Entrepreneurship Small Business Exam 1 (Ch.3 Updated Actual Questions And Correct Answers

ENTREPRENEURSHIP SMALL BUSINESS EXAM 1 (CH.3
UPDATED ACTUAL QUESTIONS AND CORRECT
ANSWERS

Question:
1. environment
Answer:
The sum total of forces outside of the entrepreneur and the firm.

Question:
2. organizational identity
Answer:
Part of the BRIE model; composed of the name, description, and distinctive elements of a firm, such as
trademarks, uniforms. logos, characters, and stories.

Question:
3. Bootstrapping
Answer:
using low-cost or free techniques to minimize your cost of doing business.

Question:
4. Internal environment
Answer:
The people and groups within the boundary of a firm, including the owners, managers, employees, and
broad members if the firm.

Question:
5. Organizational culture
Answer:
A set of shared beliefs, basic assumptions, or common, accepted ways of dealing with problems and
challenges within a company that demonstrates how things get done.

Question:
6. External environment
Answer:
The forces, institutions and people outside the boundary of the firm.

Question:
7. Task environment
Answer:
A part of the external environment made up of those components that' the firms deals with directly such as
customers, suppliers, consultants, media, interest groups, and the like.

Question:
8. Trade magazines

, Answer:
The magazines that target specific industries and professions.

Question:
9. General environment
Answer:
A part of the external environment made up of sectors of major forces that shape the people and institution
of the task and internal environments, such as the economic sector or demographic sector.

Question:
10. What sectors are in the general environment ?
Answer:
Economic sector, International sector, political-legal sector, demographic sector, ecosystem/infrastructure
sector, sociocultural sector, technological sector

Question:
11. What is part of the task environment?
Answer:
Customers, media, interest groups, government, lenders, professional support, unions, subcontractors,
Allies: corporate partners, distributors, suppliers, and competitors.

Question:
12. Who is part of the internal environment?
Answer:
Employees, owners and board of directors

Question:
13. What two environments are external environments?
Answer:
1) The general environment
2) The task environment

Question:
14. Everything outside the business is its __?
Answer:
environment

Question:
15. What are some low-cost and fast ways to monitor the environment ?
Answer:
-Look for trends and future-looking in industry or members of your task environment.
-Ask customers, suppliers, banker, attorney and accountants what they see on horizon for business
-Keeping notes on something that bothers you
-Subscribing to magazines/newspapers etc.

Question:
16. external relations