreneurs realize that failure is a possibility, but are not paralyzed by that fear.

The nation's small businesses ________.

Large companies create significantly more patents and other forms of innovations per research and development dollars spent than small firms.

Which of the following is not a characteristic of a successful working relationship between copreneurs?

Surveys show that small business owners believe that, as entrepreneurs, they work harder, earn more money, and are happier than if they worked for a large company.

It is estimated that ________ percent of new businesses fail within two years, while ________ percent fail within five years.

Which of the following statements concerning small businesses and international markets is false?

Not all family-owned businesses are small; in fact, approximately one-third of the Fortune 500 companies are family businesses.

The majority of new business owners work ________.

Discuss the role that the following groups are playing in leading the ongoing surge in entrepreneurial activity: ∙ women ∙ minorities ∙ immigrants ∙ part-time entrepreneurs ∙ home-based entrepreneurs ∙ family businesses ∙ copreneurs ∙ corporate castoffs ∙ corporate dropouts

Which of the following is NOT one of the forces driving the entrepreneurial trend in our country?

Describe the factors that are driving the current entrepreneurial trend in the U.S. economy.

Ethics and Social Responsibility: Doing the Right Thing

Inside the Entrepreneurial Mind: From Ideas to Reality

Conducting a Feasibility Analysis and Designing a Business Model

Crafting a Business Plan and Building a Solid Strategic Plan

Forms of Business Ownership and Buying an Existing Business

Franchising and the Entrepreneur

Building a Powerful Bootstrap Marketing Plan

E-Commerce and the Entrepreneur

Pricing and Credit Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Sources of Financing: Debt and Equity

Choosing the Right Location and Layout

Global Opportunities

Building a Team and Management Succession

Filters

It is estimated that percent of new businesses fail within two years, while percent fail within five years.