ENTR 321 TEST #1 CH. 3 QUESTIONS AND VERIFIED
ANSWERS
One reason that corporate entrepreneurship has become popular is because it allows
corporations to tap the innovative talents or the personnel. - Answers - True
As part of creating an innovative climate, a firm should base rewards given upon results
achieved. - Answers - True
A corporation can encourage entrepreneurship activities if top management sponsors
entrepreneurial projects. - Answers - True
Few firms today realize the need for corporate entrepreneurship. - Answers - False
The need for corporate entrepreneurship has risen in response to the rise of the global
economy. - Answers - True
Clever bootlegging of ideas refers to secretly working on new ideas on company time as
well as on personal time. - Answers - True
Individuals may avoid corporate entrepreneurial behavior due to the impact of traditional
management techniques. - Answers - True
Skunk works are project groups that work within the traditional lines of authority. -
Answers - False
Very large corporations, such as 3M, have really struggled with corporate
entrepreneurship ventures. - Answers - False
Today's managers must foster excitement for innovation and remove obstacles for
employees to engage in corporate entrepreneurship. - Answers - True
Firms do not need to alter management techniques to encourage corporate
entrepreneurship since it tends to occur naturally. - Answers - False
Trust from the company is one key element to successful corporate entrepreneurship. -
Answers - True
Employees shouldn't expect feedback on their entrepreneurial ideas. - Answers - False
Corporations that promote personal growth will attract the best people. - Answers - True
, When an entrepreneurial environment is created, a company does not usually set aside
the traditions of the company. - Answers - False
Every business person feels comfortable operating in an entrepreneurial environment. -
Answers - False
The first step in planning a strategy of corporate entrepreneurship is sharing the vision
of innovation that executives wish to achieve. - Answers - True
Systematic evolution of a product or service into newer or larger markets is referred to
as radical innovation. - Answers - False
Corporate entrepreneurs should be restricted to the resources of their own divisions of
the corporation. - Answers - False
Researchers have identified specific factors that organizations can concentrate on in
helping individuals develop more entrepreneurial behavior. - Answers - True
Corporate venturing flourishes when a vertical management system is in place. -
Answers - False
A healthy environment for corporate entrepreneurship exists when employees feel a
sense of ownership in the company. - Answers - True
Radical innovations must be nurtured. - Answers - True
A "champion" is a person with a big ego and just gets in the way of corporate
entrepreneurship. - Answers - False
A competitor's move to increase market share can be a precipitative event in corporate
entrepreneurship. - Answers - True
Corporate entrepreneurs are people who are action oriented and self-determined. -
Answers - True
The resources of the organization are irrelevant to the ability of the corporate
entrepreneur to implement an idea. - Answers - False
Understanding the entrepreneur is only part of understanding the entrepreneurial
process. - Answers - True
Corporate entrepreneurs generally are power oriented or power hungry. - Answers -
False
The success of corporate entrepreneurship depends on the entrepreneurs within the
firm. - Answers - True
ANSWERS
One reason that corporate entrepreneurship has become popular is because it allows
corporations to tap the innovative talents or the personnel. - Answers - True
As part of creating an innovative climate, a firm should base rewards given upon results
achieved. - Answers - True
A corporation can encourage entrepreneurship activities if top management sponsors
entrepreneurial projects. - Answers - True
Few firms today realize the need for corporate entrepreneurship. - Answers - False
The need for corporate entrepreneurship has risen in response to the rise of the global
economy. - Answers - True
Clever bootlegging of ideas refers to secretly working on new ideas on company time as
well as on personal time. - Answers - True
Individuals may avoid corporate entrepreneurial behavior due to the impact of traditional
management techniques. - Answers - True
Skunk works are project groups that work within the traditional lines of authority. -
Answers - False
Very large corporations, such as 3M, have really struggled with corporate
entrepreneurship ventures. - Answers - False
Today's managers must foster excitement for innovation and remove obstacles for
employees to engage in corporate entrepreneurship. - Answers - True
Firms do not need to alter management techniques to encourage corporate
entrepreneurship since it tends to occur naturally. - Answers - False
Trust from the company is one key element to successful corporate entrepreneurship. -
Answers - True
Employees shouldn't expect feedback on their entrepreneurial ideas. - Answers - False
Corporations that promote personal growth will attract the best people. - Answers - True
, When an entrepreneurial environment is created, a company does not usually set aside
the traditions of the company. - Answers - False
Every business person feels comfortable operating in an entrepreneurial environment. -
Answers - False
The first step in planning a strategy of corporate entrepreneurship is sharing the vision
of innovation that executives wish to achieve. - Answers - True
Systematic evolution of a product or service into newer or larger markets is referred to
as radical innovation. - Answers - False
Corporate entrepreneurs should be restricted to the resources of their own divisions of
the corporation. - Answers - False
Researchers have identified specific factors that organizations can concentrate on in
helping individuals develop more entrepreneurial behavior. - Answers - True
Corporate venturing flourishes when a vertical management system is in place. -
Answers - False
A healthy environment for corporate entrepreneurship exists when employees feel a
sense of ownership in the company. - Answers - True
Radical innovations must be nurtured. - Answers - True
A "champion" is a person with a big ego and just gets in the way of corporate
entrepreneurship. - Answers - False
A competitor's move to increase market share can be a precipitative event in corporate
entrepreneurship. - Answers - True
Corporate entrepreneurs are people who are action oriented and self-determined. -
Answers - True
The resources of the organization are irrelevant to the ability of the corporate
entrepreneur to implement an idea. - Answers - False
Understanding the entrepreneur is only part of understanding the entrepreneurial
process. - Answers - True
Corporate entrepreneurs generally are power oriented or power hungry. - Answers -
False
The success of corporate entrepreneurship depends on the entrepreneurs within the
firm. - Answers - True
